Is Mighty Ape profitable in 2026?

Not consistently. Mighty Ape's 1HFY26 (to 31 Dec 2025) Adjusted EBITDA margin was negative 5.8%, per Kogan.com's 23 Feb 2026 filing. The company says it reached monthly profitability in December 2025 only after cutting inventory 32%, not from revenue growth.

Mighty Ape is a wholly owned subsidiary of ASX-listed Kogan.com Ltd (ASX: KGN), which acquired it on 2 December 2020 for A$122.4 million. As of Kogan.com's February 2026 half-year filing, Mighty Ape remains part of the group, not Woolworths NZ as sometimes claimed.

Is Mighty Ape's revenue declining?

Yes. Mighty Ape revenue fell 16.7% to $122.1 million in FY25 (year to 30 June 2025), and dropped a further 9% to $70.8 million in gross sales in 1HFY26 (to 31 Dec 2025), per Kogan.com's ASX results announcements.

Could AI replace Mighty Ape's customer service jobs?

Partly already happening at the parent level. Kogan.com's Salesforce Agentforce tool, extended to Mighty Ape around March 2026, automates about 50% of the group's roughly 5,000 monthly customer inquiries and cut servicing costs about 10%, per a Salesforce case study published 10 July 2026 (vendor-claimed).

Who is Mighty Ape's biggest competitor?

The Warehouse Group is cited as its closest large-scale NZ competitor, while Temu reaches an estimated 45% of NZ online shoppers by shopper reach as of June 2026, per a third-party NZ online retail share report, putting pressure on Mighty Ape's mid-tier position.

Is it risky to join Mighty Ape right now?

There are warning signs. FY25 revenue fell 16.7%, Kogan.com booked a $46.3 million goodwill impairment against the Mighty Ape acquisition (announced 18 August 2025), and the company saw three CEO/MD changes between June 2022 and February 2025.

E-commerce and marketplaces · subsidiary of Kogan.com Ltd · New Zealand

Mighty Ape

mightyape.co.nz ↗

NZ online retailer selling games, toys, and electronics, owned by Kogan.com.

Losing its protection

Assessed 26 July 2026 · Evidence as of 26 July 2026

The structural protection is eroding.

On the recordSince 26 July 2026 · Checkable from August 2026 · Every call on the record Checkpoint: Kogan.com FY26 full-year results, testing if Mighty Ape's claimed 2HFY26 turnaround is real

The call

Mighty Ape returned to monthly profit in December 2025 by cutting stock, not by growing sales, while Temu and The Warehouse keep taking the customers it lost.

Mighty Ape sells general merchandise online in New Zealand but has been shrinking fast, with sales down 16.7% last year and 9% more recently. It faces fierce competition from The Warehouse (a larger local chain), Temu (a cheap Chinese app that reaches almost half of New Zealand shoppers), and eventually Amazon. The company made money recently only by cutting inventory deeply, not by selling more stuff, which is a warning sign. The one thing that could change everything is whether Mighty Ape can actually return to real profit growth by mid-2026, as its owner Kogan.com has claimed.

Why

AI pressure: Temu's AI-driven pricing and product-matching engine. Temu's app already reaches 45% of NZ shoppers, using algorithmic pricing to undercut Mighty Ape on identical items. Could AI do the core job? Only partly.

Bigger players: The Warehouse Group. The Warehouse runs its own NZ warehouses and delivery network, competing directly on price and speed against Mighty Ape. Could a giant copy it? Yes, easily.

What protects it. A 700,000-strong local customer base and Kogan.com's logistics and PRIMATE loyalty program keep some repeat buyers.

What would change this call

Kogan.com's Aug 2026 FY26 results show whether Mighty Ape returns to revenue growth or keeps shrinking. Reveals if the claimed 2HFY26 turnaround is real demand recovery or just cost cuts.
Announcement of Mighty Ape brand consolidation into Kogan.com platform or its divestment. Would show Kogan.com giving up on Mighty Ape as a standalone NZ brand.
Further inventory cuts or writedowns disclosed in Kogan.com's next results after the 32% Dec 2025 cut. Would confirm profitability is coming from shrinking the business, not selling more.

