Kogan.com Accelerates Earnings Growth as Mighty Ape Narrows Losses

Kogan.com Drives Group Growth with Strong Sales and Profit Leverage

Kogan.com Ltd (ASX:KGN) has delivered a solid performance over the 10 months to 30 April 2026, with gross sales climbing 13.2% to $875.6 million across the group. The flagship Kogan.com segment led the charge, posting an 18.2% increase in gross sales to $773.9 million, supported by a 9% rise in active customers to 3.5 million. This customer growth, alongside heightened engagement and platform sales expansion, translated into an 18.1% revenue uplift and a 19.5% surge in gross profit for Kogan.com. Operational efficiencies and strategic marketing spend underpinned a 32% jump in adjusted EBITDA to $41.3 million, lifting the segment’s adjusted EBITDA margin by 1.2 percentage points to 11.5%. This momentum builds on earlier gains, reflecting the company’s continued focus on digital efficiency and value delivery for customers. The placement of platform-based sales as a key growth driver echoes the company’s FY25 half-year results where platform sales surged, contributing to margin expansion and customer base growth Kogan.com Powers Ahead with 21% Sales Growth as Mighty Ape Resets.

Mighty Ape’s Strategic Reset Shows Early Signs of Margin Recovery

Mighty Ape, the New Zealand-based retail arm, continues its turnaround journey by shifting toward a capital-light, higher-margin model. The removal of underperforming product lines and the introduction of private label ranges sold through Kogan.com’s marketplace are key elements of this strategy. These moves have helped lift Mighty Ape’s gross margin by 1.3 percentage points to 29.4% over the 10-month period, with a more pronounced 8.4 percentage point jump to 37.8% in the last four months to April. Adjusted EBITDA losses narrowed by 52.8% in that recent period, reflecting the impact of structural cost reductions and improved sales mix. Despite these gains, Mighty Ape remains loss-making on an adjusted EBIT basis, with losses deepening due to ongoing investments in the strategic reset. This progress aligns with the company’s earlier commentary on the inventory and operational reset completed in FY25, which set the stage for the current margin improvements Kogan.com Posts Robust FY25 Growth as Mighty Ape Recovery Gains Traction.

Group Financials Reflect Operating Leverage and Profitability Gains

At the group level, Kogan.com Ltd reported an adjusted EBITDA margin of 8.6%, near the upper bound of its FY26 guidance range. Group revenue increased by 6% to $433.7 million, while gross profit rose 11.1% to $177.9 million, supported by a 1.9 percentage point expansion in gross margin to 41%. The group’s adjusted EBITDA grew 17.4% to $37.5 million, with adjusted EBIT up 25.4% to $26.9 million. These results underscore the benefits of Kogan.com’s scale and operational discipline, as well as the early success of Mighty Ape’s turnaround efforts. The group’s ability to generate operating leverage amid a competitive retail environment highlights the resilience of its diversified portfolio, which includes retail, services, and marketplace offerings. Investors should note that these figures are drawn from unaudited management accounts and that Mighty Ape’s path to sustained profitability remains a work in progress.