AUB Group (AUB) H1 2026 earnings summary

Executive summary

• Underlying net profit after tax (UNPAT) rose 13.9% to AUD 90.4 million, with margin expanding to 33.9% in H1 FY2026, reflecting resilience and disciplined cost management.

• Revenue increased 6.6% year-over-year to AUD 759.5 million, with EPS up 13.9% to 77.54 cents and an interim dividend of 27.0 cents per share, up 8% year-over-year.

• International division led profit growth with 29% underlying PBT increase and 510bps margin expansion, while New Zealand Broking saw profits decline due to market softness.

• The Prestige acquisition and about 30 smaller equity investments completed in H1 FY2026, advancing UK retail strategy and strengthening the portfolio.

• Comprehensive income after tax was impacted by significant negative foreign currency translation reserves.

Financial highlights

• Organic profit growth was strong, with acquisitions contributing an additional 6% to profit growth; FX and funding costs had a -6.5% impact.

• EBIT margin reached 33.9%, up 190bps year-over-year, with meaningful expansion across the group.

• BizCover revenues grew 13.3%, EBIT margin up 330bps to 46.6%, and PBT up 23.3%.

• Agencies delivered 10.8% revenue growth and margin expansion to 42.4%, with PBT up 10%.

• Cash and undrawn debt stood at AUD 143.5 million at 31 Dec 2025; pro-forma post-Prestige acquisition at AUD 300.3 million.

Outlook and guidance

• FY2026 UNPAT guidance upgraded to AUD 220–230 million, representing 9.9%–14.9% growth over FY2025, including Prestige acquisition and step-ups in AUB 360 and Pacific Indemnity.

• Guidance incorporates FX and interest rate assumptions, with $36 million of US dollar brokerage income unhedged in H2 2026.

• Management expects continued strong performance, with Prestige acquisition expected to settle by 1 May 2026.