Aussie Broadband (ABB) H1 2026 earnings summary

Executive summary

• Delivered double-digit revenue and EBITDA growth across all segments in H1 FY26, driven by broadband and mobile momentum, organic expansion, and strategic acquisitions including AGL Telco and Nexgen.

• Upgraded ambitions: targeting over $2.0 billion revenue, >13.5% EBITDA margin, and ~1.5 million connections by FY28, aiming to become the third largest NBN provider by end-2026.

• Completed major acquisitions (AGL Telco, Nexgen) and divestments (Digital Sense Hosting, buddii) to sharpen focus on core telco services.

• Signed exclusive six-year wholesale agreement with More and Tangerine, adding ~290,000 connections in H2 FY26.

• Declared a fully franked interim dividend of 2.4 cents per share, up 50% year-over-year.

Financial highlights

• Revenue up 8.4% to $637.8 million year-over-year for H1 FY26.

• Underlying EBITDA up 13.5% to $74.7 million; underlying NPATA up 24.5% to $31.3 million.

• EPS increased 26.5% to 10.7 cents; operating cash flow up 15.9% to $57.1 million.

• Reported NPAT was $5.1 million, impacted by a $14.8 million goodwill impairment from Digital Sense Hosting divestment.

• Gross margin at 36.3%, with residential at 31.5% and wholesale at 41.9%.

Outlook and guidance

• Upgraded FY26 underlying EBITDA guidance to $162–167 million, representing 17–21% annual growth.

• CapEx guidance unchanged at $55–60 million for FY26.

• Strategic ambitions for FY28: >$2.0b revenue, >13.5% EBITDA margin, >17% NBN market share, and ~1.5m connections.

• Expect material uplift in earnings from More/Tangerine and AGL Telco migrations from FY27.

• Growth ambitions are subject to risks and uncertainties, including external events.