• Revenue up 20% to $17.0m, driven by improved Detect performance
• EBITDA turnaround to positive $1.7m, up $2.6m on pcp
• Strong sales pipeline of over $100m, with 10 opportunities over $1m

AVA Risk Group Ltd reported a strong H1 FY25 performance, with revenue up 20% to $17.0m, driven by improved Detect segment performance. Gross margin improved to 64%, up 3% on the prior corresponding period (pcp). The company achieved a turnaround to positive EBITDA of $1.7m, up $2.6m on pcp, reflecting a reduced and scalable cost base following organisational restructuring in FY24. Recurring revenue grew 20% to $2.4m, underpinned by the deployment of the Aura Ai-X system. The company has a strong sales pipeline exceeding $100m, with 10 opportunities over $1m, across key geographies and industry verticals including border protection, airports, and transportation. The company continues to invest in technology and commercial capabilities, with the release of new Aura Ai-X and Cobalt platforms to support growth. The business is well-funded, with $4.7m in cash at 31 December 2024, plus $1.7m in receipts in January, to drive its global expansion.

AVA Risk Group expects revenue growth of 20%+ in FY25, with the core business delivering to plan. The company is targeting revenue of $52m to $66m by FY26, with EBITDA of $11m to $18m, leveraging its stable operating cost base.

The company sees substantial opportunity in adjacent markets, such as telecommunications, to drive further growth, though the impact of these adjacencies is likely to be more meaningful from FY26. The company remains focused on revenue growth across all business segments by leveraging its strong commercial teams and proven technology, as well as expanding its OEM and distribution channels globally.