Auction Technology Group (ATG) has seen its share price drop by over 10%, despite reporting "good trading and pro forma growth" in the first half of its financial year.

The auction and list price marketplaces operator said its trading remained positive in Q2, building on momentum in Q1.

As a result, it expects to report $125m in the six months to 31 March 2026.

ATG added that its pro forma constant current revenue growth is expected to be close to 8% in this period, while its adjusted earnings are expected to be in line with its expectations.

Furthermore, its adjusted earnings margin will reflect ATG’s consolidation and the dilutive impact of value-added services, as mentioned in its last full-year results.

The update comes as the group recently undertook an "additional modest cost savings programme" that is set to benefit margins in the next full financial year, with a small benefit in the second half of the current financial year.

As part of its H1 update, ATG said it continues to perform in line with its guidance outlined in November and is in line with market expectations.

As a result, its revenue is set to grow between 4% and 5%, although this growth is more weighted to the first half. Its earnings margin is also set to reach between 34.5% and 35.5%, which reflects mix and full-year contribution of Chairish.

ATG’s H1 results were published alongside the announcement that its chief executive officer, John-Paul Savant, will be stepping down from the role after a decade.

He stated: "We continue to focus on our strategy for extending our leading position in the curated second-hand goods market. ATG has delivered good trading and pro forma growth in H1 26 and I'm particularly pleased to report our progress on driving A&A GMV which has been a focus area. This, combined with our anticipated growth on the back of our shipping mandate and the good progress with Chairish underpins our ability to deliver our FY26 guidance.

"We remain firmly confident that ATG will continue to lead in our A&A and I&C sectors by delivering unparalleled value to both buyers and sellers, building on our transaction and trust infrastructure, our unique pool of data and market intelligence, and our platform and operational scale. We are excited by the bright future in front of ATG.

"It has been a pleasure to lead ATG for over the last ten years, taking the group from revenue of c.$20m to around $250m in FY26 through building leading marketplace brands. The group has a strong market position, a team with excellent foundational capabilities and a platform for further profitable growth. As a significant shareholder with a long term belief in ATG I will be an interested observer in its future success."

ATG will publish its full-year interim results on 14 May.

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