Eureka FY26 slides: rental growth drives 29% EBITDA gain

Eureka Group Holdings reported strong FY26 results, exceeding expectations on multiple financial fronts. The rental specialist, Australia's only ASX-listed rental company, saw underlying EBITDA grow 29% to $21.7 million and underlying EPS up 10% year-over-year to 3.45 cents. Revenue increased 24% to $56.7 million, driven by portfolio expansion and rental growth.

Cash flow surged 41% to $15.2 million. The company maintains its dividend at 1.46 cents per share. Eureka's strategy to acquire and repurpose existing rental communities below replacement cost appears well-positioned to capitalize on housing shortages, with structural supply constraints and record-high building costs in Australia's rental market.