Gentrack Group (GTK) H2 2025 earnings summary

Executive summary

• Achieved 8% group revenue growth to $230.2m and 13% increase in recurring revenues year-over-year, with EBITDA up 18% to $27.8m and NPAT more than doubling to $20.9m, driven by tax credits and forex gains.

• Five-year CAGR stands at 22% for revenue and 21% for EBITDA, reflecting consistent performance.

• Strong cash position with $84.8m and no external debt, supporting ongoing investments and potential bolt-on acquisitions.

• Major product milestone with G2 platform (g2.0 technology stack) going live at Genesis, driving new wins and faster deployments.

• Strong international pipeline and major contract wins position for accelerated growth.

Financial highlights

• Group recurring revenue grew 13% to $155.4m; non-recurring revenue declined 1% due to prior year project work.

• Utilities revenue up 7% to $193.4m, with recurring revenue up 12% and non-recurring down 5%.

• Veovo revenue up 15% to $36.8m, or 30% excluding hardware sales; recurring revenue up 18%.

• EBITDA margin increased to just above 12%, with margin before LTI costs at 16%.

• Cash conversion strong at 83% of EBITDA.

Outlook and guidance

• FY25 guidance delivered: $230m revenue at 12% EBITDA margin.

• Expecting higher revenue growth in FY26 and FY27, with medium-term targets of 15%+ CAGR and 15-20% EBITDA margin.

• Utilities recurring revenues projected to grow ~10% in FY26; Veovo expected to match or exceed 15% growth.

• Strong pipeline with 10 advanced new customer opportunities representing 30 million meter points.