COG Financial Services lifts profit 28% and grows dividend for FY26

COG Financial Services reported strong FY26 results, with EBITDA up 28% and customer numbers surging on acquisition gains.

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The COG Financial Services Ltd (ASX: COG) share price is in focus after reporting a 28% lift in EBITDA attributable to shareholders to $51.5 million for FY26, with earnings per share up 27% and a higher final dividend declared.

A company manager presents the ASX company earnings report to shareholders at an AGM.

Image source: Getty Images

What did COG Financial Services report?

  • EBITDA to shareholders of $51.5 million, up 28% on FY25
  • Earnings per share (EPSA) of 15.63 cents, up 27% year on year
  • Fully franked final dividend of 3.5 cents per share, up 17%
  • Net Assets Financed lifted 8% to $9.0 billion
  • Salary packaging customer numbers surged 31% to 68,510
  • Novated lease customers up 98% to 22,281

What else do investors need to know?

COG made strategic moves in FY26, acquiring 100% of Easifleet Pty Ltd and lifting its stake in Fleet Network Pty Ltd through subsidiaries. These investments have supported strong customer growth, particularly across the salary packaging and novated leasing lines, with demand bolstered by government electric vehicle incentives.

The Group's Broking & Aggregation business remained stable, and management noted continued focus on investing in digital platforms to enhance customer experience. COG also maintained its dividend reinvestment plan suspension for the final dividend.

What did COG Financial Services management say?

Chief Executive Officer Andrew Bennett said:

COG's underlying EBITDA to shareholders grew 28% on the prior year, driven by strong organic growth and disciplined acquisitions. Salary Packaging led the way with 51% revenue growth, thanks to volume gains and a recent acquisition, while the rest of the Group performed solidly despite continued investment in people and systems. These results show the strength of our diversified business and our disciplined approach to growth.

What's next for COG Financial Services?

Looking ahead, COG targets EBITDA growth of 10% or better in FY27, banking on continued strong results in salary packaging as electric vehicle adoption rises. Management is also backing technology and AI investments to further streamline operations and grow the business.

COG aims to expand its Broking & Aggregation services, reduce client churn, and pursue bolt-on acquisitions if the right opportunities arise. The company also expects further geographic expansion from its Equity-One unit.

COG Financial Services share price snapshot

Over the past 12 months, COG Financial Services shares have declined 18%, trailing the All Ordinaries Index (ASX: XAO), which has risen 1% over the same period.

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Motley Fool contributor Laura Stewart has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips. This article was prepared with the assistance of Large Language Model (LLM) tools for the initial summary of the company announcement. Any content assisted by AI is subject to our robust human-in-the-loop quality control framework, involving thorough review, substantial editing, and fact-checking by our experienced writers and editors holding appropriate credentials. The Motley Fool Australia stands behind the work of our editorial team and takes ultimate responsibility for the content published by The Motley Fool Australia.

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