Quarterly Activities/Appendix 4C Cash Flow Report

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Stock Archtis Ltd (AR9.ASX)
Release Time 31 Oct 2025, 9:31 a.m.
Price Sensitive Yes
 archTIS Delivers Transformative U.S. Acquisition, Expanded DoD Contract
Key Points
  • Acquired U.S.-based Spirion LLC, adding ~A$19M in Annual Recurring Revenue
  • Secured additional U.S. DoD contract, complementing enterprise licensing opportunities
  • Strengthened balance sheet with A$20.5M equity raise to fund U.S. expansion
Full Summary

The September quarter marked a significant period of operational focus for archTIS, as the company developed its international expansion strategy and delivered on key U.S.-based initiatives. The highlight was the announcement, supporting equity raise, and successful completion of the acquisition of U.S.-based Spirion LLC, a leader in data security posture management. The A$15.7M transaction added ~A$19M in Annual Recurring Revenue and a diversified customer base of over 150 enterprise and government clients. archTIS also secured an additional U.S. DoD contract worth A$250,000, reinforcing its momentum in the U.S. defence market. The company completed a A$20.5M equity raise to fund the Spirion acquisition and its expanded U.S. growth strategy. archTIS ended the quarter with A$13.8M in total available funds, providing support for its U.S. expansion, product innovation, and ongoing operational execution.

Guidance

Following the Spirion acquisition, archTIS' Annual Recurring Revenue increased to A$18.9M, with licensing revenue comprising 78% of total revenue and delivering a strong 75% gross margin.

Outlook

With the Spirion transaction completed, archTIS has significantly expanded its U.S. presence, more than doubled its customer base, and strengthened its recurring revenue foundation. The company is uniquely positioned to deliver trusted, zero-trust solutions across both defence and enterprise markets as the U.S. DoD and allied governments continue to modernize secure collaboration and data protection initiatives.