Megaport (MP1) H1 2026 earnings summary

Executive summary

• Annual Recurring Revenue (ARR) reached AUD 338 million (or $338M), up 49% year-over-year, driven by strong organic growth and major acquisitions including Latitude.sh and Extreme IX.

• U.S. market delivered exceptional growth, with Americas ARR up 24% year-over-year and revenue of $81.2 million, representing 60% of total revenue.

• Net new logo growth doubled year-over-year, reflecting successful go-to-market investments and product innovation, with new products accounting for over 30% of ARR growth.

• Customer lifetime increased to 13 years, with total lifetime value up 57% to AUD 2.5 billion.

• Group reported a net loss of $19.1 million, primarily due to $15.8 million in acquisition-related costs.

Financial highlights

• Group ARR reached AUD 338 million, with Megaport standalone at AUD 263 million (up 19% constant currency); H1 FY26 revenue was $134.9M, up 26% year-over-year.

• EBITDA margin at 26%, with EBITDA up 28% to $35.3M; gross profit rose 31% to $97.6M, gross margin improved to 72%.

• Operating cash inflow was $36.0M, up 14% year-over-year; closing cash balance at $206.3M, net cash $177.0M.

• Net cash outflow under AUD 10 million for the period, reflecting expansion and CapEx; net cash outflows of $141.3 million for investing activities, mainly due to acquisitions.

• No dividend declared for the period.

Outlook and guidance

• FY26 combined group revenue guidance raised to AUD 302–317 million ($302M–$317M); EBITDA margin expected at 21–24%.

• CapEx guidance for FY26 is AUD 90–100 million ($90M–$100M), including $8–10M for India expansion.

• Megaport Network revenue guidance tightened to AUD 264–270 million, reflecting strong H1 performance and Americas growth.

• Continued investment in go-to-market, product innovation, and network expansion, especially in the Americas and India.

• Latitude.sh revenue guidance reaffirmed; FX sensitivities detailed (AUD 0.05 movement = AUD 9 million revenue impact).