Autosports Group (ASG) H1 2026 earnings summary

Executive summary

• Delivered strong H1 FY2026 results with revenue up 10.9% to AUD 1.519 billion and NPAT up 107.6% to AUD 21.7 million, driven by organic growth, disciplined strategy, and strategic acquisitions in luxury vehicle brands.

• Interim fully franked dividend increased 42.9% to AUD 0.05 per share.

• Significant expansion through acquisitions in Canberra and Victoria, and property purchases in Queensland and ACT, funded by existing debt facilities.

• All revenue streams improved, with high-margin service and parts divisions outpacing overall growth.

Financial highlights

• Gross margin improved to 19.1%, with gross profit growth outpacing revenue at +15.6%.

• Normalised EBITDA reached AUD 70.6 million, up 26.6% year-over-year; normalised PBT was AUD 35.3 million, up 75%.

• EPS increased 107.4% to 10.7 cents; DPS up 42.9% to 5.0 cents.

• Operating expenses well controlled and mainly variable, tied to profit generation.

• Operating cash flow of AUD 22.4 million, with cash conversion at 67%, impacted by working capital timing.

Outlook and guidance

• Positive outlook for H2 FY2026; revenue expected to benefit from recent acquisitions and continued growth in service, parts, and used vehicles.

• Luxury new vehicle market forecasted to grow through CY26, with further growth anticipated in FY27 from new dealership launches.

• Directors expect continued positive operating cash flows and compliance with financial covenants, supported by undrawn finance facilities and cash reserves.

• Expecting further accretive acquisitions and stable trading conditions.

• Mercedes-Benz Southport development on track for FY2027 earnings contribution.