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ReadyTech (RDY) investor relations material
ReadyTech H1 2026 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Executive summary
Total revenue for H1 FY26 increased 5.6% year-over-year to $61.6 million, with 84% recurring revenue, driven by flagship products and major contract wins such as Skills Tasmania and Workplace Injury Commission Victoria, but offset by mature portfolio headwinds and a cyber incident impacting VETtrak.
The company launched the "Clearer. Faster. Stronger." strategy to simplify operations, sharpen commercial accountability, and focus investment on flagship and AI-enabled products.
Ready Workforce flagship product delivered 24% CAGR and was the best performing product.
Achieved ISO 42001 certification for AI governance and launched Orchestra/Orqestra, a unified AI intelligence layer embedded in flagship products.
Net loss after tax improved to $1.35 million in 1H FY26 from $18.72 million in 1H FY25.
Financial highlights
Total revenue grew 5.6% year-over-year to $61.6 million, with subscription revenue at $51.8 million and services revenue at $9.8 million.
Underlying EBITDA margin was 28.4%; underlying cash EBITDA margin was 12.2%.
Adjusted EBITDA for 1H FY26 was $17.47 million.
Adjusted net debt increased to $42 million, with leverage at 1.2x and interest cover at 10x.
Expenses increased 10% to $44.1 million, with 29.5% of revenue reinvested in R&D.
Outlook and guidance
FY26 revenue guidance revised to $125–127 million; FY27 targets withdrawn due to visibility concerns and protracted sales cycles.
Underlying cash EBITDA margins expected in the low to mid-teens for FY26.
Focus remains on accelerating enterprise and implementation velocity, rebuilding operating leverage, and driving resilient growth through the "Clearer, Faster, Stronger" strategy.
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