Key numbers

FY25 revenue $122.1M, down 16.7% year on year (2025-06-30)
1HFY26 revenue $55.2M, gross sales down 9% (2025-12-31)
Inventory cut 32% to $14.2M ahead of Dec 2025 profit (2025-12-31)

Named risks

Sustained revenue decline: -16.7% FY25, -9% gross sales 1HFY26. Severity: high
A$46.3M goodwill impairment signals parent doubts on acquisition value. Severity: high
Profitability in Dec 2025 driven by 32% inventory cuts, not demand recovery. Severity: medium
Repeat platform/relaunch execution failure like Oct 2024 migration. Severity: medium
Rising Temu, Kmart, Warehouse Group price competition in NZ general merchandise. Severity: medium

Rivals, as read in July 2026

Rival	Direction	Evidence
The Warehouse Group	gaining on	Cited as NZ's largest general-merchandise retailer and closest scaled rival as of 2026-06-23
Temu	gaining on	Reaches ~45% of NZ online shoppers by shopper reach as of 2026-06-23
Trade Me	contesting	NZ's largest homegrown marketplace by site traffic per 2026-06-23 report
Amazon (AU)	contesting	Secondary player in NZ, no local fulfilment infrastructure built as of 2026-06-23
Kmart NZ	gaining on	32% NZ shopper reach cited alongside Temu and Chemist Warehouse, 2026-06-23

Questions people ask

Is Mighty Ape profitable in 2026?: Not consistently. Mighty Ape's 1HFY26 (to 31 Dec 2025) Adjusted EBITDA margin was negative 5.8%, per Kogan.com's 23 Feb 2026 filing. The company says it reached monthly profitability in December 2025 only after cutting inventory 32%, not from revenue growth.
Who owns Mighty Ape?: Mighty Ape is a wholly owned subsidiary of ASX-listed Kogan.com Ltd (ASX: KGN), which acquired it on 2 December 2020 for A$122.4 million. As of Kogan.com's February 2026 half-year filing, Mighty Ape remains part of the group, not Woolworths NZ as sometimes claimed.
Is Mighty Ape's revenue declining?: Yes. Mighty Ape revenue fell 16.7% to $122.1 million in FY25 (year to 30 June 2025), and dropped a further 9% to $70.8 million in gross sales in 1HFY26 (to 31 Dec 2025), per Kogan.com's ASX results announcements.
Could AI replace Mighty Ape's customer service jobs?: Partly already happening at the parent level. Kogan.com's Salesforce Agentforce tool, extended to Mighty Ape around March 2026, automates about 50% of the group's roughly 5,000 monthly customer inquiries and cut servicing costs about 10%, per a Salesforce case study published 10 July 2026 (vendor-claimed).
Who is Mighty Ape's biggest competitor?: The Warehouse Group is cited as its closest large-scale NZ competitor, while Temu reaches an estimated 45% of NZ online shoppers by shopper reach as of June 2026, per a third-party NZ online retail share report, putting pressure on Mighty Ape's mid-tier position.
Is it risky to join Mighty Ape right now?: There are warning signs. FY25 revenue fell 16.7%, Kogan.com booked a $46.3 million goodwill impairment against the Mighty Ape acquisition (announced 18 August 2025), and the company saw three CEO/MD changes between June 2022 and February 2025.

Timeline

2026-02-23Kogan.com 1HFY26 filing shows Mighty Ape revenue $55.2M, EBITDA margin -5.8%
2025-12-31Mighty Ape reaches monthly profitability after cutting inventory 32%
2025-08-25FY25 results: Mighty Ape revenue $122.1M, down 16.7%; $46.3M goodwill impairment
2025-02Dan Balasoglou departs as CEO; Robert McEwan becomes Managing Director
2024-10Platform relaunch and Marketplace launch trigger customer backlash and revenue drop
2024-06Mighty Ape Travel launched (flights, holiday packages)
2024-04Gracie MacKinlay steps down as CEO
2023-08Mighty Mobile MVNO launched on One NZ network
2022-06Gracie MacKinlay becomes CEO
2020-12-02Kogan.com acquires Mighty Ape for A$122.4 million

Revision history

26 July 2026

First assessed. Losing its protection. The text above is fixed as of this date and is not edited afterwards.

In the same band

Wayfair Meituan Shein Group