• $1.6m Annual Recurring Revenue (ARR) up 114% as at 31 December 2024
• Reduced legacy debt levels from $6.8m to $2m as at 31 December 2024
• Reduced current debt facilities from $8.4m to $4m as at 20 February 2025

Visionflex Group Limited (ASX:VFX), a leader in virtual healthcare solutions, has released its Appendix 4D and interim financial report for the 6 months ending 31 December 2024. The company reported $1.6m in Annual Recurring Revenue (ARR), up 114% on the prior comparison period (pcp), and a reduction in legacy debt levels from $6.8m to $2m as at 31 December 2024. The company also reduced its current debt facilities from $8.4m to $4m as at 20 February 2025, reflecting its strengthened financial position and reduced reliance on debt funding. H1 FY25 revenue was $1.9m, down 42% on the pcp, due to large one-off hardware sales being delivered in the pcp. The company's gross profit margin increased to 81%, up from 59% in the pcp, driven by a higher percentage of high-margin subscription revenue. Visionflex delivered an underlying EBITDA loss of $1.3m in H1 FY25. The company's pipeline continues to grow and mature, with several material contracts expected to reach the selection stage during Q3 FY25. Visionflex is targeting to reach run rate EBITDA profitability in Q4 FY25, supported by a $25m+ sales pipeline.

Targeting to reach run rate EBITDA profitability in Q4 FY25, supported by a $25m+ sales pipeline.

With contract momentum and several material enterprise sales conversions expected in H2 FY25, Visionflex remains on track to reach run rate EBITDA profitability in Q4 FY25.