Judo Capital shares slide after FY2026 profit guidance cut to $163 million–$169 million
AI Market Summary
Judo Capital's sharp increase in FY2026 credit risk costs and cuts to FY2026–FY2027 profit guidance triggered a severe repricing, highlighting deteriorating asset quality in select SME exposures. The scale of the provisioning against three borrowers suggests underwriting and monitoring risks remain elevated, keeping pressure on bank-equity sentiment and risk premia in the near term, despite management citing limited, idiosyncratic drivers.
Impact level
● Medium
Affected assets
NCCOGOLD2USD/USDT+1.37%
AI Insight · NCCOGOLD2USD/USDTAI Insight
▼ Bearish
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Judo Capital Holdings Ltd (ASX: JDO) plunged 40.4% on 25 June after lifting its FY2026 cost of risk forecast and cutting its full-year profit guidance. The bank lowered FY2026 profit before tax guidance to $163 million–$169 million from $180 million–$190 million, and its FY2027 outlook also came in below market expectations. The company said provisions were tied to three deteriorating customer exposures across different sectors, reviving concerns over asset quality and risk controls. Investor Pulse’s Mark Elzayed reiterated a sell call, citing elevated provisioning risk, according to The Bull.
