Thank you, and good morning, everybody. Thanks for joining us today for the Motorcycle Holdings half-year results presentation for the 6 months ending 31 December.

I'm Matthew Wiesner, Chief Exec, and I'm joined today by Michael Poynton, our Chief Operating Officer. On behalf of the board of directors, I'm pleased to present what has been a strong first half for our company, delivering record revenue, unit sales, and strong profit growth.

Before turning to the financial results, it's worth reiterating what underpins our performance. We are clear market leader in our industry.

A diverse business model spanning wholesale distribution and retail across new and used vehicles, parts, merchandise and accessories, service and finance provides a strong and resilient platform. With a national footprint of 55 locations, market share of new vehicles now approaching 20%, we're well positioned to continue outperforming the broader market.

The group delivered a strong set of numbers in the first half of FY26. We achieved record half-year sales revenue of $396.4 million, representing a 20.9% increase on the prior corresponding period.

This growth was driven by both organic momentum in our existing businesses and the contribution of the Peter Stevens and Harley-Heaven acquisition, which was completed on 31 July. Underlying net profit after tax increased 28.7% to $12.1 million, reflecting the revenue uplift, the Peter Stevens Group contribution, and improved performance in our vehicle distribution business.

Underlying EBITDA grew 21% to $31.7 million, aided by an improvement in gross margin from 25.2% to 25.9%. This margin improvement reflects stronger vehicle distribution margins.

I should note that adjustments to statutory earnings of $1.3 million relate to acquisition costs associated with the Peter Stevens and Harley-Heaven acquisition of $1.1 million, as well as the current year impact of the historical stamp duty underpayment of $200,000. We're on slide 6.

Our inventory, excluding the Peter Stevens Group addition, reduced by $10 million to $138.7 million, highlighting improved operational efficiency and disciplined capital management. We acquired $26.9 million of inventory from the Peter Stevens acquisition.

Our strong cash generation enabled us to simultaneously acquire the Peter Stevens Group assets from funds on hand, reduce net debt by 32.2% to $6.1 million, and increase our dividend. This demonstrates the robust cash-generating capability of our business model and our disciplined approach to capital allocation.

The board has declared a fully franked interim dividend of 9.5 cents per share, a 19% increase from the prior year. This dividend reflects our commitment to delivering returns to shareholders whilst maintaining the financial flexibility to pursue strategic growth opportunities moving forward.

Earnings per share increased from 12.8 cents to 16.4 cents, in line with our strong underlying NPAT uplift. Moving to slide 7.

Notably, we have continued our streak of consistent revenue growth. Total revenue grew by 20.9% to $396.4 million in the first half.

Retail saw robust growth of 21.3% from strong performance in both new and used vehicle sales. Wholesale distribution revenue grew by 10.8%.

This growth trajectory demonstrates the strength of our diverse business model and the benefits from our industry leadership position. On slide 9, I'll briefly walk through the key movements of our profit and loss statement.

Revenue growth from 20.9% comprised acquisitive growth from the Peter Stevens Group of 16.1% and organic growth of 4.8%. Our gross margin improved from 25.2% to 25.9%, assisted by the favorable currency movements and improvement in vehicle distribution margins.

Importantly, while the Peter Stevens Group margin was lower than the existing group margin, it was an increase on the existing margin of the retail segment. The increase in operating costs is primarily attributable to the Peter Stevens Group acquisition, as well as further investment in corporate services, including our human resources, finance, and digital and data transformation team.

I should also note that on the 13th of November 2025, the company announced it had identified an underpayment of vehicle registration duty in relation to vehicles sold by MTO commencing in 2016. An amount of $5 million is provided for on the balance sheet, comprising of $3.5 million in duty and $1.5 million in related interest, representing management's best estimate of the liability.

Under accounting standards, as the majority of the amount relates to transactions prior to the current financial period, $4.85 million of the provision has been created at July 1, 2024, with an accompanying recognition of a deferred tax asset of $1.45 million and a net position of $3.4 million reflected in an opening retained earnings at that date. Moving to slide 10.

Key movements on the balance sheet reflect the acquisition of approximately $10 million in net assets from the Peter Stevens and Harley-Heaven Group, as well as the assets required for the recommencement of the business, including new bike inventory and related bailment finance and right-of-use assets and right-of-use liabilities. Net debt improved to $6.1 million from $9 million at 30 June, a reduction of 32.2%.

