• Contracted Annualised Recurring Revenue (ARR) down 14% to $21.5 million
• Group revenue decreased 5% year-on-year
• EBITDA loss of $4.9 million, consistent with FY24
• Entered FY26 with $23 million pre-merger sales pipeline

In FY25, Prophecy International delivered a stable performance across its product portfolio, despite transitional challenges and the impact of legacy revenue attrition. Contracted Annualised Recurring Revenue (ARR) was $21.5 million at 30 June 2025, down from $25.0 million at 30 June 2024. The decrease primarily reflects ~$0.8 million of contracted ARR from legacy products ceasing, alongside a large emite customer reaching the end of its fixed-term contract. Normalising for this legacy revenue, underlying contracted ARR decreased ~11% year on year. Group revenue decreased modestly (~3% YoY post-normalisation) as a result of sales staff churn in North America impacting the conversion of new opportunities and other revenue impacts. The Group delivered an EBITDA loss of $4.9 million, reflecting investment in product re-architecture and partner-led growth initiatives. This is broadly consistent with FY24. The Group continued to focus on operating cost efficiency and capital allocation, with development expenditure linked to the emite re-architecture project capitalised. The Group entered FY26 with a 12-month pre-merger sales pipeline of ~$23 million (unweighted), providing a strong base for revenue momentum. Underlying business momentum was tempered by sales staff churn in North America, but the Board and management remain confident in the FY26 revenue outlook, supported by recent enterprise wins, growing partner-led channels, continued momentum in iPaaS adoption and the expected impact of the proposed transformational merger with Complexica.

The Group will continue its transition towards SaaS and subscription sales as it focuses on driving organic growth through renewal, retention, upsell and cross sell. Management remains confident in the medium-term financial trajectory, with FY26 expected to benefit from the full-year contribution of FY25 customer wins, growing adoption of emite's iPaaS solution, and expanded distribution of Snare through strategic partners such as Securonix and Devo.