WMI: Toughest year since GFC with dividend cuts, underperformance, but strong recovery potential as conditions improve

FY 2026 saw exceptional returns in resources but significant underperformance in small-cap industrials, prompting a dividend cut and depleted profit reserves. Management remains confident in the portfolio’s long-term prospects, citing strong earnings beats, low valuations, and increased takeover activity as potential catalysts for recovery.

Based on WAM Microcap Ltd. [WMI] H2 2026 Audio Transcript — Sep. 22 2026