Integrated Research (IRI) H2 2026 earnings summary

Executive summary

• FY26/FY 2026 saw revenue and EBITDA decline year-over-year due to a softer renewals book, lower new business, and protracted procurement cycles, but strong cash generation enabled increased ordinary and special dividends.

• Product-led growth strategy advanced with the launch of new AI-powered products (Iris, Agentic SQA, IR Labs beta platform) and the introduction of usage-based/SaaS revenue models.

• Investment in product and technology increased, with disciplined cost management and no capitalisation of R&D.

• Cash position strengthened by 27% to AUD 51.7 million, supporting higher fully franked dividends.

Financial highlights

• Statutory revenue for FY26/FY 2026 was AUD 57.6 million, down 16% year-over-year; pro forma revenue was AUD 65.8 million, down 12%.

• EBITDA loss of AUD 2.1 million versus a AUD 15.9 million profit in FY25; net profit after tax was AUD 1.2 million, down from AUD 13.4 million.

• Cash increased to AUD 51.7 million, up 27% from the prior year; company remains debt-free.

• Dividend payout increased, with an ordinary fully franked dividend of AUD 0.03 per share and a special dividend of AUD 0.03 per share, totaling AUD 0.05 per share.

• Total contract value for FY26 was AUD 54.3 million, down 19% year-over-year.

Outlook and guidance

• Continued investment in product and technology is expected to impact profit performance in the short to medium term, with a focus on accelerating innovation and commercialisation.

• FY27 renewals book is weighted to the second half, with targets for improved expansion revenue performance.

• Dividend policy targets a minimum distribution of 25% of free cash flow, with flexibility for M&A and contingency reserves.