Aussie Broadband Limited (ASX:ABB), a constituent of the S&P/ASX 200, delivered a strong FY26 result on 24 August 2026, with Underlying EBITDA of $165.3 million (up 19.6%), Revenue of $1,295.4 million (up 9.2%) and on-net broadband connections exceeding 1.11 million at 30 June 2026 (up 41%). The company's NBN Market Share grew to 12.1%, making it the third-largest NBN retailer in Australia. Management announced a $115 million on-market share buyback and provided FY27 Underlying EBITDA guidance of $205-215 million, reflecting confidence in continued Operating Leverage and growth.

About the Company

Aussie Broadband Limited (ASX:ABB) is an ASX-listed Australian telecommunications company providing NBN (National Broadband Network) broadband, mobile, and Business data services. The company has grown from a regional internet service provider to the third-largest NBN retailer in Australia through organic growth and strategic acquisitions. Its Look-to-28 strategy articulates ambitions to further grow scale, market share and service breadth, with FY27 guidance supporting the trajectory toward those medium-term goals.

Recent Development

Aussie Broadband released its FY26 full year results on 24 August 2026. Underlying EBITDA was $165.3 million, up 19.6%. EPSA was 23.9 cents, up 25.8%. Revenue was $1,295.4 million, up 9.2%. On-net broadband connections exceeded 1.11 million at 30 June 2026, up 41%, and NBN market share grew 3.7 percentage points to 12.1%. Operating Cash Flow was $167.2 million, up 42.5%, with 101.2% cash conversion. Net leverage was 0.9x. The $115 million on-market share buyback was announced reflecting confidence in outlook and Balance Sheet strength. Total FY26 fully franked ordinary Dividend was 6.0 cents per share (up 50%), including a final dividend of 3.6 cents per share. Strategic transactions completed during the year included: completion of the More and Tangerine connection migrations in June 2026, and the acquisitions of AGL Telco and Nexgen broadening the customer base and capabilities. Migration of AGL Telco broadband and mobile services is on track to complete in Q2 FY27. FY27 Underlying EBITDA guidance is $205 million to $215 million, with 11,000 broadband connections added in the first weeks of FY27.

Sector Context

Australia's broadband market is in a sustained period of competitive consolidation. The largest retailer (Telstra) is facing growing challenges from scaled challengers like Aussie Broadband and TPG, and NBN Co's wholesale price structure creates a relatively similar cost base across retailers — putting Customer Service quality and Marketing effectiveness as the primary competitive variables. Aussie Broadband's reputation for superior customer service (particularly compared with Telstra) has been a key growth driver, allowing it to gain market share at a pace well above the market's natural growth.

Risks and Uncertainty

The 41% connection growth includes connections migrated from acquired brands (More, Tangerine, AGL Telco) — organic growth was lower. Churn management of the migrated customer bases is a key risk; customers who had a relationship with a different Brand (More, Tangerine, AGL Telco) may not experience the same loyalty to Aussie Broadband as organic customers. The AGL Telco integration is still ongoing (completing Q2 FY27). EBITDA Margin expansion depends on operating leverage in a fixed-cost business model, which can reverse if connection growth slows or competitive pressures increase marketing costs.

Catalysts Investors Can Watch

FY27 EBITDA delivery against the $205-215 million guidance range will be the primary test of the operating leverage thesis. AGL Telco migration completion in Q2 FY27 will remove integration uncertainty and allow a clean run-rate assessment of the combined business. NBN market share continuing to grow beyond 12.1% would signal ongoing organic momentum. The $115 million buyback execution reduces share count and supports EPS growth above the EBITDA growth rate.