The Agency posts record FY26 GCI of $151.6 million as earnings strengthen
In its results for the year ended 30 June 2026 (FY26), released on 31 August 2026, The Agency Group Australia Limited (ASX: AU1) delivered a record Gross Commission Income (GCI) of $151.6 million, up 21%, while underlying EBITDA (pre-AASB 16) rose 59% to $1.79 million.
The result was achieved despite a material softening in housing conditions late in the year, with growth supported by geographic diversification and higher agent productivity. Statutory net loss after tax narrowed 56% to $2.37 million.
The company also confirmed that confidential merger discussions with Aura Group Holdings Pte Ltd remain incomplete, a matter detailed further below.
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FY26 financial results at a glance
The full-year figures pointed to clear operating leverage across the national platform. Revenue rose 10% to $108.7 million while GCI grew 21%.
Gross profit increased 11% to $35.7 million, with gross margin expanding modestly to 32.8%. Operating expenses rose 10% to $34.5 million, broadly in line with revenue growth as the company invested in its larger network. Statutory EBITDA increased 29% to $4.86 million.
The narrowing of the statutory net loss was assisted by lower non-cash rent roll amortisation, following the conclusion of the majority of NSW rent roll amortisation in September 2025. FY26 depreciation and amortisation fell to $4.73 million from $6.62 million.
| Metric | FY26 | FY25 | Change |
|---|---|---|---|
| Gross Commission Income | $151.6m | $125.3m | +21% |
| Revenue | $108.7m | $98.5m | +10% |
| Gross profit | $35.7m | $32.1m | +11% |
| Statutory EBITDA | $4.86m | $3.76m | +29% |
| Underlying EBITDA (pre-AASB 16) | $1.79m | $1.12m | +59% |
| Statutory net loss after tax | $(2.37)m | $(5.44)m | 56% improvement |
Executive Chairman, Andrew Jensen
“FY26 was another year of meaningful progress for The Agency. We grew GCI by 21% to a record $151.6 million, expanded our agent network to more than 500 and delivered a further improvement in underlying earnings. The result demonstrates the value of our national platform and the operating leverage available as productive agents and established offices join the network. Importantly, we achieved this growth while market conditions became more challenging late in the year. Our priorities remain disciplined recruitment, improved productivity, growth in recurring property management income and careful cost management. While the current market requires a measured approach, the scale of our national platform positions the business to respond when transaction conditions improve.”
Inside the direct-engagement model: how The Agency makes money
The Agency operates a direct-engagement agent model. Rather than running a traditional franchise or office network, the company contracts directly with agents, removing the conventional “middle layer” and reducing the administrative burden associated with operating an office.
A useful concept for investors is GCI, or Gross Commission Income. GCI reflects the total commission generated across the entire agent network, which differs from the revenue the company itself records.
Why does this matter? The national platform and the operating leverage available as productive agents and established offices join the network supports earnings growth. Recurring property management income adds a layer of resilience across residential market cycles.
Residential sales and property management drive the result
Record agent network and sales scale
Agent numbers increased 16% to a record 511, up 69 from a year earlier, underpinning broader national scale. Key sales metrics included:
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6,849 properties sold, up 3%
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Gross sales value up 21% to $9.02 billion
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Average sale price up 18% to approximately $1.32 million
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Listings up 5% to 7,971, with total listing value up 9% to $10.84 billion
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Revenue per agent up 4% to approximately $62,400
GCI growth was led by Queensland, Tasmania, New South Wales and Victoria. Western Australia remained the largest contributor to GCI, although transaction volumes moderated during the year.
Recurring property management base
Property management revenue increased 7% to $14.48 million, with the combined portfolio up 2% to 12,261 properties. This comprised 5,481 owned management rights and 6,780 properties under service arrangements.
A notable feature is off-balance-sheet value. The independently assessed market value of the company’s owned rent rolls was approximately $38.10 million, of which only $2.68 million was recognised on the balance sheet. This represents an estimated $35.42 million of value not reflected in reported net assets, an increase of $2.01 million year-on-year.
The settlements business completed 1,732 transactions during FY26, with revenue down 6% to $2.12 million.
A softer market, and how the platform absorbed it
Housing market momentum weakened late in FY26. According to Cotality’s August 2026 Monthly Housing Chart Pack, key indicators included:
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National dwelling values down 1.9% over the three months to July 2026, with Sydney down 4.0% and Melbourne down 3.4%
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Total advertised listings 14.9% higher year-on-year over the four weeks ended 9 August 2026
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Combined capital-city auction clearance rates falling to a low of 42.3% in late June
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National median time on market lengthening to 35 days, with vendor discounting widening
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The RBA holding the cash rate at 4.35% in August for a second consecutive meeting, following three increases between February and May
This context weighed on the second half. The company delivered underlying EBITDA of $2.06 million in the first half, with the full-year outcome reflecting an underlying EBITDA loss of approximately $0.27 million in the second half. Management attributed this to normal seasonality in agent commission structures, investment in the larger network and the cooling housing market.
The 1H FY26 results, released in February 2026, showed EBITDA growth of 199% to $2.06 million as operating leverage began materialising across the platform, with GCI surging 34% and agent productivity rising ahead of headcount growth.
The national footprint provided some protection, with stronger contributions from several East Coast markets offsetting softer volumes in Western Australia.
Aura Group merger talks: what shareholders should know
The Agency confirmed that discussions with Aura Group Holdings Pte Ltd regarding a confidential, non-binding and conditional scrip-for-scrip merger proposal remain incomplete.
The proposal is based on a current indicative transaction price of $0.04 per AU1 share, with a valuation of Aura Group that remains under discussion and subject to Aura Group’s listing on the ASX. The Board has provided Aura Group with a period of exclusivity to conduct due diligence and progress transaction documentation.
Importantly, no binding transaction agreement has been entered into and there is no certainty that the discussions will result in a transaction. AU1 shareholders do not need to take any action, and the company will provide further updates in accordance with its continuous disclosure obligations.
The investment case and FY27 outlook
The Agency enters FY27 with a larger agent network, record FY26 GCI and an expanded recurring property management platform. Management has framed these as providing a stronger operating base, though the near-term outlook is tempered by weaker housing market momentum.
At July 2026, the national listing pipeline represented approximately $75.0 million of indicative potential GCI, up from approximately $47.3 million at July 2025. Applying a 7.5% prudence adjustment results in an adjusted indicative value of approximately $69.4 million. These figures are a point-in-time measure and are not contracted revenue or earnings guidance.
The company has surpassed its previously stated GCI run-rate milestone of approximately $150 million. The Board retains a longer-term ambition to grow GCI to $175 million and ultimately $200 million, though the timing remains uncertain and no FY27 earnings or GCI guidance has been provided.
Management indicated it will maintain a disciplined approach to costs, recruitment and investment, with the company explicitly not assuming a near-term return to the market conditions experienced earlier in FY26.
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