Appendix 4E and Annual Report to shareholders
Stock | 8COMMON Ltd (8CO.ASX) |
---|---|
Release Time | 29 Aug 2025, 3:55 p.m. |
Price Sensitive | Yes |
8COMMON Ltd reports FY25 results
- Revenue from continuing operations of $7.3m, down 11% vs FY24
- Annualised Recurring transaction and SaaS Revenue (ARR) of $5.4m at 30 June 2025
- Cash receipts from operations of $8.6m, with a cash inflow of $0.1m
8COMMON Ltd's flagship product, Expense8, has continued to strengthen its position as a leading Travel and Expense Management Software (TEMS) solution for large enterprises and government agencies. In FY25, the company delivered major infrastructure, billing and technology enhancements that drove gross margin expansion to 76.5% in Q4 vs 58.4% in Q1 and positioned it well for profitability. FY25 total revenue was $7.3 million, down 11% vs FY24, but with transaction and recurring SaaS revenue of $5.1m, up 15% year-over-year. The growing number of contracts has seen an increase in both user numbers as well as ARPU, with period end ARPU of $29.36, up 1% vs the prior corresponding period. The cashflow performance of the company recovered significantly throughout 2H FY25, culminating in a positive $326k EBITDA and positive cashflow in the June quarter. The company continues to expand its presence across government, not-for-profit, and enterprise markets, and expects this to support sustainable revenue growth and improved profitability over the coming quarters.
The Group continues to expand its presence across government, not-for-profit, and enterprise markets. As additional entities complete the on-boarding phase of Expense8 and transition to live usage, user numbers are expected to increase, driving higher average revenue per user (ARPU). This uplift is anticipated to support sustainable revenue growth and improved profitability over the coming quarters. In parallel, the Group's partner program is positioned to accelerate client acquisition, with a strong pipeline of both government and non-government opportunities in Australia and abroad. These dynamics are expected to underpin positive cash flows, strengthen the Group's competitive position, and provide a solid platform for long-term growth.