MaxiPARTS Raises FY26 Profit Guidance with $9 Million Inventory Reduction

Upgraded Profit Guidance Defies Market Disruption

MaxiPARTS Limited (ASX:MXI) has lifted its FY26 operating profit before tax guidance to $14.2 million, a 12% increase on the prior year and above its previous forecast range of $13.4 million to $14.1 million. This upgrade comes despite ongoing market uncertainty linked to the Iran conflict, which began impacting trading conditions from March 2026 onwards.

The company’s revenue for FY26 is expected to hit $274.4 million, a 3% rise on the prior year and comfortably within the earlier guidance of $273 million to $278 million. MaxiPARTS attributes this resilience to disciplined cost management and solid trading momentum, navigating a challenging environment for diesel prices and broader commercial vehicle demand.

Inventory Cuts and Cash Flow Drive Balance Sheet Strength

One of the standout operational achievements has been a targeted inventory optimisation program across MaxiPARTS’ branch network, which trimmed $9 million from excess and slow-moving stock in the second half of FY26. This initiative, combined with active international supply chain management, has improved working capital and boosted cash flow.

Consequently, MaxiPARTS finished the financial year with a net cash position of $7.0 million, marking a $15.7 million improvement from the first half. The company also reported an impressive operating cash conversion ratio of 115%, reflecting efficient cash management aligned with its capital-light business model.

This robust balance sheet provides MaxiPARTS with flexibility to pursue further capital returns to shareholders and invest in organic growth or acquisitions, positioning it well for future opportunities.

Executive Team Strengthened with Strategic Hires

MaxiPARTS has bolstered its leadership with two key executive appointments. Anu Parikh joined as Chief Financial Officer and Company Secretary in July 2026, bringing extensive experience in financial reporting, governance, mergers and acquisitions, and strategic growth from senior roles at National Australia Bank, Marlin Brands, and others.

In June 2026, Eddie Hanaphy was appointed General Manager - Operations & Strategic Projects. Hanaphy returns to MaxiPARTS after a decade away, having held senior operational roles at Bapcor and leadership positions within the commercial vehicle sector. His expertise is expected to enhance operational integration and support growth initiatives across the company.

These hires, alongside the existing executive team, significantly upgrade MaxiPARTS’ organisational capability, equipping it to accelerate strategic, operational, and growth projects.

Looking Ahead to Full FY26 Results

MaxiPARTS will release its full audited FY26 financial statements and investor presentation on 20 August 2026. Investors will be watching closely to see how the company’s strong operational performance and leadership enhancements translate into longer-term growth, especially given the geopolitical uncertainties that have influenced recent trading.