Future (FUTR) H1 2026 earnings summary

Executive summary

• Revenue declined 8% year-over-year to £349.1m, with a 6% organic decrease, mainly due to search ecosystem changes and pressures in high-margin programmatic advertising and eCommerce affiliates.

• Adjusted EBITDA fell 24% to £83.3m, with margin dropping to 24% from 29% last year.

• Adjusted diluted EPS decreased 22% to 46.4p; statutory diluted EPS was down 66% to 12.9p.

• Growth initiatives and new AI-driven products are generating new revenue streams, offsetting legacy declines.

• Cash generation remained strong, with adjusted free cash flow at £91.1m (109% of adjusted EBITDA); £52.9m returned to shareholders.

Financial highlights

• Gross margin decreased by 2 percentage points to 71%, due to lower-margin revenue mix.

• Sales, marketing, and editorial costs increased by 2% to £129.5m; admin and overhead costs decreased by 5% to £36.3m.

• Adjusted operating profit margin dropped to 21% from 27%.

• Net debt increased to £314.1m, with leverage at 1.6x.

• £52.9m returned to shareholders via buybacks and dividends.

Outlook and guidance

• FY 2026 organic revenues expected to decline mid-single digits, with programmatic and e-commerce declines offset by growth in direct advertising.

• EBITDA margin guidance is 25%-27%, with cash conversion around 90%.

• Analyst consensus for FY 2026: Revenue £710m, EBITDA £183m.

• Leverage expected to remain at 1.6x-1.7x by year-end, with a medium-term target to reduce to 1x.

• Confidence in achieving sustainable revenue growth and strong cash generation in the medium term.