Veteran NSW trainer Bob Milligan is making progress in hospital after an early morning accident.

Milligan is believed to have been kicked in the face by a horse on Saturday morning at the Taree track.

The 76-year-old's wife Margaret told Racing NSW, Milligan had been taken out of an induced coma at Newcastle's John Hunter Hospital.

"No-one knows exactly what happened but Bob was found face down in the wash bay," she said.

"He has multiple fractures to his face but is now out of the induced coma. Doctors told us there is no brain damage and he is starting to respond to nursing staff."

Milligan is best known for the deeds of multiple Group winner Carael Boy, a star of the early 2000s.