ASX (ASX) H1 2026 earnings summary

Executive summary

• CEO transition announced, with a comprehensive process underway to appoint a successor by May 2026.

• Strong first-half financial performance, with operating revenue up 11.2% to $602.8 million and robust growth across all business segments.

• Transformation strategy and response to ASIC Inquiry Panel's interim report are central to current operations, including governance changes and a reset of the Accelerate program.

• Major investments in technology modernization and risk management uplift are ongoing, with a focus on operational resilience and customer-driven growth.

• A $150 million capital charge will be accumulated by June 2027 as part of regulatory actions.

Financial highlights

• Operating revenue reached $602.8 million, up 11.2% year-over-year, driven by growth in Securities & Payments, Markets, and Technology & Data.

• Underlying NPAT increased 3.9% to $263.6 million; statutory NPAT up 8.3% year-over-year.

• EBITDA margin declined by 180 basis points to 61.4%; EBIT margin at 56.2%, down 310 bps.

• Interim dividend of 101.8 cents per share declared, with a payout ratio of 75% of underlying NPAT, down 8.5% year-over-year.

• Net interest income fell 6.7% to $40.2 million, impacted by lower rates and higher lease expenses.

Outlook and guidance

• FY26 total expense growth expected between 20% and 23%, including ASIC inquiry costs; excluding these, growth is 13%-15%.

• FY26 CapEx guided at $170–180 million; FY27 at $160–180 million, mainly for technology modernization.

• Medium-term underlying ROE target range set at 12.5%–14.0%.

• Dividend payout ratio expected at the lower end (75%) for at least the next three dividends.

• FY27 expense and FY28 CapEx guidance to be provided by year-end.