• Delivered $203,413 profit, a $1.9 million improvement vs prior period
• Grew proprietary recurring software/support revenue by 29%
• Strengthened balance sheet through debt-to-equity conversion
• Undertook comprehensive review to align resources and improve financial sustainability

During the half-year ended 31 December 2025, Visionflex continued to execute its strategy of transitioning toward higher quality, recurring revenue streams while maintaining disciplined cost control. The period was characterized by strong customer validation across core markets, continued growth in recurring software and support revenue, and a focus on positioning the business for sustainable, self-sufficient growth. The Group reported an after-tax profit of $0.2 million for H1 FY26, representing a $1.9 million improvement compared to the loss of $1.7 million generated in H1 FY25. This was driven by a $1.6 million fair value gain recognized from the conversion of convertible notes at a premium to the underlying share price, as well as a higher proportion of recurring subscription revenue in line with the Group's strategic priority of focusing on longer term sustainable revenue streams. Operationally, the business has recently undertaken a comprehensive review of its cost base and organizational structure, aimed at aligning resources with near-term priorities, strengthening accountability, and ensuring the Company is positioned to operate on a more financially sustainable basis. The balance sheet has also been strengthened through the conversion of legacy debt into equity, improving the capital structure of the Group and supporting the Company's focus on near-term financial sustainability.