• Marketplace revenue trend improving, decline moderated to -3.2% in 2QFY26
• Material margin expansion, with gross profit up 6.0% and gross profit after paid acquisition (GPAPA) up 8.9%
• Achieved highest EBIT in five years, with a $14.3 million uplift on 1HFY25

Articore Group Ltd has reported its 1HFY26 results, with the company delivering a strong performance and achieving its highest EBIT in five years. Marketplace revenue declined by 4.5% in 1HFY26, but the rate of decline moderated to -3.2% in 2QFY26, reflecting stronger paid marketing effectiveness, data-driven pricing, and more targeted promotional strategies. The company also reported material margin expansion, with gross profit up 6.0% and gross profit after paid acquisition (GPAPA) up 8.9%, driven by supply chain synergies and artist fee changes designed to strengthen marketplace dynamics. This resulted in a $14.3 million uplift in EBIT compared to 1HFY25. The company has also upgraded its FY26 EBIT guidance to $6 - $10 million, from the previous range of $2 - $8 million, and tightened its underlying cash flow guidance to the top end of the previous range, now $8 - $12 million. The company's turnaround strategy, including disciplined execution, technology consolidation, and the leveraging of AI, is driving sustainable momentum and strengthening the foundations for future growth.

FY26 EBIT guidance upgraded to $6 - $10 million from $2 - $8 million and underlying cash flow guidance tightened to the top end of its previous range, now $8 - $12 million.

The company is focused on stabilizing marketplace revenue decline and returning the group to growth, driving further cost savings and efficiencies to improve margins, transforming the marketplaces' tech stacks and operations, and undertaking a strategic review to assess capital structure, portfolio fit, and value creation pathways.