Motio Limited expects FY26 Cash EBITDA to exceed prior year by more than 24%, driven by record monthly revenues and broad-based business momentum.
- Cash EBITDA growth forecast above 24% for FY26
- May and June set consecutive revenue records
- Strong operating leverage with gross margins over 80%
- Broad-based growth across advertising channels
- Healthy forward revenue position entering FY27
Robust Earnings Growth Despite Market Caution
Motio Limited (ASX:MXO) is closing FY26 on a high note, anticipating Cash EBITDA growth exceeding 24% compared to FY25, based on unaudited management accounts. This comes amid ongoing advertiser caution and compressed campaign timings, highlighting the company’s resilience in a challenging advertising market.
May marked the highest revenue month in Motio’s history, with June on track to surpass that record, signalling accelerating momentum. Notably, this surge is not concentrated in a handful of campaigns or clients but is broad-based across the business, underscoring diversified demand.
Diverse Channels Fuel Growth and Forward Visibility
The company’s national advertising segment continues to perform strongly, complemented by growth in its programmatic channel. Increasingly, Motio is securing and delivering campaigns on very short notice, reflecting agility and strong client relationships. The forward revenue pipeline remains healthy, providing a solid foundation as the company embarks on FY27.
Operating Leverage Amplifies Earnings Impact
Motio’s business model benefits from significant operating leverage. With gross margins exceeding 80% and a relatively fixed cost base, revenue growth translates efficiently into earnings and cash flow improvements. This dynamic is evident as the company scales, enhancing shareholder value through improved profitability metrics.
CEO Adam Cadwallader emphasised the quality behind the numbers, attributing the strong performance to solid customer relationships, a dedicated team, and disciplined strategy execution over recent years. A more detailed FY26 trading update and outlook will be provided on 3 July 2026.
Bottom Line?
Motio’s sustained revenue momentum and operating leverage position it well for FY27, but investors will watch closely for how the company navigates ongoing advertiser caution and campaign timing pressures.
Questions in the middle?
- Will Motio’s programmatic channel continue its growth trajectory into FY27?
- How sustainable are the record revenue months given compressed campaign timings?
- What strategic initiatives will Motio pursue to maintain operating leverage gains?