The FY25 balance sheet has been restated to reflect an opening retained earnings adjustment at 1st of July '24 to accrue for historical stamp duty and related interest payable. Hitting slide 11, I'd now like to invite Michael to take you through our operational performance for the half, including an update on the Peter Stevens Group-related integration.

Michael.

Thank you, Matthew, and good morning, everyone. I'm pleased to take you through our operational performance for the first half.

Slide 12. Operationally, the first half has been one of continued progress across the business.

I wanted to highlight a number of key areas. We achieved continued market outperformance and organic growth in new and used retail vehicle sales.

CFMOTO delivered strong market share gains in both the ATV, side-by-side, and motorcycle segments across Australia and New Zealand. Our wholesale vehicle distribution business grew by 19%, reflecting the increasing strength of our distribution platform.

We have also continued to improve efficiencies through the implementation of new business systems and processes. The reduction in inventory, excluding Peter Stevens and Harley-Heaven, reflects improved operational efficiency and disciplined capital management.

Gross profit grew by 23.4% with a margin of 25.9%, owing to increased retail sales volumes and strong wholesale performance in both Australia and New Zealand. E-commerce sales growth of 66% was a standout, with a significant increase in digital engagement driving higher revenues.

This represents a key area of future growth and investment for the group. Retail revenue growth of 21.3% was driven by record vehicle unit sales across both new and used categories.

Slide 13. The breadth and balance of our revenue and gross profit contribution across divisions is demonstrated here.

New vehicle revenue grew 23.4% to $213 million, with strong contributions from both retail and wholesale. Importantly, new vehicle gross profit grew 33.6% to $33.8 million, outpacing revenue growth and reflecting improved margins across the division.

Used vehicles revenue increased 17.7% to $78.9 million, with gross profit up 24.8% to $12.2 million. Again, the margin improvement here is encouraging and reflects our focus on improving buying capability and gross per unit.

Parts and accessories revenue grew 15.8% to $81.4 million, delivering gross profit growth of 14.3% to $33.3 million. This remains our highest margin category and a key contributor to overall profitability.

Finance and insurance revenue increased 16% to $9.8 million, with gross profit also up to 16.3%. This is an area where we see further upside, and we invest in data and automation to improve the sales process and penetration rates.

The key takeaway is that we are seeing growth across every division in both revenue and gross profit, which speaks to the strength and diversification of our business model. Slide 14.

New vehicle sales. Our market leadership position strengthened during the half.

New vehicle retail sales grew 22.3% to 9,966 units, a record result for any half-year period. Our market share increased to 19.8%, up from 16.6% in the prior financial year, with 16.3% achieved organically and the balance a contribution from Peter Stevens and Harley-Heaven.

This reflects our continued ability to outperform the broader market, which remained relatively flat during the period. We are confident that, on an annualized basis, our market share can exceed 20%.

Slide 15. Used vehicle sales.

In used vehicles, we achieved record half-year unit sales of 6,224 units, up 12.5% on the prior corresponding period. We also saw an improvement in gross margin on used vehicle sales.

Used vehicle sales will continue to be a key focus area, as management sees a significant opportunity to increase volumes and improve the ratio of used to new units. Slide 16.

Peter Stevens and Harley-Heaven. Turning to the Peter Stevens and Harley-Heaven acquisition, as a reminder, this strategic acquisition enhances our national footprint, provides stronger relationships with OEMs, introduces new products and categories, and increases our national market share to over 20% on an annualized basis.

The integration has progressed well and is operationally exceeding our expectations across people, property, and systems. While the contribution in the half represents a ramp-up of operations post-administration, the businesses were profitable from the second month.

Revenue and gross profit have progressively improved month-on-month, with October through December performance at or exceeding prior-year levels. Importantly, the gross profit margin of 24.6% from the Peter Stevens and Harley-Heaven businesses exceeds the legacy retail business margin of MTO, which is an encouraging sign.

The second half will be closer to business as usual, and we expect a stronger contribution accordingly. Slide 17.

Our strategic platform. We continue to build our infrastructure and platform for growth to efficiently expand our market leadership while improving customer and employee experiences.

Our 55-location network across Australia and New Zealand provides multiple touch points in each major market. We're developing our omnichannel sales model, ensuring a consistent customer experience through both digital channels and showrooms.

Our leadership positions with Harley-Davidson, CFMOTO, and other high-value brands, combined with our end-to-end model covering sales, finance, aftercare, and resale, continues to drive increased customer retention and diversified revenue streams. Slide 18.

Outlook. As you can see, operationally, this has been a strong half across the business, with record unit sales, expanding market share, and encouraging progress on the PS Harley-Heaven integration.

