Alcidion Group (ALC) H2 2025 earnings summary

Executive summary

• Achieved record FY25 revenue of $40.8M, with 63% from the UK and 37% from ANZ, driven by new customer wins and expansion in key markets.

• New total contract value (TCV) of $73.8M, up 109% year-over-year, driven by a $39M+ EPR contract.

• Underlying EBITDA reached $5.1M, with positive operating cashflow of $5.8M, reversing prior year losses.

• Strengthened leadership team, especially in the UK and Australia, to support growth and market expansion.

• FY26 starts with $34M in contracted revenue, providing strong momentum for continued growth.

Financial highlights

• FY25 revenue grew 10% year-over-year to $40.8M, with ARR at $28.5M, up 31%.

• New and renewal TCV rose 109% to $73.8M, more than doubling the prior year.

• Delivered maiden net profit after tax of $1.7M, a $10.1M improvement year-over-year.

• Underlying EBITDA improved from a $3.4M loss in FY24 to $5.1M profit in FY25.

• Gross margin increased to over 88%, with operating costs down 10%.

Outlook and guidance

• Entered FY26 with contracted and renewal revenue of $34M, the highest ever, expected to grow with new wins.

• Targeting positive EBITDA and operating cashflow for FY26; growth depends on timing of new contracts.

• Growth strategy focuses on scaling core products in existing markets and exploring new geographies such as Canada, Saudi Arabia, and UAE.

• Ongoing review of M&A opportunities that are strategic and synergistic.