What drove Kogan.com's (ASX:KGN) earnings growth in the ten months to April?

Kogan.com's earnings lift was primarily driven by strong domestic performance, featuring an 18.2 per cent spike in core gross sales. Profitability was further boosted by margin expansion within the core Australian business, which helped lift total group gross profit by 11.1 per cent to $177.9 million.

Why is Mighty Ape dragging down the overall financial performance of Kogan.com (ASX:KGN)?

The New Zealand subsidiary, Mighty Ape, suffered a 14.2 per cent drop in gross sales and a 29 per cent plunge in revenue, resulting in an adjusted EBITDA loss of $3.8 million.

What were the key group-level financial metrics for Kogan.com (ASX:KGN) in this trading update?

At the group level, adjusted EBITDA climbed 17.4% to $37.5 million, and total gross sales advanced 13.2% to $875.6 million. Operational efficiency was also evident as the group's overall gross margin expanded to a healthy 41%.

How did the core Australian business of Kogan.com (ASX:KGN) perform on an EBIT level?

The core Australian Kogan.com business recorded significant bottom-line growth, with adjusted EBIT increasing 43.2 per cent to $32.8 million. This outpaced gross sales growth, demonstrating successful margin expansion and improved operational leverage within its primary market.

Why did Mighty Ape's revenue plunge by 29%?

Management attributed the steep revenue decline to a deliberate strategic decision to exit lower-margin product categories. While this move is intended to improve long-term profitability, it caused a severe short-term drop in top-line sales volume and revenue.

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Kogan earnings lift despite Mighty Ape drag

Written by Heidi Cuthbert Published May. 26 2026Last Updated May. 26 2026

Australian e-commerce firm Kogan.com (ASX:KGN) has delivered an earnings lift for the ten months ended April, propelled by surging domestic sales, though its New Zealand subsidiary Mighty Ape remains a drag on the group's overall performance.

Group adjusted EBITDA climbed 17.4% to $37.5 million.

The growth was underpinned by an 18.2% spike in gross sales at Kogan.com's core business, alongside margin expansion that drove core adjusted EBIT up by 43.2% to $32.8 million.

Total group gross profit also enjoyed an 11.1% boost, reaching $177.9 million.

However, the Australian momentum was heavily tempered by a sharp deterioration across the Tasman.

Mighty Ape witnessed a 14.2% drop in gross sales and a 29% revenue plunge, culminating in an adjusted EBITDA loss of $3.8 million.

Management attributed the decline to a deliberate exit from lower-margin product categories.

While Mighty Ape is currently undergoing a major restructure—shifting towards a capital-light model and expanding marketplace activity—these margin improvements have yet to translate into a bottom-line recovery.

Total group gross sales advanced 13.2% to $875.6 million, while the group's gross margin expanded to a healthy 41%, showcasing strong operational efficiency in its primary market.

At the time of reporting, Kogan.com's share price was $4.00.