Globe International – the company behind apparel and footwear brands FXD, Salty Crew and Globe – has reported lifts in its earnings and profits despite sales remaining nearly the same in FY26 compared to FY25.
The ASX-listed company reported sales of $206.4 million in FY26, up from $206.3 million last year, with double-digit lifts in earnings and profits. Globe International’s earnings before interest and tax (EBIT) grew by 13.4 per cent to $16.6 million, while its net profit after tax (NPAT) rose by 12.3 per cent to $11 million.
The company also bumped up its EBIT margin by 90 basis points to 8 per cent.
Globe International’s Australian market, which makes up just over half of all sales, saw a sales slip of around $1 million to $99.5 million, while its EBIT grew by $3 million to $15.7 million.
The North American division delivered segment EBIT of $8.8 million in AUD currency with a 11.4 per cent EBIT margin, despite a volatile geopolitical environment.
Following an operational reset, the European division delivered segment EBIT of $1.1 million, up from just $300,000 in FY25.
According to Globe, the flat sales came amid a revamped brand strategy, with an increased focus on core brand sales and margin growth.
The refined brand strategy has included a rationalisation of brands to favour those that are scaled in their categories with strong market positioning and growth potential. “This has resulted in the brand portfolio being significantly reduced to three core brands – FXD, Salty Crew and Globe – and a series of emerging and other brands including Impala, S-Double, Ritual Vision, Szade and XDMG.”
In FY26, the core brands delivered $183.1 million in sales, making up almost 90 per cent of total group revenue, with an EBIT margin of 15.6 per cent pre-allocations.
“The portfolio of emerging and other brands comprises a strategic mix of licensed and proprietary brands at various stages of maturity, some of which have been in operation for less than two years. These brands are expected to contribute a larger portion of revenue and EBIT going forward.”
Globe added that the strength of these core brands, alongside a strong balance sheet and improved cash position ($26.7 million), should provide a platform for future growth.
Globe CEO Matt Hill said he and the team anticipate further growth on the core brands FXD, Salty Crew and Globe, as well as its emerging brands.
“This is expected to lead to further revenue growth, and with continued focus on margin maintenance, we expect to see further EBIT improvement,” Hill said.
“We remain a founder-led company with real heritage.”