CAR Group (CAR) H2 2026 earnings summary

Executive summary

• Delivered 12% growth in pro forma revenue to $1,253m and EBITDA to $700m, and 11% growth in adjusted NPAT to $407m, all in constant currency, meeting FY 2026 guidance.

• Maintained strong EBITDA margins at 56% and 100% operating cash conversion, while investing in AI-driven innovation, new product launches, and ecosystem expansion.

• Achieved consistent double-digit compound growth over five years across key financial metrics, with all regions—Australia, North America, Latin America, and Asia—contributing.

• Strategic focus on operational excellence, digital transformation, and expanding connected vehicle ecosystems.

• Diversified global portfolio with strong performance and market leadership in key geographies.

Financial highlights

• Pro forma revenue and EBITDA up 12% year-over-year to $1,253m and $700m; adjusted NPAT up 11% to $407m; reported NPAT up 14% to $314m.

• Group EBITDA margin steady at 56%; segment margins: Australia 66%, North America 60%, Latin America 56%, Asia 45%.

• Adjusted EPS grew 11% to 107.6 cents; full-year dividends per share up 8% to 86.0 cents, with final dividend of 43.5 cents per share.

• Cash conversion at 100%; net debt to EBITDA stable at 1.7x.

• Effective tax rate at 20%, slightly higher due to regional mix and U.S. tax timing.

Outlook and guidance

• FY27 guidance: revenue growth 11%-14%, adjusted EBITDA growth 10%-13%, adjusted NPAT growth 9%-12%, all in constant currency.

• Australia expected to deliver high single-digit revenue growth; double-digit growth anticipated in North America, Latin America, and Asia.

• Operating leverage expected in Australia and Latin America; North America and Asia to see higher revenue growth than EBITDA due to ongoing investments.

• Net finance costs forecasted at $66m-$72m; depreciation and amortization to grow 16%-19%; effective tax rate 20-21%.

• Software development CapEx to remain around 10% of revenue.