Board of Directors · Confidential
Q3 FY26 business review
Revenue ahead of plan, delivery at a record, and one investment decision for H2.
Meridian LogisticsFinance and Operations9 October 2026
Agenda
- Results against plan 10 min
- Operations and service 10 min
- H2 investment options 15 min
- Decisions requested 5 min
Q3 revenue
$48.2M
Up 14% on last year and $1.2M ahead of plan.
Source: Finance, September close
Four quarters, ahead of plan in three
Q2 was the only miss, by $0.4M, on a delayed customer start.
| Quarter | Actual | Plan |
|---|
| Q4 FY25 | 41.0 | 40.0 |
| Q1 FY26 | 43.5 | 43.0 |
| Q2 FY26 | 45.6 | 46.0 |
| Q3 FY26 | 48.2 | 47.0 |
Net revenue, $M. Source: Finance.
The operating picture
38.4%Gross margin, up 1.1 points
112%Net revenue retention
1,840Active customers
96.2%On-time delivery, a record
On-time delivery has risen six months running
| Month | On-time |
|---|
| Apr | 93.1 |
| May | 93.8 |
| Jun | 94.4 |
| Jul | 94.8 |
| Aug | 95.6 |
| Sep | 96.2 |
Share of shipments delivered inside the promised window. Axis starts at 92%.
Part three
3
H2 investment
Three options for the next $6.5M of capital.
The Midwest hub
Where option B lands
- Automated sortation on the two busiest lines
- +18% throughput without new floor space
- Payback in 19 months on $6.5M
Where the capital goes
| A. Expand West hub | B. Automate Midwest | C. Hold |
|---|
| Capital | $9.4M | $6.5M | $0 |
|---|
| Payback | 31 months | 19 months | n/a |
|---|
| Capacity gain | +22% | +18% | 0% |
|---|
| Main risk | Lease dependency | Install downtime | Peak-season backlog |
|---|
What could go wrong with option B
Risks
- Install window overlaps peak season
- Two key suppliers on 16-week lead times
- Staff retraining takes longer than planned
Mitigations
- Phase the install: one zone per weekend from November
- Order long-lead parts now, cancellable until 15 Nov
- Train 40 operators in Q4 on the pilot line
Delivery plan for option B
Approve
Board decision and PO release.
Pilot line
One zone live, 40 operators trained.
Rollout
Remaining zones, weekend cutovers.
Full capacity
+18% throughput confirmed.
Decisions requested today
- Approve option B at $6.5M of capital.Release purchase orders for long-lead parts this week.
- Confirm the gate.Pilot line must reach 90% of target throughput before the January rollout.
- Note the plan outperformance and keep the full-year outlook at $188M.
Discussion
Questions
Finance finance@meridian.exampleOperations ops@meridian.example