The Rural Funds Group (ASX: RFF) share price is in focus today after the company reported full-year earnings of $124.1 million, a rise of $103.8 million mostly thanks to asset sales above book value and interest rate swap gains. Distributions per unit were steady at 11.73 cents, in line with forecasts.

What did Rural Funds Group report?

• Statutory earnings of $124.1 million, up $103.8 million year on year
• Net property income of $100.5 million, a 5.7% increase
• Adjusted funds from operations (AFFO) of 11.7 cents per unit, meeting forecasts
• Distributions per unit of 11.73 cents, unchanged and in line with guidance
• Adjusted net asset value (NAV) of $3.22 per unit, up 4.5% on the prior year
• FY27 forecast: AFFO and distributions both expected to remain steady at 11.7–11.73 cents

What else do investors need to know?

RFF sold $314.9 million in assets during the year, including six properties and water entitlements, at an average 18% premium to book value. These sales strengthened the balance sheet, reducing pro forma gearing to 31.8%, which sits comfortably within the target range.

The Group continues to focus on capital recycling and development, with FY27 forecast capital expenditure of $46.7 million. This investment is fully supported by available bank debt headroom of over $300 million and is aimed at expanding the productivity of its macadamia orchards and irrigated cropping properties.

What’s next for Rural Funds Group?

Looking ahead, the company expects AFFO and quarterly distributions to remain unchanged in FY27. There are also staged developments underway on two properties, aiming to drive future earnings. Management highlighted continued focus on defensive, inflation-hedged agricultural assets and enhancing portfolio value through selective development and leasing activity.

RFF’s long WALE of 14.8 years and quality tenant base, with nearly 90% of forecast income from corporate or institutional lessees, provide a steady foundation as the company seeks fresh growth opportunities.

Rural Funds Group share price snapshot

Over the past 12 months, Rural Funds Group shares have risen 11%, outperforming the All Ordinaries Index (ASX: XAO), which is flat over the same period.

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The post Rural Funds Group FY26 earnings: Asset sales boost profit appeared first on The Motley Fool Australia.

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Motley Fool contributor Laura Stewart has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has positions in and has recommended Rural Funds Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips. This article was prepared with the assistance of Large Language Model (LLM) tools for the initial summary of the company announcement. Any content assisted by AI is subject to our robust human-in-the-loop quality control framework, involving thorough review, substantial editing, and fact-checking by our experienced writers and editors holding appropriate credentials. The Motley Fool Australia stands behind the work of our editorial team and takes ultimate responsibility for the content published by The Motley Fool Australia.

Goodman Group (ASX: GMG) shares have been out of form this year.

So much so, on a 12-month basis, the industrial property giant’s shares have lost around 20% of their value.

But with Goodman’s FY 2026 results out of the way, is now a good time to buy its shares? Let’s see what the team at Bell Potter is saying.

What is Bell Potter saying?

Bell Potter notes that Goodman delivered a result in line with expectations for FY 2026. It commented:

GMG announced its FY26 result with operating EPS of 129.9c (+10% y/y growth) in line with BPe and VA consensus, c.1% above full year guidance. FY27 operating EPS guidance established at +9% growth y/y which implies 141.6c (BPe 141.2c (+9% y/y), VA consensus 143.7c (+11% y/y)), with DPS guidance of 30.0c maintained (in line with BPe, VA consensus for 30.4c).

The broker also highlights that Goodman’s development work in progress (WIP) has increased materially. It adds:

Development WIP has increased a material +37% h/h with data centres now comprising 78% of the total WIP (was 57% pcp). This is driving development yield on costs higher to 8.2% (was 7.5% pcp), as well as margins (not quoted, but GMG is ULIRR aware) and production rate (>$8b pa vs. <$6bn pa FY25).

Goodman shares downgraded

Despite the positives from the result, Bell Potter has become less bullish on the investment opportunity here.

According to the note, the broker has downgraded Goodman shares to a hold rating (from buy) with a reduced price target of $32.65 (from $33.95). This compares to its current share price of $28.78.

Commenting on the downgrade, Bell Potter said:

We downgrade to Hold (was Buy). GMG has a long and rich history in customer and capital partner-focused execution of quality product delivery, and while we continue to expect that to be the case, we do think that FY27 is likely another year of building blocks that requires substantial operating cash outflow with milestones (customer leasing, partnerships, commensurate cash returns on cost) that will take some time to build out amongst a competitive peer set.

We adjust our FY27-FY29 EPS estimates by -1% to 1% to reflect: (1) half year actuals; (2) development WIP / DC capex and returns; and (3) net borrowing gains.

The post Why were Goodman shares just downgraded? appeared first on The Motley Fool Australia.

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Motley Fool contributor James Mickleboro has positions in Goodman Group. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Goodman Group. The Motley Fool Australia has recommended Goodman Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The Perpetual Ltd (ASX: PPT) share price is in focus after the company flagged a non-cash impairment charge of A$63.5 million, following a major client redemption in its asset management unit.

What did Perpetual report?

• Non-cash impairment charge of A$63.5 million against goodwill for TSW
• Impairment recognised as a Significant Item in FY26 statutory results
• Redemption of approximately US$4.6 billion from TSW International Equity strategy expected in Q2 FY27
• No impact on Perpetual’s liquidity, banking covenants, or UPAT

What else do investors need to know?

Perpetual received notice last week from a client of Thompson, Siegel & Walmsley LLC (TSW) regarding the planned redemption. Although the redemption will occur in the next financial year, accounting standards require the resulting impairment to be recognised in the FY26 results.

The impairment is non-cash and will not affect Perpetual’s liquidity position or dividend payout ratio, as it doesn’t impact UPAT. The charge also does not affect Perpetual’s compliance with banking covenants.

Perpetual will provide a full update on FY26 results—including the final impact of the impairment—on 27 August 2026.

What’s next for Perpetual?

Looking ahead, investors will be watching for further clarification in Perpetual’s upcoming FY26 results announcement. The company remains due to release audited financial statements and further guidance on 27 August 2026.

Perpetual emphasised that its underlying profit and ability to pay dividends are not affected by this impairment charge. The business continues to focus on its broader asset management strategy and client service.

Perpetual share price snapshot

Over the past 12 months, Perpetual shares have declined 9%, trailing the All Ordinaries Index (ASX: XAO), which is flat over the same period.

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The post Perpetual reveals $63.5m impairment after major fund redemption appeared first on The Motley Fool Australia.

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Motley Fool contributor Laura Stewart has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips. This article was prepared with the assistance of Large Language Model (LLM) tools for the initial summary of the company announcement. Any content assisted by AI is subject to our robust human-in-the-loop quality control framework, involving thorough review, substantial editing, and fact-checking by our experienced writers and editors holding appropriate credentials. The Motley Fool Australia stands behind the work of our editorial team and takes ultimate responsibility for the content published by The Motley Fool Australia.