• Revenue down 10.9% to $53.5 million
• Gross Profit declined 11.6% to $18.5 million
• Reported EBITDA up 8.0% to $2.5 million
• Continued investment in Tyre Recycling Program

RPM Automotive Group Limited (ASX: RPM), a leading player in the Australian automotive aftermarket sector, has released its results for the six months ended 31 December 2025 ('H1 FY26'). Revenue declined 10.9% to $53.5 million, reflecting subdued macroeconomic trading in traditional business segments. Gross Profit declined 11.6% to $18.5 million, due to lower revenue, while gross margins remained consistent across core business segments. Reported EBITDA increased by 8.0% to $2.5 million. Operating Cash Flow declined to $0.2 million due to increased working capital requirements and delayed timing of cash receipts. The company's Wheels and Tyres division recorded a 10.5% decrease in revenue, while Repairs and Roadside revenue remained resilient, increasing 2.0% on the prior corresponding period. Performance and Accessories revenue was lower during the period, down 29.1%, primarily due to the sale of an underperforming division. Motorsport revenue increased 8.0% on the prior corresponding period. The company remains committed to investing in its next phase of growth, including the Tyre Recycling Program, while maintaining a disciplined focus on costs to position the business for the anticipated improvement in industry conditions.

We anticipate actions taken by management will steadily improve performance over the course of the second half, particularly in our traditional business segments. Whilst the ramp up in Tyre Recycling has been slower than anticipated, the commitment we have for this program remains unchanged, as we continue to invest in this significant growth opportunity. The investment already made in our Tyre wholesale operation is expected to provide a return over the medium to long term. We remain confident in the company's future and have implemented the necessary changes to position the business.