• 12% revenue growth vs 1H25
• Maintained strong Gross Profit Margin of 82.6%
• 66 design wins, an 8% increase vs 1H25
• Ongoing investment to support product development and future growth

Audinate Group Ltd reported a return to revenue growth in 1H FY26, with a 12% increase compared to the prior corresponding period. This was driven by strong bookings and growth across its product portfolio, including a 51% increase in Adaptors revenue and 17% growth in Embedded Software revenue. The company maintained a strong gross profit margin of 82.6%, supported by a favorable product mix. Audinate also reported 66 design wins, an 8% increase compared to 1H FY25, strengthening the foundation for future revenue expansion. The company continued to invest in product development and future growth initiatives, with R&D costs increasing 19% year-on-year. Audinate implemented organizational changes to better align its cost base with strategic Dante platform objectives, supporting a more efficient cost structure while preserving long-term platform capability. The company ended the period with A$70.9 million in cash and term deposits, providing strong financial capacity and strategic flexibility.

Audinate's FY26 full-year outlook is for US-dollar gross profit growth of 13-15% over FY25, underpinned by strong forward orders secured in 1H FY26. Gross margin percentage is expected to remain broadly in line with FY25, supported by a shift toward high-margin software revenue. Operating costs for FY26 are now expected to increase by 20% over FY25, reflecting continued investment in strategic initiatives including Iris, Dante Director and the broader Dante platform.

Audinate is positioned at the forefront of the global AV industry's shift from proprietary hardware to IP-based, software-driven solutions, and is well placed to drive the next phase of industry transformation. The company's strategic priorities for FY26 include accelerating growth in Dante-enabled devices, delivering integrated solutions for key use cases, supporting the successful market entry of the Iris video platform, and advancing the Dante Director functionality and commercial focus.