Experience Co Posts Q1 FY27 EBITDA Up 20% on 6% Revenue Growth

The Experience Co Q1 Trading Update shows revenue up 6% to $32.8 million but Underlying EBITDA surging 20% to $4.8 million, with the Inflite deal, a union hearing and an AGM all close at hand.
By Josua Ferreira -
  • Underlying EBITDA rose 20% to $4.8 million and Underlying EBIT rose 37% to $1.7 million on revenue growth of only 6% to $32.8 million, a clear operating leverage signal.
  • Skydiving revenue climbed 9% to $13.2 million with tandem volume up 7%, and bookings were ahead of the PCP in every month at Skydive Australia.
  • Treetops Adventure revenue grew 13% on a 1% volume decline, while Reef Unlimited volume fell 3% as weaker regional visitation weighed on trading.
  • The $1.25 million West Beach Adventure acquisition adds about $450,000 in pro-forma EBITDA and takes Treetops into South Australia for the first time.
  • Three catalysts are close: an AWU hearing in early November, the AGM on 18 November with an Inflite update, and a binding determination by February 2027.
Summarise with AI:

Experience Co outlines Q1 FY27 revenue up 6% and Underlying EBITDA up 20%

In its October 2026 Q1 27 trading update, management at Experience Co outlined unaudited sales revenue of $32.8 million, up 6% on the prior corresponding period (PCP, being Q1 FY26). Underlying EBITDA reached $4.8 million, a 20% increase.

Underlying EBIT came in at $1.7 million, up 37%. All figures are unaudited and relate to continuing operations, which exclude the Wild Bush Luxury business unit following completion of its divestment on 1 May 2026.

Earnings grew faster than revenue, which points to operating leverage across the group. The table below sets out the headline metrics.

Metric ($ million) Q1 27 Q1 26 Change
Skydiving revenue 13.2 12.1 9%
Adventure Experiences revenue 19.6 18.8 4%
Sales revenue 32.8 30.9 6%
Underlying EBITDA 4.8 4.0 20%
Underlying EBIT 1.7 1.2 37%

Management’s commentary on the quarter included the following points:

  • September was stronger, following more weather-impacted trading in August after a solid start in July.
  • Volume performance varied by site due to differing impacts of weather, international customer visitation trends and domestic consumer sentiment.
  • The group recorded a modest margin improvement.

Skydiving delivers strongest Q1 tandem volume in four years

The Skydiving segment generated revenue of $13.2 million, up 9% on the PCP, with total tandem volume up 7%. Management noted that Q1 is a seasonally lower volume quarter for the segment.

Skydive Australia

Skydive Australia revenue rose 12%, driven by volume growth of 7% and improved third-party maintenance and aircraft cross-hire revenue for Performance Aviation. Volume growth at drop zones in NSW, VIC and SEQ offset softer trading at the Tropical North Queensland drop zones.

Total bookings were ahead of the PCP in each month of the quarter.

Skydive New Zealand

Skydive New Zealand revenue grew 4% on volume growth of 7%. Both drop zones were unable to operate for much of the second half of August because of weather, a gap offset by a strong September.

Booking levels remain ahead of the PCP at both drop zones.

Higher revenues and volumes improved the segment’s operating leverage, which offset some margin pressures in Adventure Experiences. Annual tandem passengers across Skydive Australia and New Zealand were 114k in FY24, 119k in FY25 and 117k in FY26.

Adventure Experiences lifts revenue 4% on higher spend per customer

Adventure Experiences revenue reached $19.6 million, compared with $18.8 million in the PCP. Management attributed the 4% growth to higher average revenue per customer across both business units.

Adventure Experiences: Q1 27 Yield vs Volume

Reef Unlimited

Reef Unlimited revenue increased 2%. Average revenue per customer rose 4%, reflecting historical rate increases and a stronger contribution from the Reef Magic pontoon experience.

Volume fell 3%, reflecting generally less favourable weather conditions and softer Cairns/Port Douglas regional visitation.

Treetops Adventure

Treetops Adventure revenue grew 13%, with average revenue per customer up 14%. Management cited historical rate increases, site mix and a continued focus on improving ancillary customer spend, while volume declined 1% on mixed performance across sites and weather impacts.

