HUB24 Limited (ASX:HUB) delivered a standout FY26 with 23% revenue growth, 30% EBITDA increase, and record platform net inflows of $18.9 billion, while boosting dividends by 39%.
- Record $18.9 billion platform net inflows
- Underlying EBITDA up 30% to $211.4 million
- Platform Funds Under Administration grew 24% to $139.5 billion
- Final dividend increased 31% to 42.0 cents per share
- Strong progress on sustainability and governance reforms
Record Platform Inflows and Market Share Gains
HUB24 Limited (ASX:HUB) posted a robust FY26, highlighted by record platform net inflows of $18.9 billion, marking a 20% increase over FY25 when excluding large migrations. This influx propelled Platform Funds Under Administration (FUA) 24% higher to $139.5 billion, cementing HUB24’s position as the sixth largest platform by FUA and the fastest growing in market share, which rose to 9.9% as of 31 March 2026.
The platform segment’s active adviser base expanded 11% to 5,649, underpinning sustained growth momentum. HUB24 ranked first for quarterly and annual net inflows for an impressive tenth consecutive quarter, reflecting strong adviser advocacy and client trust.
Financial Performance Surges with Margin Expansion
The Group’s total revenue climbed 23% to $501.1 million, driven by a 26% increase in platform revenue to $406.9 million and a 9% rise in Tech Solutions revenue to $84.0 million. Underlying EBITDA rose 30% to $211.4 million, with the platform segment delivering a 31% uplift to $186.7 million. The Group’s underlying EBITDA margin expanded by 230 basis points to 42.2%, reflecting operational leverage and disciplined cost management amid strategic investments.
Statutory net profit after tax surged 51% to $120.2 million, while underlying NPAT increased 40% to $137.3 million. The company’s earnings per share also saw a healthy boost, with underlying diluted EPS up 42% to 167 cents.
Dividend Raised by 39% on Strong Cashflow and Capital Management
Reflecting confidence in its financial strength and growth outlook, HUB24 declared a fully franked final dividend of 42.0 cents per share, a 31% increase year-on-year. Combined with the interim dividend of 36.0 cents, the total FY26 dividend rose 39% to 78.0 cents per share, with a payout ratio of 46% of underlying NPAT, comfortably within the Group’s target range of 40%-60%.
The Group maintained robust operating cash flows of $177 million, up 19%, and a strong balance sheet with net cash of $41 million after borrowings. Capital management initiatives included $56 million in treasury share purchases to offset dilution from employee share schemes.
Strategic Progress and Innovation Drive Future Growth
HUB24 advanced its strategic priorities by enhancing product offerings and investing in technology innovation. The launch of the market-leading Engage reporting tool, now used by approximately 7,200 advice practices, and the award-winning multi-step transitions capability underscore the company’s commitment to adviser productivity and client outcomes.
The Group also progressed the development of myhub, an AI-powered open architecture ecosystem integrating HUB24’s platform, Class, and myprosperity, alongside third-party solutions. A pilot is expected in the first half of FY27.
In a significant governance move, HUB24 exercised its call option to acquire HTFS Nominees Pty Limited, trustee of the HUB24 Super Fund, aiming to bring trustee services in-house pending regulatory approvals. This transition is expected to enhance long-term member outcomes and governance standards.
Sustainability and Governance Enhancements
FY26 saw HUB24 adopt the new AASB S2 climate-related financial disclosure standards and publish its inaugural statutory Sustainability Report, alongside a voluntary Sustainability Supplement. The Group set a net zero target for scope 1 and 2 emissions by 2030, with progress driven by office consolidations and renewable energy procurement.
Governance reforms included restructuring Board committees to separate Audit and Risk functions and establishing dedicated Nomination and People and Culture committees, reflecting the Group’s growth and complexity. The Board welcomed new Non-Executive Director Andrew Formica, bringing extensive global investment management experience.
Executive Remuneration Aligned with Performance
Executive remuneration was reviewed and adjusted to remain competitive against financial services and technology sector benchmarks. The Managing Director achieved 96% of FY26 KPI targets, with short-term incentives closely linked to financial, strategic, operational, and cultural metrics. Long-term incentives are tied to EPS growth, relative total shareholder return, custodial FUA growth, and strategic plan execution, reinforcing alignment with shareholder value creation.
Looking ahead, the Board is reviewing FY27 remuneration arrangements in light of the trustee transition and evolving regulatory requirements.
Bottom Line?
HUB24’s record inflows and earnings growth reinforce its market leadership, but execution of the trustee acquisition and regulatory approvals will be key to sustaining momentum.
Questions in the middle?
- How will the transition of HUB24 Super Fund trustee in-house impact operational costs and governance?
- Can HUB24 maintain its market share gains amid intensifying competition and evolving adviser preferences?
- What role will emerging technologies like AI play in accelerating adviser productivity and client engagement?