Siteminder (SDR) H1 2026 earnings summary

Executive summary

• Achieved 27.4% year-over-year ARR growth (constant currency, organic) to $280.3m for H1FY26, with total revenue up 25.5% to $131.1m and adjusted EBITDA more than doubling to $12.3m compared to H1FY25.

• Smart Platform initiatives, including Channels Plus, Dynamic Revenue Plus, and Smart Distribution Program, drove transaction revenue growth, margin expansion, and accelerated adoption, with transaction product uptake reaching 40,000 in H1FY26.

• Net property additions of 2,900 brought the total to 53,000 properties, with a focus on larger, higher-value hotels.

• AI-driven enhancements improved operational efficiency, product innovation, and customer engagement, supporting scalable growth.

• Positioned as a foundational layer for AI-enabled hotel commerce, supporting over 2.5 million rooms globally.

Financial highlights

• ARR reached $280.3m (+27.4% y/y cc, org); total revenue $131.1m (+25.5% y/y); adjusted EBITDA $12.3m (up from $5.3m in H1FY25); reported EBITDA $11.5m (H1FY25: $0.3m).

• Adjusted free cash flow improved to $2.7m (2.1% of revenue) from $(0.6)m in H1FY25.

• Adjusted gross margin increased to 67.8% (from 66.9% in H1FY25); transaction gross margin rose 558bps to 40.1%.

• Subscription revenue grew 17.7% y/y to $78.1m; transaction revenue grew 39.1% y/y to $53.0m.

• Adjusted loss after income tax narrowed to $(3.9)m from $(9.0)m in H1FY25; reported net loss at $(4.8)m, including restructuring costs.

Outlook and guidance

• Expects continued strong ARR and revenue growth in H2FY26, with further improvement in adjusted EBITDA, free cash flow, and Rule of 40 performance.

• Medium-term goal to accelerate toward 30% revenue growth while maintaining profitability discipline.

• Sees a 5x ARPU monetisation opportunity at full Smart Platform attach across the existing customer base.