• Growing ARR through new logos and customer expansion
• Tight costs management propels Beonic toward profitability
• Achieved strong and sustained YTD gross margin of 75.5%

Beonic Ltd has released its Q3 FY25 quarterly business review, showcasing strong operational and financial performance. The company reported recurring revenue of $4.4 million, a 6.4% increase year-over-year, and annualized recurring revenue (ARR) of $17.8 million, a 6.5% increase. Beonic maintained a robust and sustained year-to-date gross margin of 75.5%, a notable improvement from the FY24 gross margin of 68.5%. This reflects the company's ongoing efforts to enhance profitability and progress towards cashflow breakeven. While net cash outflow from operations was $114,000 for the quarter, this included $320,000 in non-recurring payments associated with cost-cutting measures. Beonic's cash costs related to staff, administration, and corporate continued to improve to $2.7 million. The company also collected $724,000 related to a two-tranche placement offered earlier in 2024. Key contract wins during the quarter include JFK International Airport, Verizon, Charlotte Douglas International Airport, Rivian, Adelaide Airport, Christchurch Airport, and the Western Australia Museum. Beonic also secured notable renewals with David Jones, Land Securities, Narita International Airport, and Norwich Football Stadium. The company appointed Marc Thompson as Chief Technology Officer and Michael Pearce as Company Secretary. Beonic also announced a strategic agreement with e& UAE (formerly Etisalat) to introduce innovative WiFi analytics solutions into the UAE market. Looking ahead, Beonic is focused on achieving financial stability, accelerating product adoption, converting its $29 million qualified deal pipeline, and consistently delivering exceptional outcomes for customers.

Beonic is forecasting cashflow breakeven from operating activities during Q4, FY25 and anticipates a run rate EBITDA margin exiting FY25 of between 12% and 15%.

Beonic is focused on solidifying its position as a global leader in IoT solutions, achieving financial stability through disciplined cost management and operational efficiency, enhancing product adoption, delivering key projects with a focus on customer satisfaction and operational excellence, securing new logos and maximizing upsell opportunities, and accelerating pipeline conversion from its $29 million qualified deal pipeline.