West Beach Adventure (Adelaide) was integrated within Treetops Adventure during the quarter following its acquisition on 30 June 2026.

The West Beach Adventure acquisition cost $1.25 million and added a site with about $450,000 in pro-forma EBITDA, marking Treetops Adventure’s first entry into South Australia.

Q1 27 volume as a percentage of the PCP was 107% for Skydiving, 97% for Reef Unlimited and 99% for Treetops.

Why yield and operating leverage matter for experience operators

Operating leverage describes what happens once fixed costs are covered: additional revenue can lift earnings faster than it lifts sales. Underlying EBITDA rose 20% on revenue growth of 6%, consistent with that pattern.

Underlying EBITDA differs from statutory profit. It is a non-AAS measure that adjusts EBITDA for acquisition-related transaction costs, restructure costs and other significant items, and net gains and losses on the sale of assets. The unaudited figures are post AASB 16.

Yield, meaning revenue earned per customer, was also visible in the Treetops result, where revenue rose 13% on a 1% volume decline.

October trading and what happens next for Experience Co

The October update outlined the following trading conditions:

  • Skydive Australia and Skydive New Zealand both recorded strong performance during the Golden Week trading period.
  • Reef Unlimited recorded strong bookings during Golden Week, but trading is being impacted by regional visitation levels.
  • Treetops Adventure volumes remain softer than the PCP to date, with management focused on yield.

Management also stated that further progress was made on negotiations with Inflite Group during the quarter. The stated upcoming events are:

The Inflite Aviation deal terms outlined in July proposed a MergeCo valued at about $110m enterprise value, with Experience Co receiving $41m cash, a $5m vendor note and a 32.5% equity stake.

  1. An Intractable Bargaining Determination hearing between the Australian Workers Union and Skydive Australia, scheduled for early November.
  2. A binding decision on that determination, due to be handed down by February 2027.
  3. The Experience Co AGM on 18 November 2026, where an update on the Inflite Group negotiations is to be provided.

Don’t Miss the Next Consumer Discretionary Winner

Get FREE breaking ASX news on consumer stocks delivered to your inbox within minutes of release, complete with in-depth analysis. Join 20,000+ investors using Big News Blast to stay ahead of the market. Click the “Free Alerts” button to start receiving alerts the moment market-moving news breaks.


Frequently Asked Questions

What is underlying EBITDA and how does it differ from statutory profit?

Underlying EBITDA is a non-AAS measure that adjusts EBITDA for acquisition-related transaction costs, restructure costs, other significant items and net gains or losses on asset sales. Experience Co's Q1 27 figure of $4.8 million is unaudited and reported post AASB 16.

What did Experience Co report in its Q1 FY27 trading update?

Experience Co reported unaudited sales revenue of $32.8 million, up 6%, with Underlying EBITDA up 20% to $4.8 million and Underlying EBIT up 37% to $1.7 million. The figures cover continuing operations and exclude the divested Wild Bush Luxury business.

What is operating leverage and why does it matter for Experience Co?

Operating leverage is when extra revenue lifts earnings faster than sales because fixed costs are already covered. Experience Co's EBITDA rose 20% on 6% revenue growth, which is consistent with that pattern.

When is the Experience Co AGM and what will be discussed on Inflite?

The Experience Co AGM is on 18 November 2026, where management plans to provide an update on its negotiations with Inflite Group. The July proposal outlined a MergeCo valued at about $110 million enterprise value.

What is the Skydive Australia union hearing and when will it be decided?

It is an Intractable Bargaining Determination hearing between the Australian Workers Union and Skydive Australia, scheduled for early November. A binding decision is due by February 2027.

Josua Ferreira
By Josua Ferreira
Partnership Director
Josua Ferreira holds a Bachelor of Commerce in Marketing and Advertising and brings a background in publication, business development, and ASX market storytelling. He has worked with listed companies across the resource sector and broader market, combining sharp commercial instincts with a genuine commitment to keeping investors informed.
Learn More
Companies Mentioned in Article

Breaking ASX Alerts Direct to Your Inbox

Join +20,000 subscribers receiving alerts.

Join thousands of investors who rely on StockWire X for timely, accurate market intelligence.

About the Publisher