OFX Group (OFX) H1 2026 earnings summary

Executive summary

• Transitioned from a single-service cross-border payments provider to a multi-service platform for corporate clients, targeting a $66 billion revenue opportunity and aiming to simplify financial operations and drive global business growth.

• Net operating income for the half year was $105 million, down 5.6% year-over-year but up 1.2% sequentially, with underlying EBITDA at $14.5 million, a 50.1% decline versus the prior comparable period.

• B2B revenue increased 4.2% while B2C revenue declined 8.7% compared to the previous half, reflecting segment divergence.

• Corporate active clients stabilized, with 11.8% growth in new transacting clients year-over-year, driven by strategic organic growth.

• No dividends were paid or declared during the period.

Financial highlights

• Fee and trading income was $109.1 million, down 4.7% year-over-year, with NOI margin at 0.55%, down 4 basis points from the prior period.

• Underlying operating expenses rose 10.2% to $90.5 million, including $3.2 million in bad debts from North America.

• Underlying EBITDA margin declined to 13.7%–14.1%, down over 13 percentage points year-over-year.

• Net cash held at period end was $75.4 million, with net available cash at $47.1 million after debt and guarantees.

• Earnings per share (basic) was 1.01 cents, down from 4.48 cents year-over-year.

Outlook and guidance

• Committed to at least 15% NOI growth and 30% EBITDA margins by FY2028, with FY26 OPEX expected between $173.7 million–$181.2 million and CAPEX guidance lowered to $20 million–$21 million.

• Not targeting operating leverage in FY26 or FY27 due to ongoing investment; focus is on completing corporate migration and rolling out NCP to consumers in FY27.

• Consumer migration and launches in FY2027 will require no incremental CAPEX.

• Management and board remain confident in the strategy and execution.

• Continued investment in product development and client engagement is expected to support future growth.