I'll now hand back to Matthew to take you through the outlook for the remainder of FY26. Thank you.

Thanks, Mike. We're now on slide 19.

Looking ahead, our outlook is underpinned by a clear set of strategic priorities. We will maintain emphasis on cost management efficiency through structured expense reductions.

Digital transformation remains core as we work to increase sales, optimize our efficiencies, and continue to improve broadly our customer experience, especially in retail. Our core brand partnerships with CFMOTO in distribution and Harley-Davidson in retail obviously remain key and continue to be central to our growth strategy.

We're pursuing ambitious growth targets in e-commerce and developing an omnichannel sales strategy of the future, leveraging our improved digital capabilities to reach more customers. Optimizing our property mix in retail and warehousing is vital, as is constantly increasing our stock turns to provide better return on invested capital outcomes.

We continue targeting further growth in used motorbike sales, building on our strong market position and the additional contributions from the Peter Stevens Group businesses as they move into a full year of operations under our ownership will be obviously important part of that growth driver. As a point, we are now circa 40% to 45% of dealer used bike listings on bikesales.com.au as we continue to push to dominate the used bike and used vehicle space in our industry.

These priorities position us well to capture new opportunities, deliver improved financial performance, and create long-term value for our shareholders in the year ahead. Looking forward, there are a number of considerations that will influence our second-half performance.

Firstly, the interest rate environment, of course, and its potential impact on custom demand, we remain mindful of broader economic conditions and their effect on consumer sentiment in our category. As is typical for our business, there's a natural first-half weighting to our results, consistent with historical seasonality sales patterns.

This is an important consideration when obviously assessing full-year expectations. We do expect an increased contribution from the Peter Stevens Group businesses in the second half as the operations head into, or now are, pretty much in business-as-usual trading levels.

As I mentioned, the first half represented a ramp-up period post-administration, and we're obviously very encouraged by the direction that the group is taking. The strengthening of the Australian dollar has improved our position, particularly in wholesale distribution businesses, and we expect this to have a positive impact on gross margin in the second half.

Finally, we continue to invest in the business. There will be a continued increase in corporate overheads as we build our capability in people, in systems, and transformation, and we are actively optimizing our property through some additional store rollouts, reviewing our retail property, and, of course, some lease exits to ensure that we're generating the best returns from the square meters we have in the group.

As I've mentioned previously, the process moving forward, the journey we're going on will be a 24, 36-month process as we focus on the legacy retail business transformations across those legacy dealerships and, of course, the MCAS business. Taking these factors together, we remain confident in the outlook for the full year.

In closing, the first half of 2026 has been solid for Motorcycle Holdings. We've delivered record revenue, strong underlying gross profit, and expanded our market leadership.

The Peter Stevens and Harley-Heaven integration is tracking ahead of expectations, and our balance sheet continues to strengthen. I want to thank my executive leadership team and, more broadly, our team members across Australia and New Zealand for their dedication and commitment to driving further excellence across the group.

Their efforts have driven the results that we have achieved in the first half and continue to work hard to set us up for a solid second half moving forward. My thanks also go to the board and for their confidence and support.

To our shareholders, I thank you for your continued support as we continue to build Motorcycle Holdings into the region's leading motorbike, accessories, merchandise retailer and wholesaler in Australia, New Zealand. Thank you.

We will now be open to questions.

Thanks, guys, for taking my question. Congratulations on the result.

Just interested if maybe you could provide a little bit of color to how you've finished the half. Just noticing that November, December, look like the rate of growth in the organic business may have trailed off a little bit from the AGM update where you were up 6% organic.

Maybe if we can just unpack some of that movement, just given you also had a bit of a gross profit for that period was a bit stronger than sales as well, just wanted to understand the composition of that a little bit better.

Thanks, Jared. You're referring just to the retail business, how we finished the half?

Is that correct?

Correct.

Yep. Look, I think one thing to take into consideration when we look at the half, '25 versus '24, we are one less store.

There was an underperforming store that was losing money, which was in Keilor, Victoria, that we closed earlier last year. That's been, obviously, the numbers for '25 reflect that that store not being there.

Overall, from a retail perspective, I think we came home quite strongly, in particular with Harley-Davidson. Look, that's across parts of the business, Peter Stevens and Harley-Heaven, that's carried into January as well.

Look, overall, all things considered, the end to the half was okay.

Okay. Thanks, Michael.

Maybe just a little bit on the margin outlook. Gross margin up on the pcp quite nicely, and now you're sort of pointing to say look into the second half, you should probably benefit from a stronger period of Mojo.

