• Record revenue of $601m, up 21% vs FY24
• EBITDA margin of 3.1%, up 50 bps vs FY24
• Free cash flow of $38m, up 90% vs FY24

Temple & Webster Group Ltd reported a record financial performance for FY25, with revenue growing 21% to $601m and EBITDA margin expanding 50 bps to 3.1%. The strong revenue growth was driven by increases in both repeat and new active customers, with the company's share of the Australian furniture and homewares market reaching a record 2.7%. The company also saw a positive start to FY26, with revenue from 1 July to 11 August up 28% year-on-year. Margins improved due to a shift towards higher margin categories and reduced warehousing costs, despite increased promotional intensity. The company maintained cost discipline, with fixed costs as a percentage of revenue declining from 11.3% in FY24 to 10.6% in FY25. Temple & Webster also generated strong free cash flow of $38m, up 90% year-over-year, and ended the year with a cash balance of $144m and no debt.

Temple & Webster provided EBITDA margin guidance for FY26 of 3 - 5%, targeting the mid-point of the range.

The company remains focused on executing its long-term strategic goals, including becoming the top-of-mind brand in the category, increasing the proportion of revenue from exclusive products, and leveraging data, AI and technology to drive conversion and cost efficiencies. Temple & Webster is also looking to continue expanding its presence in adjacent growth areas such as home improvement.