• Revenue down 22.5% to $8.7 million, gross profit down 12.5%
• Loss improved 84.4% to $3.6 million, excluding impairment
• Company focused on AI compliance management and monetizing Open-AudIT user base
• Renewed major agreements with Telmex, Claro, Microsoft, Raytheon, and NASA

FirstWave Cloud Technology Ltd reported a 22.5% decline in revenue to $8.7 million for the year ended 30 June 2025, with gross profit down 12.5% to $7.7 million. The company's loss after tax improved 84.4% to $3.6 million, excluding an impairment of intangible assets of $nil (FY 2024: $19.9 million). The reduction in revenue and gross profit was primarily due to Telstra discontinuing its GPA firewall product and closure of its CSX2 platform, as well as some significant non-recurring revenues in the prior year. The company has continued to reduce cash usage, with no operational cash used over the year. It has been through extensive restructuring to align costs and skills with current and projected revenues, and is focused on AI powered compliance management and monetizing the estimated 150,000 organisations using its free/open source Open-AudIT product. FirstWave renewed and extended major agreements with numerous organisations, including a renewal/extension of its agreement with Telmex (Mexico's dominant telecommunications provider) where several strategic and potentially transformative conversations are underway. The Americas, and specifically Latin America, remain exciting regions for the company's next stage of growth, with the company also working closely with Telmex's sister companies Claro in Ecuador, Dominican Republic and Guatemala, as well as multiple blue-chip clients in the USA including Microsoft, Raytheon and NASA.The company released several new technologies, including its first AI powered security compliance reporting, which is key in targeting the commercialization of the significant base of Open-AudIT users by offering AI powered compliance management. It also announced a new partnership with AWS and Ingram Micro to launch FirstWave products on the AWS marketplace, commencing with CyberCision.Overall, the board sees great opportunities for growth, with costs under control, particularly the 'blue sky' opportunity to monetize the Open-AudIT user base by targeting AI powered compliance management, the new relationship with AWS, and the potential expansion of the relationship with Telmex. The board looks forward to a successful FY26 for all shareholders.

The board sees great opportunities for growth, with costs under control, particularly the 'blue sky' opportunity to monetize the Open-AudIT user base by targeting AI powered compliance management, the new relationship with AWS, and the potential expansion of the relationship with Telmex. The board looks forward to a successful FY26 for all shareholders.