2 ASX shares to buy and hold for the next decade

I'd back these investments to deliver good results over the long-term.

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Key points

  • Holding ASX shares long-term benefits from compounding, lower brokerage fees, and reduced tax impacts, promising potentially superior outcomes.
  • Temple & Webster shows robust revenue growth with an aim for $1 billion in annual sales, leveraging a capital-light model to boost profitability.
  • Siteminder is effectively capturing larger hotel markets, enhancing recurring revenue through its smart platform initiatives and showing promising margin growth.

I think owning ASX shares for the long-term makes a lot of sense and can produce the best results, if we invest in the right ones.

Holding stocks for a long time allows for compounding to work its magic, it reduces brokerage fees and it means not reducing returns through (capital gains) tax events.

I'm going to suggest two ASX shares that have an exciting future, which have already grown significantly, and I'm expecting plenty more growth.

Temple & Webster Group Ltd (ASX: TPW)

Temple & Webster is an e-commerce business that sells a huge range of furniture and homewares. A significant portion of the products is shipped directly by suppliers, enabling faster delivery times and reducing the need to hold inventory, enabling the business to offer customers a larger product range. This also means it has a capital-light model for the volume of product that it's selling.

Additionally, it has a private label range, a growing range of home improvement products and a trade and commercial segment for business customers.

The ASX share's offering is clearly resonating with customers. In FY25, revenue jumped 21% year-over-year to $601 million, with active customers rising by 16% year-over-year to 1.3 million. In FY26 to 11 August 2025, revenue climbed a further 28% year-over-year, suggesting another strong year in FY26.

Temple & Webster is aiming to reach $1 billion of annual sales in the medium-term, while also delivering rising profit margins. I think it's very likely to achieve its goals because of ongoing e-commerce adoption as well as the strength of its retail offering for households.

The company is seeing its fixed costs as a percentage of revenue continue to improve, going from 11.3% in FY24 to 10.6% in FY25. Operating leverage can help this further in the coming years.

Temple & Webster is expecting the operating profit (EBITDA) margin to be between 3% to 5% in FY26. In the long-term, it's aiming for an EBITDA margin of at least 15%, showing it's expecting a significant rise in profitability in the future (combined with fast-growing revenue).

In ten years, I think this ASX share could be generating impressive profits compared to many others in the sector.

Siteminder Ltd (ASX: SDR)

Siteminder is a tech company that provides software to help hotels maximise their revenue and manage their operations. In recent times, the company has been focused on winning larger hotels, which come with significantly more potential transactions.

The business has a goal of strong organic revenue growth – Siteminder continues to grow at a solid pace, even if it's not quite as fast (yet) as the company would like.

In FY25, total revenue increased 17.7% to $224.3 million, while annualised recurring revenue (ARR) soared 30.6% to $273 million. The ARR growth reflects contributions from its new smart platform initiatives and sustained momentum for the rest of the business. It implies solid revenue growth is already locked in for FY26.

The ASX share is succeeding at unlocking more revenue from existing subscribers as well as winning new hotels. In FY25, net property additions came to 5,600, taking the total properties using its software to 50,100. It said it continues to have success pursuing larger hotel properties.

Pleasingly, the business is also seeing rapid growth of its margins, including the gross profit margin, the operating profit (EBITDA) margin and the operating cash flow.

With initiatives planned to scale its smart platform further in FY26, I'm expecting strong revenue growth for the foreseeable future and strengthening margins.

I'm bullish about the long-term potential of this ASX share.

Motley Fool contributor Tristan Harrison has positions in SiteMinder and Temple & Webster Group. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended SiteMinder and Temple & Webster Group. The Motley Fool Australia has positions in and has recommended SiteMinder. The Motley Fool Australia has recommended Temple & Webster Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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