Whoosh: revenue grows, but operating loss and debt burden remain high

On August 27, Whoosh reported its H1 2026 results: revenue grew 3.6% to RUB 5,564.2 million, EBITDA fell 4.2%, and net loss narrowed to RUB 1,765.6 million from RUB 1,892.9 million a year earlier. In this review, we examine what drives these numbers, how debt has changed, and why the company's valuation remains below its historical average.

Key takeaways

— Revenue grew 3.6% in H1, but operating loss remained deep

— EBITDA fell 4.2%, margin dropped from 18.8% to 17.4%

— Net loss narrowed, but net margin remains negative

— Debt burden: net debt / EBITDA LTM stands at 3.94

— Operating cash flow negative over 12 months, capex declining

— Valuation: EV/EBITDA LTM below three-year average

— No dividends paid, model expects zero payouts

Key figures, RUB bn

Revenue grew 3.6% in H1, but operating loss remained deep

In H1 2026, Whoosh's revenue reached RUB 5,564.2 million, up 3.6% from the same period last year. Growth slowed compared to the previous year, when revenue rose more strongly, but the company attributes the current dynamics to unfavorable weather in Russia, regulatory measures in cities of operation, and disruptions in geolocation services.

Operating loss for the half-year was RUB 410.7 million, an improvement from a loss of RUB 608.6 million a year earlier, but still deep. The main reasons remain high selling, general and administrative expenses of RUB 1,124.1 million, as well as other operating expenses of RUB 511.8 million, including a loss on disposal of fixed assets of RUB 470.0 million.

EBITDA fell 4.2%, margin dropped from 18.8% to 17.4%

EBITDA for H1 2026 was RUB 968.0 million (calculated as RUB 5,564.2 million × 17.4%), down 4.2% from the same period last year. Margin declined from 18.8% to 17.4%, reflecting pressure on operational efficiency despite revenue growth.

The margin decline is due to higher selling and administrative expenses, as well as increased other operating expenses. The company announces a program to improve operational efficiency, including reducing costs for charging, transportation, and repair of the fleet, but the effect is not yet visible in the financial statements.

Net loss narrowed, but net margin remains negative

Net loss for H1 2026 was RUB 1,765.6 million, down from a loss of RUB 1,892.9 million a year earlier. Net margin improved from -35.2% to -31.7%, but remains deeply negative.

The main contributor to the loss is financial expenses of RUB 1,363.1 million, which almost completely offset gross profit (RUB 1,207.9 million). Interest payments on debt and leases remain significant, keeping the business unprofitable at the net level.

Debt burden: net debt / EBITDA LTM stands at 3.94

As of the end of H1 2026, Whoosh's net debt stood at RUB 14,018.9 million. The net debt / EBITDA ratio for the last twelve months is 3.94. This is a high level, given that LTM EBITDA is RUB 3,561.1 million and operating cash flow for the same period is negative at minus RUB 2,900.0 million.

Over the last 12 months, net debt increased by RUB 2.1 billion, and over the half-year by RUB 0.4 billion. The company placed three bond issues, increasing the carrying amount of bond loans by RUB 2,240.3 million, and after the reporting date repaid an issue of RUB 4,000.0 million. Debt burden remains a key risk to financial stability.

Operating cash flow negative over 12 months, capex declining

Over the last 12 months, Whoosh's operating cash flow was minus RUB 2,900.0 million. This means the company generates less cash from operations than it spends on current activities and has to cover the deficit through borrowings.

At the same time, capital expenditures are declining: in H1 2026, purchases of fixed assets amounted to RUB 493.7 million versus RUB 2,255.5 million a year earlier. The company also reduced investments in intangible assets to RUB 125.0 million from RUB 156.0 million. The reduction in capex is part of a program to improve free cash flow, but it may limit future growth.

Valuation: EV/EBITDA LTM below three-year average

Whoosh's EV/EBITDA LTM is 5.22, below the three-year average of 6.10. This indicates that the market values the company cheaper than the average over the past three years, which may reflect concerns about debt burden and weak cash generation.

EV/EBITDAC LTM, which accounts for capitalized development, is 5.57 – also below average. However, even with the adjustment, the multiple remains moderate, indicating a conservative valuation by investors.

No dividends paid, model expects zero payouts

Over the last 12 months, Whoosh has not paid dividends, and our model estimates the next payment at RUB 0.0 per share. The fair yield for this name, in our view, is 7.0%, implying a payout ratio of 0.24 of profit, but with current losses, payments are impossible.

The absence of dividends is a consequence of negative net profit and the need to service debt. Until the company achieves sustainable profitability, investors should not count on dividend income.

Valuation on the latest reported figures

Bottom line

Whoosh shows moderate revenue growth, but operational efficiency remains weak: EBITDA is declining, margins are falling, and net loss, although narrowed, remains significant. Debt burden is high, and negative operating cash flow over the last 12 months indicates that the company is living on borrowings. The reduction in capital expenditures may help cash flow but raises questions about future growth rates. Valuation below the historical average reflects these risks, and until the company demonstrates sustainable improvement in cash flows, the shares are unlikely to be re-rated.