Appen Limited (ASX:APX) Lifts Quarterly AI Data Revenue as China Operations Expand

Aditi Sarkar

11 November 2026 04:33 PM AEDT

Appen Limited (ASX:APX) Lifts Quarterly AI Data Revenue as China Operations Expand

Image Source: Shutterstock

You are reading a free article with opinions that may differ from the recommendation given by Kalkine in its paid research reports. Become a Kalkine member today to get access to our research reports, in-depth technical and fundamental research. Learn more

Start Your Free Trial Now!

Highlights

• Appen generated USD 73.9 million in September-quarter revenue, increasing 34% from the same period last year.

• The company reported USD 10.3 million in quarterly underlying EBITDA before foreign exchange effects, rising substantially year-on-year.

• Appen China delivered USD 46.1 million in revenue, while Appen Global returned to positive underlying EBITDA.

• The company maintained FY26 Revenue guidance of USD 270 million to USD 300 million after its third-quarter update.

Generative AI projects and new customer relationships are driving a sharper quarterly performance at Appen Limited (ASX:APX). The September update showed revenue growth in both China and Global operations, alongside improved underlying earnings.

Trading Context

Appen shares were trading higher in the Wednesday session, with data showing the stock up about 3.6% at around AUD 1.14 at roughly 2:40pm AEDT on 11 November 2026, on Volume of about 1.7 million shares. No company announcement was lodged today. The most recent price-sensitive release was the Quarterly Report of 29 October, which put the AI data supplier’s turnaround in sharper focus.

September-Quarter Update

In its Q3 FY26 activity report and Appendix 4C, lodged on 29 October 2026, Appen said revenue for the September quarter was USAUD 73.9 million. That was 34% above the same quarter a year earlier and 13% above the June quarter. Underlying EBITDA before foreign exchange effects was USAUD 10.3 million, compared with USAUD 1.0 million a year earlier. The company noted that its January to September figures are unaudited management accounts and may change. Year to date, revenue was USAUD 193.8 million, up 23%, while underlying EBITDA was USAUD 15.7 million against a loss of USAUD 1.2 million in the prior period.

AI Data Operations

Appen describes itself as a global provider of data for the artificial intelligence lifecycle. It supplies the human-generated and curated data that technology companies use to train and evaluate AI models. The Business reports in two divisions: Appen China and Appen Global.

China Operations

Appen China generated USAUD 46.1 million of revenue in the quarter, up 61% on the prior corresponding period, with underlying EBITDA of USAUD 6.7 million. The company said September revenue annualised to a run-rate above USAUD 190 million, up from more than USAUD 175 million at the end of the June quarter. It attributed the growth to generative AI projects, including work supporting Chinese technology companies as they expand internationally.

Global Customer Expansion

Appen Global revenue was USAUD 27.9 million, 5% above the prior corresponding period and 17% above the June quarter. Underlying EBITDA was USAUD 5.6 million, compared with a USAUD 1.3 million loss in the June quarter. Excluding its largest customer, Global revenue grew 70% on the previous quarter. Appen also said it added two leading US-based frontier AI model builders as customers during the quarter, including a former major customer. Chief executive Ryan Kolln said the company now counts seven of the eight largest US AI model builders as clients, with projects in the pipeline with the eighth. He added that several of the relationships are at an early stage.

FY26 Outlook

Appen maintained its FY26 guidance of USAUD 270 million to USAUD 300 million in revenue and an underlying EBITDA Margin of roughly 5% to 10%. It said current visibility indicates revenue is likely to land in the lower half of that range, with the margin in the upper half. The ASX research data lists Appen as a member of the S&P/ASX All Ordinaries and the S&P/ASX Emerging Companies indices. Its 52-week range runs from about AUD 0.65 to AUD 1.975, so the shares remain well below their 12-month high despite the improved quarterly numbers.

Execution Considerations

The company’s own commentary points to some risks. Revenue is expected to finish in the lower half of guidance, several US customer relationships are early-stage, and the Global division’s Earnings have swung sharply from quarter to quarter. Appen China is also now the larger part of the group, which concentrates exposure to a single region. Its FY26 full-year results would follow the year-end, with the previous full-year result having been released on 25 February 2026.

FAQs

Q: What was Appen’s third-quarter revenue?

A: USD 73.9 million.

Q: What was Appen China revenue?

A: USD 46.1 million.

Q: What was Appen Global revenue?

A: USD 27.9 million.

Q: What is the FY26 revenue guidance?

A: USD 270 million to USD 300 million.

Download Free Report – Explore 3 Stock Ideas & Industry Insights

Unlock 3 stock ideas and key industry insights in our free report. This information is general in nature and does not consider your personal objectives, financial situation, or needs. It is not financial advice.

All investments involve risk—consider independent advice before making any investment decisions.

View 3 Research Reports

Disclaimer:

This article (“Article”) has been prepared by Kalkine Pty Limited (ABN 34 154 808 312) (Australian financial services licence number 425376) (“Kalkine”) and its related bodies corporate who are authorised to provide general financial product advice. Kalkine.com.au and its associated pages are published by Kalkine.

Any information/advice provided in this article is general in nature and does not take into account your objectives, financial situation or needs. You should therefore consider whether the information is appropriate for your objectives, financial situation and needs before acting upon it.

There may be a Product Disclosure Statement, Information Memorandum or other offer document (“Offer Document”) for the securities or other financial products referred to in Kalkine articles. You should obtain a copy of the Offer Document and consider it before making any decision about whether to acquire the security or financial product.

Kalkine strongly recommends that you seek advice from a financial adviser, stockbroker or other professional (including taxation and legal advice) before acting on any advice/information in this Article or on the Kalkine website. Not all investments are appropriate for all people.

The information in this Article and on Kalkine website has been prepared from a wide variety of sources, which Kalkine, to the best of its knowledge and belief, considers accurate. Kalkine has made every effort to ensure the reliability of the information contained in its articles (including this Article), newsletters and websites. All information represents our views at the date of publication and may change without notice.

The information in this Article does not constitute an offer to sell securities or other financial products or a solicitation of an offer to buy securities or other financial products.

Kalkine does not issue, sell or deal in any financial products.

This Article may contain information on past performance of particular investments. Please note past performance is neither an indicator nor a guarantee of future performance.

To the extent permitted by law, and excluding any dishonesty or gross negligence by Kalkine, Kalkine disclaims and excludes all liability for any direct, indirect, implied, punitive, special, incidental or other consequential loss or damage arising from the use of or reliance on this Article, the Kalkine website and any information published on the Kalkine website without any warranties or representations by Kalkine to you. To the extent the law prohibits or limits this exclusion, Kalkine limits its liability to the resupply of services.

Please also read our Terms & Conditions and Financial Services Guide for further information.

Employees and/or associates of Kalkine and its related entities may hold interests in the securities or other financial products covered in this Article or on the Kalkine website. Any such employees and associates are required to comply with certain safeguards, procedures and disclosures as required by law.

Some of the images/music that may be used in the Article are copyright to their respective owner(s). Kalkine does not claim ownership of any of the pictures displayed/music used in the Article unless stated otherwise. The images/music that may be used in the Article are taken from various sources on the internet, including paid subscriptions or are believed to be in public domain. We have used reasonable efforts to accredit the source wherever it was indicated or was found to be necessary.

Kalkine Media Pty Ltd, an affiliate of Kalkine Pty Ltd, may have received, or be entitled to receive, financial consideration in connection with providing information about certain entity(s) covered on its website.