PEXA rallies after first-half operating EBITDA beats expectations
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More news: Shares in PEXA rallied in morning trade as operating EBITDA and core NPATA beat expectations, despite the company reporting an $18.7 million total comprehensive loss in its half-year results.
Shares rose 6.43% to $15.23 at 2:22pm AEDT.
UBS analysts flagged that core operating EBITDA of $85.8 million was 21.8% ahead of consensus expectations and continuing NPATA of $40.3 million was 39.8% ahead of expectations.
Analysts at Jarden held a buy rating on the stock and set a target price of $17.40, citing robust half-year results that beat market expectations, with FY26 international cashflow guidance unchanged.
PEXA posts first-half loss of $19m due to Digital Solutions business shutdown
The news: Electronic conveyancing giant PEXA has delivered an $18.7 million total comprehensive loss, less than the $28.1 million loss in the previous period, after the shutdown of its digital solutions business.
Group net profit after tax from continuing operations was $15.4 million, up from a $29.6 million loss in the previous corresponding period amid record volumes on the Australian exchange and “cost discipline”, according to the company.
The numbers: PEXA’s revenue also lifted 10% to $215.3 million as the company processed record transaction volumes in Australia and on 19 December hit an all-time daily transaction record of 41,000. Five of PEXA’s highest daily settlement values in history occurred in December.
The group’s guidance was restated to remove the influence of discontinued operations. Group revenue guidance was cut back to the range between $395 million and $415 million, down from the range between $405 million and $430 million.
Group capital investment guidance has been cut back to between $50 million and $55 million, down from between $60 million and $65 million.
No interim dividend was declared.
The context: PEXA UK also commenced its NatWest implementation commenced during the period and is on track for completion in the fourth quarter of 2026. There is also “ongoing market recovery” in the UK, according to CEO Russell Cohen, with sale & purchase volumes up 15% and remortgage volumes up 24%.
What they said: “After a significant period of change across the Group, I am incredibly proud of what our team has achieved this half – unifying on a clearer set of initiatives, a company-wide embrace of AI tools and continued advocacy for digitisation in our industry,” Cohen said.
The sources: ASX, Jarden research, UBS research
