• Revenue of $54.8 million, +9% vs prior year
• Underlying EBITDA (before FX) of $1.0 million, a $2.5 million improvement vs prior year
• Appen China revenue grew 88% vs prior year, with annualised run-rate exceeding $144 million

Appen Limited, a global market leader in data for the Artificial Intelligence (AI) lifecycle, reported its Q1 FY26 results. The company achieved revenue of $54.8 million, representing a 9.1% increase compared to the prior corresponding period. Underlying EBITDA (before FX) was $1.0 million, a $2.5 million improvement versus the prior year. Appen China continued its strong momentum, with quarterly revenue of $34.9 million, an 88% increase compared to the prior year. The China business exited the quarter with an annualised revenue run-rate exceeding $144 million. The Appen Global segment's performance reflected the typical seasonality and nature of project-based work, with quarterly revenue of $19.9 million, a 37% decrease versus the prior year. However, the company achieved several positive outcomes during the quarter, providing a healthy foundation for the remainder of the year. Appen remains well-positioned to capture growth in the AI data market, with a focus on revenue growth and ongoing underlying EBITDA profitability. The company reaffirmed its FY26 group guidance, targeting revenue of $270 - $300 million and an underlying EBITDA (before FX) margin of approximately 5-10%.

FY26 group guidance: Revenue of $270 - $300 million; Underlying EBITDA (before FX) margin of ~5-10%

Appen remains confident on the AI data market and the potential for the company to meaningfully contribute to the development of leading foundation models. The company continues to see positive signals on LLM related growth, including from Appen Global and Appen China customers.