I think you've called out FX as well as a bit of a tailwind to that business. Now, quite strong in Harley, which is also higher margin.

Just trying to understand, there's obviously been good work done in gradual underlying sort of retail expansion. Now you've added this additional Harley capability and have the tailwinds with Mojo, just sort of understanding, fair to say that maybe margins have stabilized and there's probably more tailwinds than headwinds going into the second half?

Yeah.

We did see an increase in the gross profit margin to 25.9%. The business that we acquired, Peter Stevens and Harley-Heaven, the gross margin of that is higher than the legacy Motorcycle Holdings business.

The reasons for that, the makeup of the seven stores, there's four Harley stores in the seven that generally have a higher gross profit margin than our volume dealerships. There's also been some assistance with Peter Stevens and Harley-Heaven with the purchase price of some of the parts and accessories that were purchased at a discounted rate, we have seen some higher margins there as we've ramped the business up.

Then, as you point out, we were seeing the benefit of the stronger AUD across our three wholesale businesses, Mojo, Cassons, and also Forbes and Davies. We have seen in recent months an increase in the gross profit margin, for example, to the Mojo business that's increased by a couple of percentage points.

Perfect. That all sounds pretty positive to me.

Maybe just across the board, maybe one last one on Mojo. I understand, now you've guided to some caution in the second half in the underlying retail business, but that Mojo business does skew a little bit to that fourth quarter, I recall, and, you're obviously stronger, and to develop that business further since picking it up and acquiring it.

I'm just trying to understand the seasonality that we might see within Mojo in that fourth quarter, and maybe just if there's any sort of new products within that business that may also solidify the pipeline for that, and the outlook going forward?

Yeah. Look, we're still very much optimistic about the outlook for Mojo over the second half, and also Forbes and Davies as well being the CFMOTO distributor in New Zealand.

The brand continues to go from strength to strength. We've increased our market share across all segments in both countries in calendar year '25.

That doesn't appear to be slowing down as the brand gets more and more accepted. We've got new models being rolled out that we're introducing at higher price points with higher gross margin.

That's all assisted as well, as we touched on before, with the stronger FX. The outlook for Mojo over the next 6 months is still quite strong.

The ag market appears to be holding up quite well. As I've said, our position within that market, our market share, it's definitely not going backwards.

It's continued to increase in both markets. Then throw into the mix as well some new models that we will be rolling out over the next couple of months.

Perfect. That was really helpful.

Appreciate that, guys.

Sorry. Jared, just to your point on gross margins as well, the point Mike makes about Harley-Davidson, obviously the influence that Harley will have now given our size of the retail business, you'll probably see more of a quarterly sort of cycle given the incentive programs and so forth that are quarterly based.

Those quarterly cycles are end of December, end of March, end of June, end of September. Some of the other manufacturers are sort of heading that direction, too.

That's just, I guess, the nature of the business, just as a bit of a heads-up.

Great. Thanks, Matthew.

Sorry, one last one just on Peter Stevens, Harley-Heaven. Just feels like that monthly revenue piece is somewhat stabilized and, apart from the dip in November, December finished quite strongly, and sounds like Michael said also started well in Jan.

I'm just trying to understand if you're happy with how the operations of that business has stabilized, if there's more potential uplift in volumes that you can generate, and just trying to understand that revenue piece within Harley going into the half ahead in the year?

Look, overall, it's continuing to exceed expectations. We're very happy operationally with the people, the property, the systems there as well.

You can see that we ramped the business up quite quickly. We lost money in the first month being in August.

We've made profit every month since then. We had a very strong January as well, so that's carried over into the new year.

Look, it's definitely stabilized. We've had very low staff turnover, which is good to see.

We're having some early conversations now about some potential expansion of the Peter Stevens brands, which is still very much early days. One part of the business where we're underperforming versus the same period last year would be with e-com, which we're trying to address at the moment, when you turn those businesses off as was the case through the administration, it just takes months to sort of get your position back with Google.

We're working through that now. Across the seven different businesses or eight businesses, including the online business would be the only business which is backwards, and it's definitely our focus at the moment to get that to levels exceeding what it was doing the prior period.

Perfect. Sorry, guys, if I could just squeeze one more in, I know I'm hogging it.

If you could just maybe clarify on Peter Stevens and how much was that loss-making in August, and I guess maybe for the half just I'm trying to understand how much it may have dragged on the underlying result or if not at all?

