Bailador Technology Investments reports a 33% rise in net profit for HY26 and declares a fully-franked interim dividend, underpinned by robust portfolio company valuations and cash realisations.
- Net profit after tax rises to $23.2 million in HY26
- Interim fully-franked dividend declared at 3.9 cents per share
- Net Tangible Asset per share increases to $1.76 post-tax
- Significant valuation uplifts in key portfolio companies including SiteMinder and PropHero
- $25 million cash realised from partial sale of SiteMinder
Strong Financial Performance
Bailador Technology Investments (ASX – BTI) has delivered a solid set of interim results for the half year ending December 2025, reporting a net profit after tax of $23.2 million, up from $17.5 million in the prior corresponding period. This 33% increase reflects the ongoing momentum across its portfolio of fast-growing technology companies.
The company declared an interim fully-franked dividend of 3.9 cents per share, which translates to an annualised grossed-up yield of 8.9%. This dividend continues Bailador’s commitment to providing shareholders with a stable and attractive income stream, supported by a dividend reinvestment plan (DRP) offered at a 2.5% discount.
Portfolio Growth and Valuation Uplifts
Bailador’s net tangible asset (NTA) per share rose to $1.76 post-tax, an increase of $0.12 over the previous financial year. When factoring in dividends paid during the period, the NTA uplift is even more pronounced at $0.156 per share. This growth is underpinned by strong valuation gains across key portfolio companies.
SiteMinder, a leading cloud platform for the hospitality industry, saw its share price surge by 37.2%, contributing to a $25 million cash realisation from a partial sale. Other portfolio highlights include Updoc, which increased in valuation by 20.5%, PropHero with a 45.6% uplift, and Hapana rising 17.3%. These companies exemplify Bailador’s focus on high-margin, recurring revenue businesses with strong growth trajectories.
Strategic Positioning Amid Market Dynamics
Management remains confident in the portfolio’s positioning despite recent market fluctuations, particularly around the evolving impact of artificial intelligence (AI) on software-as-a-service (SaaS) businesses. Bailador’s co-founders highlighted the team’s active engagement with portfolio companies to navigate both opportunities and risks presented by AI advancements.
The portfolio’s characteristics, approximately 65% gross margin, 85% recurring revenue, and 42% revenue growth, provide a resilient foundation. Bailador continues to apply conservative valuations and has a track record of realising investments above carrying value, reinforcing investor confidence.
Looking Ahead
With a diversified portfolio spanning multiple high-growth technology sectors and a strong cash position, Bailador is well placed to capitalise on further expansion opportunities. The company’s ongoing dividend policy and active portfolio management suggest a steady path forward, even as market conditions evolve.
Bottom Line?
Bailador’s HY26 results reinforce its role as a steady hand in tech investment, but the unfolding AI landscape will test its portfolio’s adaptability.
Questions in the middle?
- How will Bailador’s portfolio companies leverage AI to sustain growth?
- What are the risks if market valuations for tech companies adjust downward?
- Will Bailador increase capital deployment or realise more investments in the near term?