Zip reaffirms FY26 earnings guidance on strong US performance
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The news: Zip has reaffirmed its FY26 group earnings before interest and tax guidance (EBTDA) of at least $260 million, supported by continued growth in its US business.
The numbers: For the March quarter, total transaction volume (TTV) rose 22.4% to $4 billion, while group cash EBTDA surged 41.5% to $65.1 million compared to the prior corresponding period.
Total income saw a 20.2% year-on-year increase to $335.2 million, and the number of active customers rose 3.5% to 6.5 million.
The context: Zip stated that its stronger quarterly performance was driven by high growth in the US business, which now serves as its primary customer base. As of March, the US division reached 4.6 million active customers compared to 1.9 million in the ANZ business.
In the US, the April TTV exceeded 40% year-on-year growth, with US credit outcomes performing in line with expectations and are forecast to improve to below 1.7% of TTV in the fourth quarter.
The source: ASX
