Macquarie Group has delivered the second-biggest annual profit in its history, with chief executive Shemara Wikramanayake leaning on a record second half and a roaring commodities desk to push earnings 30% higher.
The Sydney-based group reported FY26 net profit after tax of A$4.85 billion, up from A$3.72 billion a year earlier, with earnings per share of A$12.77 and a return on equity of 14%, against 11.2% in FY25. The second-half result alone was A$3.19 billion, a record half for the group and 93% larger than the first.
Wikramanayake gave the credit to the federation of businesses that has carried Macquarie's brand for years.
"Each of our businesses used its specialist expertise in navigating the current environment, identifying opportunities that support long-term growth and delivering positive outcomes for our clients and communities," she told investors.
She added the group "remains well-positioned to deliver superior performance in the medium term with established, diverse income streams."
The segment numbers backed her up. Commodities and Global Markets, the unit that has powered Macquarie's earnings during the post-pandemic energy cycle, posted a net profit contribution of A$4.22 billion, up 49% year-on-year. Macquarie Asset Management lifted earnings 27% to A$2.6 billion, Banking and Financial Services was 17% higher at A$1.61 billion, and Macquarie Capital was up 43% at A$1.49 billion.
Shareholders were rewarded with a final ordinary dividend of A$4.20 per share, 35% franked, taking the full-year dividend to A$7.00 and the payout ratio to 55%.
The internal pay structure also produced one of the more eye-catching footnotes of the result. Australian Financial Review reporting flagged that Macquarie's commodities boss out-earned Wikramanayake herself, after risk blunders in earlier years finally cycled out of the bank's deferred remuneration formula and the desk's banner year inflated payouts.
Despite the headline numbers, Macquarie shares slipped to A$241.29 on results day. Brokers said the move had little to do with the bank itself and everything to do with what was happening one street over: the ASX 200 dumped 133 points on the same session as Iran-US naval tensions and a sharp slide in financials dragged the index lower. The Motley Fool Australia summed up the disconnect bluntly, noting that "broad market weakness" was offsetting an otherwise textbook beat.
For Wikramanayake, the harder question now is whether commodities can keep doing the heavy lifting. CGM's contribution was inflated by stronger physical commodities income and Asset Finance gains, including the prior-period sale of the OnStream meters platform. Bendigo Bank has flagged that another Reserve Bank rate hike is likely in 2026, which could compress the Australian retail mortgage business that Macquarie has built into Banking and Financial Services.
For now, the message from Martin Place is simple: Macquarie's diversified bets paid off, the commodities desk is still where the cash is being printed, and the FY26 dividend leaves shareholders with a 55% payout ratio in a year when many global investment banks have struggled to grow at all.