Goodstart 2026 Annual Report highlights resilience and commitment during "difficult year” 

Goodstart Early Learning, Australia’s largest provider of early childhood education and care (ECEC) services, delivered a solid 2026 performance despite a challenging operating environment with a surplus of $10.9 million reported and sector leading results in areas such as quality, inclusion spending, retention and advocacy. 

Quality as measured by services rated at or above the National Quality Standard - stood at 99 per cent, targeted social purpose investment spending reached a new record of $75.98 million and teacher turnover fell to eight year lows. 

“In a difficult year, we asked more of ourselves across Goodstart in FY26. Our people rose to the challenge, maintaining our focus on children, families and communities,” Chairperson Paul Robertson AO said. 

“In a year which saw more than its fair share of challenges across the early learning and care sector, the importance of purpose-led organisations like Goodstart has never been clearer,” CEO Dr ROs Baxter added. 

Occupancy falls mitigated by fee increases, but strength of balance sheet bodes well

Overall revenues for the year were $1.76 million, an increase of 5.2 per cent on 2025, however, revenues from early learning centres alone were essentially flat as the financial benefit of fee increases was impacted by declines in year on year occupancy across the portfolio. 

“After a strong finish to the second half of 2025, January to June 2026 saw softer occupancy and reduced demand as new services continue to open in already oversupplied communities,” the report noted. 

Goodstart’s wage expenses in the period rose 8.2 per cent, consumables rose by 6.7 per cent and other expenses rose by 11.8 per cent reflecting the substantial impact that inflation is having despite cost discipline strategies being rolled out across the organisation. 

That being said, Goodstart’s balance sheet remains robust with cash and cash equivalents increasing 10.5 per cent to $95.4 million, $55.8 million of financial assets undrawn across the year and very modest debt levels of $14.3 million recorded. 

Quality remains a key focus as new internal A&R program yields results 

During 2026 Goodstart launched its new national Internal Assessment and Rating program which is modelled on the regulatory Assessment and Rating process which has been designed to enable all centres to participate in an annual evidence-based review led by dedicated Goodstart National Quality Standard Partners. 

The program will enable Goodstart to maintain its current high quality standards which include 23 per cent of centres rated exceeding the NQS, 76 per cent meeting and 1 per cent Working Towards. 

Notably Goodstart centres now account for six of the twenty four centres that hold an  Excellent rating across Australia, a proportion unmatched by any other provider. 

“While some providers experienced significant pressure, reducing investment or exiting communities entirely, Goodstart continued to invest and remained focused on delivering high quality early learning for children and the security of sustainable care for families and communities,” Dr Baxter said. 

Targeted social purpose investments remain important focus 

Alongside investments in quality and team members Goodstart continued to commit substantial resources to its broader social impact objectives. 

In total $75.98 million was invested with record spend on professional development ($25.9 million), above award ratios for children with additional needs ($17.0 million), fee assistance for children experiencing vulnerability ($10.5 million) and practice uplift for educators ($7.1 million) dominating the spend. 

In addition the report highlights Goodstart’s broader commitment to all children across Australia, a key attribute of its founding purpose, and how its scale and resources place it in a unique position to identify new approaches that may shift children’s outcomes, test them across its network and then, should they yield results share them for the benefit of the sector at large. 

“Again, this year, we have ensured our impact extends well beyond our centres. Through advocacy, partnerships, research and innovative pilots, Goodstart is helping to strengthen Australia's early learning system, testing new approaches like Goodstart Plus,” Dr Baxter said. 

Network renewal also a key focus as Goodstart defends against market forces 

As well as focusing on quality, social purpose, team experience and child safety Goodstart also continues to actively review, upgrade, manage and in some instances expand its network of 666 centres. 

2026 saw $56 million spent on upgrading centres with 47 centres receiving enhanced indoor and / or outdoor learning environments. 

The Group also opened four new purpose-built centres in Victoria, commenced construction on four more and committed to a further eight new builds in 202.

Goodstart has also made its intentions to grow its network clear in recent times with its participation in the Edge Early Learning administration process and Goodstart’s confirmed interest in up to thirty one Edge centres. 

Looking ahead, Dr Baxter acknowledged the opportunity for Goodstart to work with governments on establishing a national ECEC Commission and that Goodstart will continue to play a leadership role, working with sector colleagues and governments to shape a better system for all children – one that ensures a thriving not-for-profit presence in the sector.

To read the Goodstart 2026 Annual Report please click here.