Tabcorp Holdings has announced a 14.3 percent yearly uptick in group EBITDA for fiscal 1H26, ending December 31st, as the company dials in on being “a more consistent company, with greater capability”.
According to results released on Wednesday, EBITDA hit AU$217.4 million ($154 million), despite revenue only rising by 1 percent yearly to AU$1.34 billion ($953.93 million). The racing and wagering group notes that the results reflect ‘the full benefit of the reformed Victorian Wagering and Betting License […] and the impact of below average wagering yields during the period’.
Tabcorp was awarded a 20-year wagering and betting license in December of 2023, which came into effect in August 2024.
The group’s Wagering and Media segment saw just a 0.8 percent rise in revenue during the six-month period, to AU$1.25 billion ($887.75 million) but segment EBITDA rose by 15.8 percent yearly to AU$181.4 million ($128.52 million).
The group highlighted that domestic wagering turnover increased by 0.3 percent, ‘reflecting modestly improved trading conditions over the half’ as domestic wagering revenue rose 1.1 percent yearly, benefitting from a full six months of the reformed Victorian License. Meanwhile international wagering revenue rose by 6.6 percent, ‘primarily due to the addition of new customers’.
The group’s Integrity Services segment saw a 4.1 percent rise in revenue in fiscal 1H26, to AU$91.7 million ($64.97 million), with EBITDA up by 7.5 percent yearly to AU$36 million ($25.51 million). The figures were driven by ‘increased project work, CPI-linked fee increases, and an increase in the number of monitored EGMs’.
Tabcorp announced a 1H26 unfranked interim dividend of AU$0.015 ($0.011) per share
Looking ahead, the group indicates that it expects ‘the wagering turnover environment in the second half of FY26 to be similar to the first half’.
It’s currently expected capex to be between AU$120 million ($85 million) and AU$140 million ($99.2 million), with an additional AU$5 million ($3.54 million) in opex for advertising and promotion investment for the 2026 FIFA World Cup.
The group also notes that it ‘will maintain its heightened focus on cost management in FY26 to partially offset inflationary pressures’.
Speaking of the 1H26 results, Tabcorp Managing Director and CEO Gillon McLachlan noted that “There’s greater depth in our business. I’m proud we’ve delivered double digit earnings growth in a half where wagering operators were impacted by a run of low yields during the Footy Finals and Spring Racing Carnival. We have been able to absorb this through strong execution by the team, particularly on the cost side, and through the diversity in our business”.
The executive furthered that “There’s more to do and we’re not where we want to be yet, but we have made significant progress in the first half, and we will remain relentless in executing on our strategy in the second half and beyond”.
