Kinatico (KYP) H2 2026 earnings summary

Executive summary

• Achieved net profit after tax (NPAT) of AUD 2 million, up 78.5% year-over-year, with EBITDA rising 28.2% to AUD 5.6 million and revenue up 9.4% to AUD 35.2 million.

• SaaS revenue now comprises 58.4% of total revenue, up from 9.2% in FY 2022, reflecting a 53% CAGR and a structural shift in business model.

• Achieved significant transformation into an AI-native, SaaS-first compliance platform, with AI fully integrated across operations and product development, driving efficiency, innovation, and staff engagement.

• Successful dual go-to-market strategy addresses both SME and enterprise segments from a single platform, expanding the addressable market.

• Cash and cash equivalents increased by AUD 1.6 million to AUD 11.8 million, with four consecutive years of rising profit and no debt or dilution.

Financial highlights

• FY26 revenue reached AUD 35.2 million, up 9.4% year-over-year; EBITDA rose to AUD 5.6 million, up 28.2%; NPAT increased to AUD 2.0 million, up 78.5%.

• SaaS revenue grew 37.5% to AUD 20.5 million, now 58.4% of total revenue, crossing the 50% threshold for the first time.

• Free cash flow conversion of EBITDA reached 44.8%, up from -39.4% in FY 2024; free cash flow increased 84.9% to AUD 2.5 million.

• Operating expenses reduced to 50.2% of revenue from 51.3% in FY25.

• NPAT per employee increased 105% year-over-year, indicating improved foundational performance.

Outlook and guidance

• Continued pursuit of the Rule of 40, with accelerating operational leverage and top-line growth.

• Ongoing investment in AI and platform enhancements, funded by internal cash generation.

• Expansion into Southeast Asia is a strategic priority, leveraging existing development base and relationships.

• Strong roadmap of AI-driven features and enhancements planned to capitalize on tightening regulatory requirements.

• Pipeline remains strong at AUD 12+ million after recent enterprise wins, with further growth expected.