RAS Technology (RTH) H2 2026 earnings summary

Executive summary

• Achieved 34% year-over-year revenue growth to AUD 28.4 million, marking the fifth consecutive year of 30%+ growth, with all business segments and the first full year of RAS Asia operations contributing.

• Significant investments in AI, automation, trading solutions, and technology platforms enhanced operational efficiency, scalability, and product innovation.

• Expanded global reach, now serving over 30 countries and 6 million unique viewers, with strong momentum in Asia and the U.K.

• Launched new products, including BetBridge and international simulcast offerings, and secured major contracts with LeoVegas Group, Tabcorp, Playbook Engineering, and TABtouch.

• Strategic focus on building trading teams, product capability, and leveraging AI for future growth.

Financial highlights

• Revenue reached AUD 28.4 million, up 34% year-over-year; ARR was AUD 23.5 million, up 8%.

• Normalized EBITDA was AUD 3 million, up 3% year-over-year, despite heavy investment.

• Normalized net profit before tax was AUD 84,000; normalized net loss after tax was AUD 0.3 million, impacted by increased expenses and R&D grant changes.

• Cash at year-end was AUD 4.2 million, with positive normalized operating cash flow of AUD 2.7 million.

• Currency fluctuations, especially a stronger AUD, materially impacted reported revenue, particularly from the U.K. and USD contracts.

Outlook and guidance

• Cost growth expected to be subdued in FY 2027, with major investments largely completed.

• Operating leverage anticipated to strengthen, especially in H2 FY 2027 as new contracts ramp up.

• Continued focus on AI, automation, and cost optimization to drive margin expansion and productivity.

• Strong growth expected in Asia and the UK, with new launches and digital assets as key drivers.

• Ongoing cost initiatives to optimize suppliers, restructure staff, and manage discretionary expenses.