Team Internet Group plc released its half‑year 2026 results on September 7. Net revenue fell 16% year‑on‑year to $61.0 million, driven largely by a 32% decline in gross revenue to $179.1 million after the wind‑down of Google’s AdSense for Domains product in April 2026. The decline in top‑line was partially offset by a sharp rise in gross margin, which increased to 34.1% from 27.6% in the comparable period a year earlier.
Adjusted EBITDA reached $19.5 million, an 8% rise over the second half of 2025 but still 21% below the prior‑year half. Operating profit turned positive at $3.0 million, the first half‑year profit since H1 2024. Adjusted earnings per share slipped 45% to 3.24 cents, while the forward price‑to‑earnings multiple stood at 6.7 times based on full‑year 2026 consensus estimates.
The balance sheet showed net debt of $117.6 million at June 30, up from $87.6 million at the end of 2025, though the company expects debt to fall to roughly $93.8 million by year‑end. Liquidity comprised $78.2 million, including $52.0 million in cash and an undrawn $26.2 million revolving credit facility. Net‑debt‑to‑LTM adjusted EBITDA was 3.1 times, with covenant leverage at 3.9 times.
Segment performance varied. The Domains, Identity & Software (DIS) division, which together with the Comparison segment accounts for 87% of total revenue, generated $40.8 million in net revenue, an 8% year‑on‑year increase, and $13.7 million in adjusted EBITDA, delivering a 34% margin. DIS now supports more than half of the top 20 new top‑level domains through 17,000 channel partners reaching over 7 million small‑ and medium‑size enterprises. The board values DIS at well above $160 million, according to guidance issued in November 2025.
The Comparison segment posted $12.4 million in net revenue, up 38% year‑on‑year, and $8.4 million in adjusted EBITDA, translating to a 68% margin. Gross merchandise value outside the DACH region rose to 5.2% of total, a modest increase from 5.0% in H1 2025.
The Search segment, representing 13% of net revenue, recorded an adjusted EBITDA loss of $2.6 million for the half, although it posted profitability in June, July and August 2026. Next‑generation monetisation now accounts for 90.1% of the segment’s revenue, up from 23.7% a year earlier.
Analyst consensus for the full year 2026 projects revenue of $405.3 million (range $377.5‑$474.0 million) and adjusted EBITDA of $45.7 million (range $44.9‑$46.2 million). The company expects net debt to decline to about $93.8 million by year‑end, reflecting the anticipated completion of the DIS transaction around that time.
Management emphasized that the DIS business continues to generate momentum, that the balance sheet is being positioned to support strategic flexibility, and that leverage will no longer constrain capital deployment.
