CAR Group Limited has delivered solid full-year results for the 2026 financial year, reporting proforma revenue of $1,253 million and proforma EBITDA of $700 million in constant currency terms. The company generated adjusted net profit after tax of $407 million in constant currency, with reported NPAT of $314 million under IFRS accounting standards. These results represent continued growth for the automotive retail and digital marketing platform, which operates across multiple geographies and customer segments.
The financial metrics reveal a business generating substantial cash returns. Adjusted earnings per share reached 107.6 cents, while the company achieved 100 percent cash conversion, indicating that nearly all earnings flow through to actual cash generation without heavy capital requirements or working capital strains. Net debt sits at 1.7 times proforma EBITDA, a moderate leverage level that provides flexibility for strategic opportunities or shareholder returns without materially increasing financial risk.
CAR Group’s longer-term growth trajectory provides perspective for FY26 performance. Over the five-year period from FY22 to FY26, proforma revenue has expanded at a 13 percent compound annual growth rate, while adjusted net profit after tax has grown at a faster 20 percent CAGR. Proforma EBITDA has grown at 14 percent annually, with adjusted earnings per share expanding at 13 percent per annum. This consistency demonstrates the company has achieved margin expansion and operational leverage across its business.
The strength of cash conversion at 100 percent stands out as an indicator of earnings quality, showing that reported profits translate directly to cash generation without significant non-cash charges clouding the picture. The company’s proforma EBITDA margin performance, though requiring context from the detailed reconciliation notes regarding non-IFRS adjustments, indicates substantial value capture from revenue. This suggests management has been effective at controlling costs relative to top-line growth.
For investors, these results affirm CAR Group’s position as a mature, profitable operation with consistent earnings growth. The 20 percent NPAT CAGR over five years exceeds revenue growth, signaling successful operational improvements and efficiency gains. Looking ahead, investors should monitor FY27 guidance for signs of growth acceleration or deceleration, track any material acquisitions or strategic divestitures such as the Australian Tyres business disposal noted in the results, and observe net debt movements as the company navigates economic conditions.
This announcement is price sensitive material and has been flagged as material by the ASX.
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About CAR Group Limited (ASX: CAR)
CAR Group Limited is an ASX-listed digital marketplace operator specializing in online vehicle sales across multiple countries including Australia, New Zealand, Brazil, South Korea, Malaysia, Indonesia, Thailand, Chile, China, and North America. The company’s flagship platform, carsales.com.au, is the dominant online automotive marketplace in Australia. The group generates revenue from its global digital marketplace operations and is classified within the Communication Services sector of the S&P/ASX 200 index.
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