TLDR
Enero Group, the ASX-listed owner of BMF, Orchard and Hotwire, now has a market value of about A$16.3m, below the A$24.5m of net cash it reported at 30 June. Its own outlook warns that clients bringing work in-house as they adopt AI will cut revenue at its US agency ROI·DNA by 30 to 50%.
KEY TAKEAWAYS
Worth less than its cash
Enero Group shares fell 5.3% on Tuesday to a new low, leaving the owner of BMF, Orchard and Hotwire with a market value of about A$16.3m. The stock is down 73% over the past year and 95% over five years.[1]
That valuation sits below the A$24.5m of net cash Enero reported at 30 June 2026, down from A$27.5m a year earlier.[2] It is also close to the A$15.3m of EBITDA its continuing operations made in FY26.[1] The company holds its annual general meeting on Friday.[1]
A profitable year, with warnings attached
In FY26, continuing EBITDA rose 9% to A$15.3m and the margin improved to 11.8%, while net revenue fell 7% to A$129.5m. After a A$39.8m non-cash impairment and write-down, mainly linked to ROI·DNA, Enero reported a statutory net loss of A$37.4m.[2]
The Australian agencies carried the result. BMF delivered record EBITDA of A$8.8m on net revenue up 11% to A$38.0m, and Orchard had record EBITDA of A$6.1m. Hotwire, the technology PR business, saw net revenue fall 19% to A$63.3m, which Enero put down to lower, more volatile client spend driven by clients' AI investment and softness in the technology sector.[2]
"Our FY26 results demonstrate the strength of Enero's portfolio and the discipline with which we have managed it through a period of significant change in our industry," chief executive Ian Ball said at the time.[2]
The AI line in the outlook
Enero's outlook says ROI·DNA's revenue is exposed to clients insourcing work as they adopt AI, and it expects a 30 to 50% fall in FY27 against the FY26 second-half run rate. BMF's planning assumption is FY27 revenue about 10 to 15% below its second-half run rate, reflecting changes in its client list: its Westpac and Endeavour relationships ended in the final quarter of FY26, partly offset by wins from Asahi and Superloop.[2]
BMF is also defending its biggest relationship. When Omnicom pulled out of Aldi's global creative review last month, BMF said it intended to take part in the review, as Prompt the Market reported. BMF's 'Shop ALDI First' work won a Global Grand Effie in FY26.[2]
For other listed marketing services businesses, Enero's outlook puts a number on a risk most have only described: a client that can do the work itself with AI tools no longer needs to pay an agency for it.
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James Dore is founder and editor of Prompt the Market and Strategy Director at Bushnote, a Sydney strategy, SEO and AI search agency. He has a background in strategy, media and financial services, and led consumer product marketing at MONEYME. He writes on AI search, answer engines, technology policy and media economics.
