OFX Group (OFX) investor relations material

Executive summary

• Net operating income (NOI) for the half year was $105 million, down 5.6% year-over-year, with underlying EBITDA at $14.5 million, a 50.1% decline versus the prior comparable period, reflecting increased investment and softer trading.

• B2B (Corporate and Enterprise) revenue increased 4.2% sequentially, while B2C (High-Value Consumer) revenue declined 8.7%, highlighting segment divergence.

• Corporate active clients stabilized, with 11.8% growth in new transacting clients year-over-year, driven by strategic organic growth.

• Migration to the new client platform (NCP/2.0) is progressing, with major markets live and 39–60% of corporate clients migrated by early November; 80% migration expected by 3Q26.

• No dividends were paid or declared during the period.

Financial highlights

• Fee and trading income was $109.1 million, down 4.7% year-over-year, with NOI margin at 0.55%, down 4 basis points from the prior comparable period.

• Underlying operating expenses rose 10.2% to $90.5 million, including $3.2 million in bad debts from North America.

• Net cash held at period end was $75.4 million, with net available cash at $47.1 million after debt and guarantees.

• Operating cash conversion rate exceeded 100%, with $16.5 million net cash flow from operations.

• Underlying NPAT dropped 84.8% to $1.7 million, and statutory NPAT fell 77.9% to $2.4 million.

Outlook and guidance

• Committed to at least 15% NOI growth and 30% EBITDA margins by fiscal year 2028, with FY26–27 focused on investment and platform migration.

• OPEX for fiscal 2026 expected between $173.7 million and $181.2 million; CAPEX guidance lowered to $20–21 million.

• High-value Consumer migration and launches in fiscal 2027 will require no incremental CAPEX.

• Management and board remain confident in the strategy and execution.