• Results above market guidance, expect moderate growth in 2H25
• Transition from CCM to software continues as expected
• Strong progress on FY25 objectives including new product launches
• Continued investment in cost base to support new products and future growth

Audinate Group Ltd reported 1H25 results above market guidance, with US$ revenue decreasing 38% to US$18.9 million and A$ revenue decreasing 38.4% to A$28.7 million. Gross profit margin increased to 82.5%, reflecting the transition to higher margin software products. The company expects a moderate strengthening in the second half of the year. 1H25 was a transitional year as manufacturing customers worked through accumulated inventory balances, with a strengthening in end-user demand expected to drive future orders. Audinate anticipates a one-year transition period, with customers returning to regular ordering patterns in FY26. The company launched several new products in 1H25 and 2H25, including Dante Director, Dante AVIO Install Series and Dante Virtual Soundcard Pro, which are expected to drive revenue growth and market expansion. Audinate had A$111.3 million in cash at period end, providing financial strength and flexibility. The company remains committed to strategic capital deployment and continued investment in its cost base to support new product development and future growth acceleration.

Audinate expects a moderate strengthening in the second half of FY25, with a return to normal order patterns and growth by FY26.

Audinate's long-term strategic thesis remains strong, with key demand indicators such as growth in OEM design wins, Dante Certification and Training program participation, and the expanding Dante device base supporting continued adoption and revenue opportunities from managing and monitoring AV installations. The company will focus on sales and marketing activities, getting customer video products to market, and successfully delivering new Dante products to broaden the revenue base in FY25.