Audinate Group Ltd. Announces Strong Revenue Growth Amid Continued EBITDA Losses

Audinate Group Ltd. (ASX: AUD), a Sydney‑based software developer specialising in digital media networking solutions, released its half‑year FY 2026 investor presentation and financial statements on 15 February 2026. The company highlighted a 12 % rise in ordinary‑activity revenue compared with the previous year, driven largely by the launch of its new “AVIO for installation” product line, while reporting a sharp deterioration in profitability.

Revenue and Operating Performance

  • Revenue for the half‑year ended 31 December 2025 increased 12.1 % year‑on‑year to $32.2 million (AUD 000s).
  • Underlying EBITDA fell 368.9 % to a loss of $2.26 million, a stark reversal from the prior‑year profitability that had been reported.
  • Loss before income tax surged 227 % to $13.98 million, and the loss from ordinary activities after tax attributable to Audinate’s owners rose 379 % to $10.58 million.

The company attributes the revenue lift to robust bookings across its key customer base, which includes commercial installed systems, live sound, broadcasting, corporate systems, and professional recording. The introduction of the “AVIO for installation” range has been identified as a significant contributor to the upward trend.

Outlook and Strategic Positioning

Despite the negative EBITDA figure, Audinate’s CEO, Aidan Williams, emphasized that the company is on a trajectory to restore profitability as the new product portfolio matures. “The first‑half results demonstrate the market’s confidence in our solutions and validate the strategic focus on high‑margin, high‑growth product lines,” Williams said during the investor briefing.

The CFO, Chris Rollinson, noted that the company has maintained a healthy cash position and that the current cash burn is manageable within the projected timeline for EBITDA recovery. “We are investing heavily in engineering and sales to accelerate adoption of our new offerings, and we expect these investments to pay off in the second half of FY 2026,” he added.

Market Context

Audinate’s performance has unfolded against a backdrop of mixed market sentiment on the Australian Securities Exchange. On 15 February, the ASX 200 futures were up modestly at the close, reflecting broader investor caution amid global macroeconomic uncertainty. Meanwhile, the information‑technology sector on the ASX fell 5 % in early trade, underscoring the volatility that tech‑focused stocks face during earnings season.

The company’s market‑cap of approximately AUD 331 million and a price‑to‑earnings ratio of –48.08 indicate that investors remain wary of the firm’s current profitability trajectory. Yet the steady revenue growth and the successful launch of new product lines suggest that Audinate may be positioning itself for a turnaround once the product cycle matures.

Conclusion

Audinate Group Ltd.’s latest half‑year results paint a picture of a company in transition. Revenue is on an upward path, driven by strong customer demand and strategic product launches. However, the firm continues to grapple with significant operating losses, a challenge that it plans to address through disciplined investment in growth areas and operational efficiencies. As the market watches, Audinate’s ability to translate its revenue gains into profitability will be pivotal in determining its future valuation and investor confidence.