I don't have the number here in front of me. Off the top of my head, it might have been round about $500,000 in the first month, but it has been profitable every month since, including January.

Perfect.

morning, guys. Thanks for taking my questions.

I just wanted to ask on the transformation and kind of efficiency initiatives that you've been working on, Matthew, since you've joined. Just curious how far through that process are you, how much, I guess, savings did you benefit from in the current half, and how should we think about the margin uplift going forward as you progress?

Hi, Sarah.

There's a couple of areas to this. One, where obviously systems and process and the digital tools we've currently got versus what we need moving forward, which is primarily a lot of the work that we've been doing in the last few months.

It's very much been about identifying since we have expanded our team in this space to understand where the areas of improvement are and also what are our, I guess, choices moving forward and where are the areas that we need significant improvement. We've been going through that process of identification.

We had a good meeting with the board in regards to our progress there and the direction that we're looking at undertaking from a transformational perspective. I'd also add to that, it's not just the systems, albeit there's a lot of work to do there, there is also the people side of that as well in regards to where and what are the skills we need to do what we need to do moving forward.

That's also been happening in parallel. We're looking to actually talk to yourselves in more, I guess, detail around that to better show the direction that we're taking after the full-year presentations this year, and really take you, I guess, on a bit of a journey with the process over the next couple of years to really expand on that and especially what that means on the retail side.

A lot of the work is focused on that because that's obviously where a lot of our costs, be it the property, people, and inventory, and where we see most of the opportunity. On top of that, also, how do you take that customer experience to another level?

There's a lot going on in that space. Give us a bit more time, and we're going to take you on a roll-through of that in a few months' time, okay?

Sure. In terms of, I guess, understanding the costs, because you've called out that in the second half there might be a bit more costs around people and systems, how should we think about that?

Because it sounds like the return is

kind of

a bit back-dated.

It's mainly been getting the right skills inside to be able to do the work we've done so far. As you'd appreciate, this is not a 6-month process.

This is a fairly significant undertaking, because not only are we looking at where we need to be, we're also playing catch-up. It's an area that needs work, some of it because of probably where we haven't been in the past, but so we've got to cover that gap, in addition to being very clear on what is our aspiration, and what do we want to be in the context of our leadership in this sort of industry moving forward.

Right now, it's more around making sure we've got the skills in place to understand where and what other things are that we need to focus on. Sure, there's some low-hanging fruit that's borne fruit already in regards to fixing some quick fixes, dealing with some inefficiencies that we've been working with our existing providers on.

The main areas that we are identifying will be, realistically, post this financial year, because there are bigger decisions that we need to work through over the next 24, 36, 48 months to get to where we ultimately need to go. We're not going to rush and make stupid decisions.

We are here to make sure we're very clear on where we want to be, in addition to making up for some lost time over the last couple of years.

No worries. Thanks.

Then just in terms of, I guess, the retail business and the comment you made

about

the rate environment, just curious, firstly, have you seen any impacts to date on consumer demand, and how we should think about that going forward?

No, I think it's just more, as you do in retail, you've got to make sure you've got an eye on these things. Opportunity or inquiry in the business is remaining pretty consistent.

I think those broader economic factors, yeah, rate's the one. Talent, people is certainly another.

We're seeing, I think unemployment rate currently, about 4%, 4.1%, is always a telling factor and puts pressure on people resources in the business as well, because, generally speaking, retail has a bit of a higher turnover of people than corporate and/or distribution. Making sure we're doing our best to retain our existing talent, but also making sure we are attracting good talent to the business always gets harder as there's more pressure on the available, or lack of available, people out there in the workforce.

Rates are one. Always got to keep an eye on that.

Always got to keep an eye on activity and inquiry across the business. Certainly, it doesn't matter how strong that is if you haven't got the people to help drive and convert that into sales.

There's a few things there that we're keeping close to, Sarah.

Okay. Safe to say that demand, revenue across January, February has been kind of maybe flat to slightly up

and

margins

are-- It's been consistent. You normally see swings and roundabouts.

You see a drop-off in January in new, but you generally see a bit stronger in used. The normal swings and roundabouts in retail are what they are, but generally speaking, it's remained pretty consistent so far.

Great. Thanks very much.

No worries.

Thanks for that. Thank you again, everybody.

Thanks for taking the time to join us on the call. As I said, solid first half.

We're taking a cautious approach as we work our way through the second half, and we look forward to undoubtedly discussing and meeting a few of you over the next couple of weeks across the country. Thank you again, and look forward to talking to you soon.

Cheers.