Integrated Research (IRI) H1 2026 earnings summary

Executive summary

• Revenue declined due to a softer renewals book, with earnings impacted by a significant expected credit loss tied to a single client, but cash position improved year-over-year.

• Product-led growth strategy advanced with launches of AI-powered Iris, Prognosis Elevate (as-a-service), and full implementation of High Value Payments for a top 10 U.S. bank.

• Modest improvements in new client and expansion revenues, particularly in government, health, and defense verticals, with new business and expansion revenues offsetting some churn in legacy segments.

• Substantial investment in new products underway, aiming for sustainable medium-term growth.

Financial highlights

• Statutory revenue for H1 FY26 was $28.3 million, down 2% year-over-year; pro forma revenue was $34.4 million, down 6%.

• EBITDA loss of $3.1 million and net after-tax loss of $1.5 million, compared to prior period profits of $4.6 million.

• Cash increased to $43.6 million, with net assets at $95.7 million and no debt.

• Operating expenses rose to $31.7 million, driven by increased product and technology investment and a $4.8 million credit loss provision.

• Operating cash flow increased to $5.5 million from $0.5 million in the prior period.

Outlook and guidance

• Expenses expected to rise in H2 FY26 due to accelerated investment in product-led growth, with short- to medium-term profit impacted by ongoing investment and softer renewals.

• Continued focus on new product launches, including further AI-powered offerings and data layering capabilities in calendar 2026.

• Management confident in medium-term execution, supported by strong client base, talent, and balance sheet.

• Board did not declare an interim dividend; future dividends will be assessed after annual results.