A double-digit percentage surge across Kogan.com’s financial metrics has been offset by slips in the group’s Mighty Ape marketplace subsidiary.
Australian marketplace Kogan.com has recorded a 21 per cent lift in gross sales for the first half of FY26, with similar double-digit percentage lifts for revenue, gross profit and net profit.
Despite the top-line surge, Kogan group’s gross sales were up 16 per cent, dragged down by a 9 per cent fall in gross sales for its Mighty Ape marketplace.
Mighty Ape was initially born as a gaming-focused marketplace in New Zealand, with Kogan shifting the company’s model to selling a wider assortment, including fashion items.
Kogan founder and CEO Ruslan Kogan said the slip for Mighty Ape comes despite making “good progress” with the subsidiary’s reset stabilisation, with profit for the marketplace achieved in December.
According to the group, Mighty Ape cleared suboptimal inventory and achieved stronger contributions from the marketplace, Mighty Mobile and its Primate membership program, while also having integrated the Mighty Ape team as part of the overall team.
Management is now shifting its focus to rebuilding inventory with new ranges, further optimisation of processes and operations, and expanding the Mighty Ape verticals.
“The company intends to achieve this through the One Group Strategy, which will replicate the successful Kogan.com operating model across Mighty Ape, prioritising platform-based sales, to drive scalable, capital-light profitability,” the group reported.
“Management enters the second half of FY26 confident in the business reset, yet maintains a conservative outlook given ongoing New Zealand economic headwinds and continuing internal optimisations in the Mighty Ape business.”
For the first half, Mighty Ape’s total revenue was down 25 per cent to $55.2 million, with gross sales down 9 per cent to $70.8 million. The marketplace’s gross profit for the half was also down by 29 per cent to $14.5 million, with net profit after tax (NPAT) and adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) in the red.
The struggles in top-line metrics continued in the second half, with January 2026 gross sales for Mighty Ape down 13.3 per cent on the same time last year, with its revenue down 32.2 per cent.
Kogan.com revenue, meanwhile, was up 17 per cent to $232 million in the first half, gross profit up 16 per cent to $99.7 million and NPAT up 16 per cent to $12 million.
The Kogan marketplace’s gross sales remained elevated in January 2026, up 12.7 per cent, with its revenue up 18.2 per cent.
“Kogan.com’s consistent focus on delivering value to our growing customer base is driving significant momentum across our business,” Ruslan Kogan said. “Our platform’s strength allows us to continuously improve the shopping experience and deliver increasing value for our customers.
“We are very pleased with our ability to grow and serve over 3 million active customers. This dedication to value resonated during the crucial Christmas trading months of November and December. By helping millions of shoppers stretch their holiday budgets, we achieved a 35 per cent increase in adjusted EBITDA over the period.”
Ruslan added that the broader economic environment remains challenging for many households.
“In times like these, customers gravitate towards trusted brands that consistently deliver value,” he said. “The Kogan Group is well positioned in this regard, having built its reputation on providing marketing leading prices, supporting customers with unbeatable value that makes everyday shopping more affordable.”
Considering this, Kogan Group is projecting its adjusted EBITDA margins will hit between 6 per cent and 9 per cent in FY26, with the “strong first-half performance enabling the business to invest in growth initiatives, while weathering any economic headwinds in New Zealand.”
The company is also expecting a return to positive performance in Mighty Ape in the second half.