Kogan.com Ltd

Kogan.com gross sales passed $0.5 billion, up 21%; Kogan.com revenue rose 17%; gross profit climbed 16% to nearly $100 million; and adjusted EBITDA increased 18% to $27.6 million, with adjusted EBITDA margin at 11.9%. Group revenue rose 5% to $287.6 million, and group adjusted EBITDA dipped 3%. Group gross margin held at 42.9%, delivered margin improved to 38.9%, fixed costs fell to 11.3% of sales, and adjusted EBIT margin was 9.7%. Kogan Group generated $46.9 million in operating cash flow and $45.1 million in free cash flow, ended with $71.8 million in total cash, and remained debt-free. Mighty Ape revenue declined 25% and adjusted EBITDA was a loss of $3.2 million; stock holdings were reduced by 32% and inventory release contributed $7.1 million year-on-year. For January 2026, gross sales were up 10% to $88.1 million and revenue was up 8%. Management guided to group adjusted earnings margins of 6% to 9% for full-year FY26, and said Mighty Ape is expected to return to positive performance in the second half, though they were cautious given New Zealand conditions and the ongoing rebuild.

Ruslan Kogan framed the quarter as evidence that the core Kogan.com model is working: value-led product sales, subscriptions, marketplaces and verticals are reinforcing each other. He repeatedly pointed to operating leverage, saying the company is growing without adding much fixed-cost weight and that the same playbook will be applied to Mighty Ape. His tone was confident and upbeat on Kogan.com, but more measured on Mighty Ape, which he described as a work in progress with large long-term upside if the integration and strategy reset continue.

David Shafer emphasized that Kogan.com did the “heavy lifting,” with revenue up 17%, gross profit up 16% to nearly $100 million, and adjusted EBITDA up 18% to $27.6 million. He highlighted the cash profile: $46.9 million in operating cash flow, $45.1 million in free cash flow, $71.8 million in total cash, and no debt. He also pointed to shareholder returns, including $5.8 million net of DRP in dividends, $4.8 million of buybacks, and an interim dividend of $0.080 per share fully franked. On Mighty Ape, he said the business had reduced stock holdings by 32%, cut costs, and was rebuilding inventory toward exclusive products, while expecting some working capital use but not enough to materially affect ongoing dividends or buybacks.

Analysts focused heavily on whether Kogan was benefiting from marketplace exits and competitors like Amazon and Temu; management said it was hard to isolate the source of market share gains, but cited strong Kogan FIRST adoption, broader product range, cost savings, and customer value as key drivers. Questions on New Zealand centered on the One Group integration, brand changes, inventory rebuild, and breakeven timing; management said the teams have been unified under one structure, with standardized KPIs and a push toward more platform-based sales, but stressed that Mighty Ape profitability in the second half is a cautious expectation rather than a firm promise. On margins, management said some of Mighty Ape’s improvement came from peak trading, but much of it reflected internal changes like lower operating costs and inventory reductions; they also said the stronger Aussie dollar should flow through to lower landed costs over the next 3 to 6 months.