H1 FY25 Results Presentation
| Stock | Spirit Technology Solutions Ltd (ST1.ASX) |
|---|---|
| Release Time | 25 Feb 2025, 10:59 a.m. |
| Price Sensitive | Yes |
Spirit Technology Solutions Ltd Reports H1 FY25 Results
- Revenue of $50.3M versus $43.7M in the prior corresponding period
- Underlying EBITDA of $3.9M versus $0.2M in the prior corresponding period
- Cyber security revenue up 97% to $14M with 20% underlying EBITDA margin
Spirit Technology Solutions Ltd has reported its H1 FY25 results, highlighting solid performance across the business. Revenue for the period was $50.3 million, up from $43.7 million in the prior corresponding period, representing a 15% increase. Underlying EBITDA also improved significantly, increasing from $0.2 million to $3.9 million, a 2,311% increase year-on-year. The company's cyber security business was a standout, with revenue up 97% to $14 million and a 20% underlying EBITDA margin. The Managed Services segment also returned to profitability, contributing $0.1 million compared to a $2.5 million loss in the prior corresponding period. The company completed the acquisition of Forensic IT during the half, which is expected to provide enhanced capabilities and cross-sell opportunities. Spirit reaffirmed its FY25 guidance, targeting revenue of $100 million to $110 million and underlying EBITDA of $11 million to $12 million. The company's cyber-first strategy is expected to continue driving growth over the next three years, with a strong pipeline of opportunities. Spirit will also pursue further organic and inorganic growth opportunities to strengthen its position as a leading provider of secure digital workplaces in Australia.
FY25 guidance reaffirmed: revenue of $100M-$110M and underlying EBITDA of $11M-$12M. Cyber security expected to be the largest earnings contributor in FY26 with margin accretion opportunities from Infotrust's additional offerings and scale.
Strong market tailwinds across Spirit's core markets of cyber security, sustainable IT solutions and managed services. Advancing accretive acquisition opportunities and organic growth through geographic and customer expansion and up-sell and cross-sell to existing customers. All business segments expected to return to profitability in FY25.