Company Interview / Cobram Estates crushes harvest record

Record 2025 olive harvest delivers 14.2 million litres, up 40% from last yearCompany replaces 100,000 lower-yielding trees and signals further growth with new plantingsStrong domestic focus, with international sales to New Zealand, Southeast Asia, and USAcquisition of Lidar aims to boost olive harvesting efficiency and reduce costsForecast FY25 underlying EBITDA of $150 million, with increased fully franked dividends

Cobram Estate Olives (ASX:CBO) has announced the successful completion of its 2025 Australian olive harvest, producing an impressive 14.2 million litres of olive oil, according to Leandro Ravetti. This marks a substantial 40% increase from last year's harvest. Including oil sourced from third-party growers and other Australian millers, the total available for the next 12 months stands at over 15 million litres. Ravetti attributes this strong performance to the maturation of younger trees and favourable tree conditions, expressing optimism for continued positive yields next year.

Ravetti points out the cyclical nature of olive yields and highlights the company's recent decision to replace around 100,000 lower-yielding mature trees with more productive varieties. Although this replanting reduces short-term output by over 270 hectares, new plantings totalling nearly 150,000 trees have yet to come into production, indicating further growth potential. The majority of Australian production is sold domestically, with international exports primarily targeting New Zealand and Southeast Asia. In the US, Cobram Estate Olives is seeing significant expansion, with most oil sold there now grown locally in California.

Another notable development involves the acquisition of long-term partner Lidar, a move Ravetti believes will accelerate the development of next-generation olive harvesters. Financially, Cobram Estate Olives forecasts underlying EBITDA of approximately $150 million for FY25, up from $66.5 million in the previous year, supporting an increase in fully franked dividends to shareholders.