XRO Analysis: Xero Limited H1 FY26 Results

Event: Xero Limited H1 FY26 Results | Date: 2025-11-13 | Source: Xero Investor Relations

Xero Posts Strong 20% H1 Revenue Growth Amid Profit Surge

Xero Limited released its half-year results for the period ended 30 September 2025 (H1 FY26) on 13 November 2025, reporting operating revenue of $1.2 billion, up 20% year-over-year. The company achieved a net profit after tax of $96 million, a significant increase from $54 million in the prior corresponding period, driven by operating leverage and cost discipline. Adjusted EBITDA reached $415 million, with a 34.6% margin, reflecting strong underlying performance. However, shares dipped due to a miss in North America, where subscriber growth was softer than expected amid Melio integration efforts. Xero also reaffirmed its full-year FY26 outlook, targeting operating expenses at around 70.5% of revenue. Source: Xero H1 FY26 Results Presentation.