Australian racing and wagering giant Tabcorp reported a slight 1.0% increase in group-wide revenues and a 14.3% increase in Group EBITDA in the six months to 31 December 2025, citing the positive impact of its Victorian Wagering and Betting License and better cost controls. These, the company added, helped make amends for lower yields during the core Spring Racing carnival and Australian footy finals during the period in question.
According to information filed Wednesday, Group revenue reached AU$1.34 billion (US$952 million), up 1.0% and “reflecting the full benefit of the reformed Victorian License and the impact of below-average wagering yields during the period.
Group operating expenses decreased 1.1% to AU$350.2 million while underlying operating expenses fell 3.7% compared to 1H25, adjusting for the impact of the reformed Victorian License.
The growth in earnings outlined above delivered positive operating leverage, with a 190bps improvement in EBITDA margin to 16.2%, Tabcorp explained.
1H26 included a 0.3% increase in turnover and 1.1% increase in revenue across domestic wagering, although without the impact of the Victorian License domestic wagering would have fallen by 2.5% due to those lower yields.
International wagering revenue increased by 6.6%, primarily due to the addition of new customers.
Tabcorp’s integrity services division saw revenue rise by 4.1% to AU$91.7 million on increased work projects, CPI-linked fee increases and an increase in the number of monitored EGMs.
The company declared an unfranked interim dividend of 1.5 cents per share, payable on 24 March.
“Our 1H26 results highlight that we are a more consistent company, with greater capability,” said Tabcorp’s Managing Director and CEO, Gillon McLachlan. “We’re executing on our game plan while delivering ongoing cost and capital discipline.
“There’s greater depth in our business. I’m proud we’ve delivered double-digit earnings growth in a half where wagering operators were impacted by a run of low yields during the Footy Finals and Spring Racing Carnival. We have been able to absorb this through strong execution by the team, particularly on the cost side, and through the diversity in our business.
“Through TAB and SKY, our digital, retail and media assets are more closely connected, creating a genuine omnichannel experience for our customers. I expect that to evolve further in the second half of the year.
“There’s more to do and we’re not where we want to be yet, but we have made significant progress in the first half. We will remain relentless in executing on our strategy in the second half and beyond.”
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