Reckon (RKN) investor relations material

Executive summary

• Delivered $32M in revenue, $14M EBITDA, and $5M NPAT for HY26, with strong cash generation and a clean balance sheet.

• Stable financial performance with continued execution of cloud transition strategy, focusing on Reckon One and Billing Workflows growth.

• SaaS business focused on SME accounting/payroll and legal billing/document workflow, both showing growth in key segments.

• Ongoing investment in AI and cloud innovation, driving 30% efficiency gains in product development.

• Fully franked dividend of 2.5 cents per share declared, payable in August 2026.

Financial highlights

• Revenue of $32M, down 3% year-over-year, or -1% on constant currency.

• EBITDA of $14.2M, up 1% year-over-year and up 6% on an adjusted basis; NPAT of $5M, up 6% year-over-year.

• Operating cash flow after capitalised development costs was $5.6M, down from $6.2M due to higher tax payments.

• Net debt reduced to $1.5M from $5.4M at 31 Dec 2025; $25M bank facility available.

• Basic and diluted EPS: 4.1 cents (up from 3.9 cents year-over-year).

Outlook and guidance

• Continued focus on scaling cloud products, leveraging AI for innovation and efficiency, and expanding Billing Workflows in the US legal market.

• Ongoing investment in product enhancements and sales teams to drive future growth.

• Board intends to maintain annual dividend payments at a high yield.