• Group sales revenue up 8% to A$2,407m
• EBITDA down 8% to A$222m, EBIT down 18% to A$129m
• 15 net new branches added, 5 in ANZ and 10 in the US
• Soft housing markets and elevated costs impact performance

Reece Ltd has announced its Q1FY26 trading update. The Group delivered sales revenue of A$2,407m for the first quarter, up 8% on the same period last year, and up 6% on a constant currency basis. The increase in Group revenue was driven by incremental sales from network expansion completed in FY25. Sales on a like for like basis increased 2%, reflecting low single-digit growth in ANZ and low single-digit decline in the US. The Group delivered 1Q FY26 EBITDA of $222m, down 8% year-on-year. EBIT declined 18% to $129m due to elevated depreciation and amortisation associated with ongoing investment in the business. During the quarter, 15 net new branches were added to the branch network, comprising of 5 branches in ANZ and 10 branches in the US. The company noted that the first quarter was soft, reflecting subdued housing markets, with costs remaining elevated driven by network growth, ongoing investment in core capabilities and the impact of labour cost inflation in competitive markets, especially the US. The company expects a period of soft activity in both regions but remains committed to investing to build a stronger business for its team and customers.

The company expects a period of soft activity in both the ANZ and US regions but remains committed to investing to build a stronger business for its team and customers.