betr Entertainmen (BBT) Q2 2026 earnings summary

Executive summary

• Strategic investments in brand relaunch, marketing, product innovation, and Sky Racing integration aimed at driving profitable market share growth and value creation.

• Record H1 FY26 turnover of AUD 444.4 million, up 25% year-on-year, with underlying turnover (excluding TopSport) up 13%, significantly outpacing the 2%-3% market growth.

• Customer base grew 5.7% quarter-on-quarter to 163,504 cash-active clients, reflecting successful reactivation and acquisition strategies.

• H1 EBITDA loss of AUD 13.2 million driven by one-off, front-weighted strategic investments and exceptionally customer-friendly results.

• Trading margins normalized from December, with Net Win Margin at over 11% in December and 10.8% in January.

Financial highlights

• H1 normalized EBITDA loss of AUD 13.2 million, impacted by AUD 6 million in front-weighted investment and AUD 7 million from adverse wagering outcomes.

• Q2 FY26 turnover was AUD 444.4 million, up 25.5% year-on-year; YTD turnover reached AUD 807.4 million, up 25.2%.

• Net win of AUD 37.9 million, below target due to unfavorable Spring Carnival results.

• Q2 Gross Win Margin was 12.6%, Net Win Margin 8.5%; YTD Net Win Margin was 9.4%, down 1.0pp year-over-year.

• Q2 operating cash outflow of AUD 9.7 million, with closing cash of AUD 41 million (including AUD 13.6 million customer balances).

Outlook and guidance

• H2 FY26 normalized EBITDA expected between AUD 5 million and AUD 8 million, with FY27 guidance of AUD 13 million to AUD 19 million, assuming 10%-11% net win margin and modest market growth.

• Strategic investments in H1 expected to drive improved operating leverage and profitability in H2 and FY27.

• Marketing spend to decrease in H2, with major investments now complete and a leaner cost base established.

• Guidance does not rely on further M&A or step changes, but company retains optionality for inorganic growth.

• Financial targets assume no material adverse changes to cost of sales or regulatory settings.