Boku Holdings Plc reported underlying revenue of £66.5 million for the first half of 2026, an 11% increase year over year, as the mobile payments company continued to broaden its mix beyond direct carrier billing.
Total payment volumes rose 16% to £8.6 billion, though management noted the figure was impacted by approximately $200 million in one-off headwinds. Adjusted EBITDA margin held at 29.4%, generating free cash flow of £11 million. The company returned £23.6 million to shareholders through share buybacks during the period.
Underlying revenue excluding launch-phase pricing was bolstered by non-recurring items in the prior-year comparable — CFO Rob Whittick said $3.4 million in such pricing recognized in H1 2025 would not recur. Amortization of internally generated intangibles added $3.8 million to operating costs.
The company's diversification strategy continued to pay off. Bundling revenue surged 39% year over year and now accounts for 13.7% of group revenue, up from roughly 10% a year ago. Direct carrier billing revenue grew 3% on an underlying basis, or 5% excluding two suspended connections, while digital wallet and account-to-account revenues climbed 15%. Non-DCB products now represent 47% of group revenue, compared with 43% a year earlier.
Net take rate compressed to 77 basis points from 81 basis points in H1 2025, reflecting the shift toward higher-volume, lower-rate revenue streams. Adjusted operating expenses rose 13% on an underlying basis, primarily due to the annualized cost of hiring conducted in 2025.
CEO Stuart Neal described the period as one of "significant strategic progress" and pointed to AI as a net opportunity rather than a threat. "We have created a network and global licenses that provide a moat to our business that will protect us against the march of AI," Neal said, noting the company sees "the right to win" in local payment methods because of its regulatory relationships and infrastructure.
On its partnership with Stripe, which connects 5 million merchants, Neal expressed "cautious optimism" but said the company was not making near-term assumptions that the relationship would be transformative within the next 12 to 18 months.
Boku added 47 new payment connections across 24 markets for 14 merchants in H1, bringing its network to more than 200 local payment methods, including 10 added during the period. Its bundling platform reached 51 million subscribers, a 21% increase year over year.
For the full year, Boku guided for revenue between £135 million and £142 million and adjusted EBITDA between £38 million and £42 million. Full-year results and detailed 2027 guidance are expected in March 2027.
Shares rose 2.03% to $125.50 after the release, pulling back from a 52-week high of $250 but remaining well above the low end of $90 set earlier in the year.
