Sydney, Feb 17, 2026, 17:55 AEDT — Market shut its doors.
- Aurizon shares tacked on 3.3% Tuesday, building on gains seen since the results landed.
- Half-year profit climbed, prompting a bigger interim dividend and an expanded buyback.
- Eyes are on the March dividend schedule, with a significant regulatory review of the coal network also in focus.
Aurizon Holdings notched a 3.3% gain to finish at A$3.965 on Tuesday. Volume hit roughly 3.8 million shares. Investors were still piling in after the rail freight company sweetened shareholder returns with its half-year update. (Australian Securities Exchange)
On Monday, the company reported a 16% jump in underlying net profit after tax to A$237 million for the six months to Dec. 31. The board announced an interim dividend of 12.5 Australian cents per share, 90% franked. The on-market buyback was bumped up by A$100 million, bringing the total to A$250 million. Chief Executive Andrew Harding cited “regulatory uplift and higher volumes” as the main factors behind the results. (ASX Announcements)
Here’s the shift: Aurizon’s move to a 90% payout ratio is changing the narrative—less about being a “steady rail operator,” more about becoming a “cash return trade.” Investors lately have zeroed in on earnings quality and balance sheets, so the timing lands right in the thick of that scrutiny. The company bumped up its full-year dividend outlook to 22-23 cents per share, up from the previous 19-20 cents, but left its underlying EBITDA guidance steady at A$1.68 billion to A$1.75 billion.
Aurizon has set March 25 for its interim dividend payout. Shares go ex-dividend on March 2; record date is March 3. For local income hunters, the dividend’s “franked” status brings Australian company tax credits—a key detail.
But the real wildcard is Aurizon Network, the central Queensland coal rail system under regulation. The company has put forward its UT5+ access proposal, a 10-year plan that, if cleared by the regulator, could push annual revenue up by around A$45 million compared to existing terms.
The company filled an important finance role, bringing in Ian Wells as chief financial officer and group executive strategy, according to a separate statement. Wells is set to begin on April 7. (Company Announcements)
This isn’t a straightforward picture. Aurizon has warned that coal yield for the full year will come in below last year’s level, citing shifts in both customer and corridor mix. The outlook? It’s based on the assumption that there won’t be significant incidents—no derailments or extended bouts of severe wet weather.
The cash market’s closed for now. Next session, we’ll see if buyers hold their ground after the splashy “bigger dividend, bigger buyback” news wears off. ASX trades usually settle in a closing auction just after 4 p.m. Sydney time. (Australian Securities Exchange)
Investors now turn to the Queensland Competition Authority’s UT5+ process for fresh cues, keeping an eye on buyback speed and the dividend timeline — ex-dividend comes up March 2, followed by the record date on March 3. Add to that: Wells begins in April.
