Objective (OCL) H1 2026 earnings summary

Executive summary

• Achieved 100% subscription-based software revenue, with SaaS revenue up 24% and adjusted EBITDA margin at 40% for the half-year.

• Revenue reached $67 million, up 9% year-over-year, with ARR at $120 million (+12%) and net profit after tax of $19 million, up 10%.

• Strong R&D investment at 28% of software revenue, totaling $17 million for the period and $140 million over five years.

• Operating cash flow was $22 million, up 72% year-over-year, and cash balance at period end was $95 million.

• Integration of IsoPlan and Isovist acquisitions expanded product offerings and market reach.

Financial highlights

• Adjusted EBITDA was $26 million, up 11% year-over-year, with a margin of 40%.

• Interim dividend of $0.13 per share declared, unfranked, up 13% from prior period.

• Cash balance of $95 million after dividends and acquisitions; no external borrowings.

• Operating cash flow increased 72% to $22 million.

• Earnings per share rose to 19.6 cents from 17.9 cents year-over-year.

Outlook and guidance

• FY2026 ARR growth guidance of 10–14% on a constant currency basis, targeting 15% through organic growth and R&D.

• Continued strong EBITDA margin expected, leveraging AI leadership and expanding use cases.

• R&D investment expected to remain stable, using AI efficiencies to accelerate innovation.

• Focus remains on organic growth, with M&A activity paused pending market valuation adjustments.

• Modest contribution from Objective Build in Australia expected in FY2026, with stronger impact anticipated in FY2027.