Smart Parking Doubles Revenue to $62.6m, EBITDA Up 85% in H1 FY26
Smart Parking Limited has reported record first-half results for FY26, driven by strong organic growth and a successful US acquisition that boosted earnings per share by over 30%.
- Revenue nearly doubles to $62.6 million, up 96%
- Adjusted EBITDA climbs 85% to $15.6 million
- USA acquisition Peak Parking exceeds expectations, triggering full earn-out
- Global ANPR sites expand to 1,982 with 19% organic growth
- Free cash flow rises 89% to $10.4 million, supporting self-funded expansion
Record-Breaking Financial Performance
Smart Parking Limited (ASX, SPZ) has delivered a standout first half for FY26, posting record financial results that underscore the success of its growth strategy. Revenue surged by 96% to $62.6 million, while adjusted EBITDA rose 85% to $15.6 million compared to the previous corresponding period. Underlying net profit after tax (UNPATA) soared 163%, reflecting strong operational leverage and disciplined cost management.
The company’s earnings per share (EPS) also saw a significant uplift, with the acquisition of US-based Peak Parking contributing to more than 30% accretion. This acquisition not only met but exceeded initial expectations, triggering the full earn-out and cementing Smart Parking’s foothold in the lucrative North American market.
Expanding Global Footprint and Technology Leadership
Smart Parking’s portfolio of ANPR (automatic number plate recognition) sites grew 19% to 1,982 globally, spanning key markets including the UK, New Zealand, Germany, Denmark, Switzerland, and the USA. The UK remains a strong contributor with a 64% revenue increase and a 17% rise in sites under management, despite some pressure from local cost-of-living factors.
The company continues to invest heavily in proprietary technology platforms such as SmartCloud and Smart Vision, leveraging AI to enhance plate recognition accuracy and operational efficiency. These innovations underpin Smart Parking’s competitive edge, enabling rapid scaling and improved yield across its estate.
Robust Cash Flow and Balance Sheet Strength
Free cash flow jumped 89% to $10.4 million, fueling a self-funded organic growth strategy without reliance on external capital. Cash on hand increased to $15.3 million, excluding $10.2 million held on behalf of customers, while the company remains debt-free following the repayment of its revolving credit facility in mid-2025.
This strong financial position supports Smart Parking’s ambitious target of managing 3,000 ANPR sites by December 2028, reaffirming confidence in sustained growth and margin expansion.
Outlook, Accelerated Growth and Strategic Expansion
Looking ahead, Smart Parking plans to accelerate organic site additions, expand into new US states, and explore further acquisitions aligned with its disciplined criteria. The integration of Peak Parking is complete, and the rollout of ANPR technology in the US is progressing with 13 live sites already operational.
While some operational challenges remain, such as Denmark’s switch to manual operations impacting issuance and costs, the overall outlook remains positive. The company’s focus on technology innovation, regulatory compliance, and customer service positions it well to capture growing market opportunities globally.
Bottom Line?
Smart Parking’s record half-year performance and strategic US expansion set the stage for sustained growth and market leadership in parking management technology.
Questions in the middle?
- How will Smart Parking manage margin pressures from manual operations in Denmark?
- What are the next potential acquisition targets to complement the US expansion?
- How quickly can the company scale ANPR sites to meet its 3,000-site target by 2028?
