Corporate Travel Management reports a 6% revenue increase and a 29% rise in EBITDA for 1QFY26, maintaining operational strength amid an ongoing audit review and trading suspension.
- 6% revenue growth to $180.2 million in 1QFY26
- 29% increase in underlying EBITDA to $40.9 million
- Strong liquidity with $168 million cash and zero drawn debt
- Europe leads regional growth driven by new customer wins and government contracts
- Ongoing audit review delays FY25 financial statements and trading suspension continues
Operational Resilience Amid Audit Review
Corporate Travel Management Limited (ASX – CTD) has delivered a solid start to the 2026 financial year, reporting a 6% increase in revenue and a 29% jump in underlying EBITDA for the quarter ended 30 September 2025. These results come despite the company remaining in trading suspension due to an ongoing review of its FY23 to FY25 financial statements and the delayed audit of FY25 results.
The company reassures investors that business operations have continued unaffected throughout this period, with customer engagements and supplier commitments proceeding as usual. This operational stability is a positive signal amid the uncertainty surrounding the audit review.
Regional Performance Highlights
Europe emerged as the standout region, posting the strongest EBITDA growth driven by significant customer wins in FY25 and increased participation in government panel contracts. This momentum helped offset a weak prior corresponding period, reflecting a successful turnaround.
North America showed steady recovery in corporate travel activity, aligning with broader airline sector trends, while Australia and New Zealand maintained stable customer activity despite cycling off a strong prior half. Conversely, Asia faced headwinds due to ongoing tariff uncertainties, particularly related to Greater China, which continues to weigh on regional performance.
Financial Strength and Strategic Outlook
CTM’s liquidity position remains robust, with $168 million in cash and no drawn debt as of 30 September 2025, supported by an available debt facility of $150 million. The company’s ability to leverage scale, automation, and artificial intelligence has helped keep costs steady even as revenues and earnings improved.
Customer retention remains high at 98%, with FY25 customer wins significantly exceeding forecasts at $1.72 billion versus a $1.0 billion target. Early FY26 wins stand at $0.43 billion against a full-year forecast of $1.1 billion, consistent with the company’s five-year strategic plan.
Looking Ahead
CTM plans to provide further updates in November, including the release of audited FY25 financial statements and FY26 guidance. Investors will be watching closely for any restatements or adjustments resulting from the audit review, as well as the company’s ability to sustain growth momentum once trading resumes.
Bottom Line?
CTM’s strong quarterly performance underscores resilience, but the pending audit review leaves key financial details, and market reactions, still to be revealed.
Questions in the middle?
- What adjustments, if any, will the FY25 audit review necessitate on prior financial results?
- How will CTM’s trading suspension impact investor confidence and share price upon resumption?
- Can the company sustain its EBITDA growth trajectory amid regional headwinds, especially in Asia?