Stonegate Capital Partners has updated its coverage on NZX Limited (NZSE: NZX), following the company's release of its second-half 2026 financial results. For the period, NZX reported revenue of $67.2 million, operating profit of $17.7 million, and EBITDA of $27.6 million. These figures compare to Stonegate's estimates of $68.8 million, $16.2 million, and $27.7 million, respectively. While revenue came in modestly below expectations, profitability was broadly in line with forecasts.
The variance in revenue was primarily driven by softer market activity, which Stonegate attributes to lingering macroeconomic uncertainty. However, the firm expects market conditions to improve over time. Underlying earnings held up well, with 2H26 EBITDA of $27.6 million closely matching projections. This resilience underscores the strength of NZX's core operations.
Key growth drivers were the Smart and Wealth Tech segments, which saw significant expansion. Funds under management (FUM) increased by 17.4%, while funds under administration (FUA) rose by 23.1%, indicating robust demand for NZX's technology-enabled services. These segments are expected to continue contributing to the company's growth trajectory.
Looking ahead, NZX provided 2026 EBITDA guidance in the range of $53.0 million to $58.5 million. This guidance signals management's confidence in maintaining momentum despite the current macroeconomic headwinds. The guidance range implies continued operational efficiency and potential for earnings growth.
For more details, the full announcement is available at Stonegate's website. Stonegate Capital Partners, a leading capital markets advisory firm, provides investor relations, equity research, and institutional investor outreach services. Their affiliate, Stonegate Capital Markets (member FINRA), offers a full spectrum of investment banking services for public and private companies.
The update from Stonegate highlights NZX's ability to navigate a challenging economic environment while investing in high-growth areas. With a solid balance sheet and clear strategic focus, NZX appears well-positioned to capitalize on improving market conditions. Investors will be watching closely to see if the company can meet its EBITDA guidance and continue to expand its market share in the wealth and technology sectors.
