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    Delegat Group (NZSE:DGL) Stock Trails Revenue Growth As Margins Thin

    Simply Wall St·08/29/2026 23:20:34
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    Delegat Group stock closed at NZ$4.50 on the day of its full year results, capping a strong three month run, yet the headline story is not the share price. The wine maker just reported trailing net profit margin of 10.8%, down from 14%, which puts profitability under a harsher spotlight than the recent rally suggests.

    For long term holders, the tension is clear. Forecast earnings growth of about 14.9% a year and a 4.44% dividend yield are pulling in one direction, while a thinner margin profile and a high level of debt are pulling in the other. The rest of the numbers fill in that tug of war.

    Is Delegat Group at 11.5x P/E and a share price far below the NZ$12.91 fair value estimate a genuine bargain or a value trap in disguise? Compare that gap directly in our valuation analysis for Delegat Group.

    FY 2026 Earnings Summary

    • Revenue (FY 2026 vs FY 2025, trailing 12 months): NZ$364.117m vs. NZ$349.556m (up about 4.2%)
    • Net Income (Excl. Extra Items, FY 2026 vs FY 2025, trailing 12 months): NZ$39.473m vs. NZ$49.038m (down about 19.5%)
    • Basic EPS (Earnings Per Share, FY 2026 vs FY 2025, trailing 12 months): NZ$0.3903 vs. NZ$0.4849 (down about 19.5%)
    • Net Profit Margin (FY 2026 vs prior year, trailing 12 months): 10.8% vs. 14% (margin compressed by about 3.2 percentage points)

    Prefer clean charts over scrolling through paragraphs of earnings detail and raw figures? View Delegat Group's full visual breakdown, including how its valuation compares with its recent results, in our company report for Delegat Group.

    NZSE:DGL Trailing 12-Month Earnings & Revenue History as at Aug 2026
    NZSE:DGL Trailing 12-Month Earnings & Revenue History as at Aug 2026

    Delegat Group earnings and the optimistic view

    For a bullish lens on Delegat Group, the revenue move from NZ$349.556m to NZ$364.117m, about 4.2%, supports the idea that its brands are still finding buyers across key markets. That top line resilience fits a consumer staple style story where people continue to buy established labels even as conditions shift. The recent 90 day share price gain of about 22.3% also shows investors responding to this revenue trend, even while the rest of the income statement raises harder questions.

    Profit pressure keeps the cautious case alive

    On the bearish side, the drop in net income from NZ$49.038m to NZ$39.473m and basic EPS from NZ$0.4849 to NZ$0.3903 indicates that Delegat Group is earning less on a larger sales base. Net margin compression from 14% to 10.8% underlines that point. For an industry where weather, costs and competition already constrain profitability, this direction in earnings quality supports a more cautious stance, even with recent share price strength.

    Compare that mix of revenue resilience and margin pressure with what the street is pricing in. See the consensus price target analysis for Delegat Group to check whether analyst targets line up with the current NZ$4.50 share price and the latest Delegat Group earnings story.

    Take Control Of Your Next Move

    If Delegat Group's mix of revenue growth, margin pressure and a share price below the fair value estimate has caught your eye, register for free with Simply Wall St and add it to a Watchlist to track price against valuation and watch for a more attractive entry point. Once you have taken a position, use the Portfolio Command Center to cut through market noise and stay on top of the most important updates to your holdings. For a broader view on Delegat Group and other stocks, join the Community to see how different investors are thinking through the same risks and opportunities. This way you can spot hidden catalysts or emerging risks earlier and stay a step ahead of the market.

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    This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.