Sequoia Financial Group (SEQ) investor relations material

Executive summary

• Strategic pivot toward a simpler, lower-risk, higher-return business model, reducing exposure to licence-intensive operations and focusing on capital-light, technology-enabled services.

• Revenue rose 4.6% year-over-year to $63.4m for 1H FY26, with operating profit up 75.9% to $4.8m.

• Net profit before tax was $0.8m; after significant non-operating items, a net loss of $0.25m was reported.

• Board and management proactively strengthened governance and compliance frameworks in response to industry disruptions and regulatory scrutiny.

• Appointment of Sophie Chen as Executive Director to support APAC strategy and cross-border growth.

Financial highlights

• Group revenue increased 4.6% to $63.4m for the half-year ended 31 December 2025 compared to the prior period.

• Operating profit (normalised EBITDA) rose 75.9% to $4.8m, reflecting improved underlying earnings.

• Statutory net loss after tax of $0.25m, impacted by non-operating items including a $0.9m legacy settlement and $2.1m loss on disposal of insurance broking subsidiaries.

• Legal and Administration Services division revenue grew 8.7%, with margin expansion from 28.3% in FY23 to 42.5% in 1H FY26.

• Cash at period end was $2.5m; ASX-listed investments totaled $17.6m.

Outlook and guidance

• Focus on completing the InterPrac strategic review by June 2026.

• Continued pivot toward higher-quality earnings streams and disciplined APAC expansion.

• Asia-Pacific expansion and new software for SMSF business expected to drive future growth.

• Legal & Administration Services division expected to benefit from stronger second-half trading.

• Ongoing enhancement of governance, risk management, and cost discipline.