Daily Roundup

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Strong Growth Across the Board for ReadCloud

Clarity Pharmaceuticals is off to a great start, having imaged the first patient in its registrational Phase III AMPLIFY trial for 64Cu-SAR-bisPSMA, a potential best-in-class diagnostic PSMA agent for prostate cancer. The trial aims to gather data for a New Drug Application and potential commercialization, as Clarity believes this agent can overcome the limitations of current PSMA PET diagnostics.

But the real standout today is ReadCloud Limited, which has reported exceptional first half results for FY25. The company achieved 13% organic revenue growth, driven by a 32% surge in its VET-in-schools business. Even more impressive was the 73% jump in underlying EBITDA, thanks to strong operating leverage and disciplined cost management.

ReadCloud's VET-in-Schools solution continues to go from strength to strength, now serving 429 schools and delivering 733 qualifications during the first half - a 14% increase year-over-year. The company's eBooks business also grew, with a 10% lift in domestic direct sales.

While government policy changes will impact the Southern Solutions division in the second half, ReadCloud's core VET-in-Schools and eBooks businesses remain firmly on track to deliver the company's 15% organic revenue growth target for FY25. With a strong balance sheet, positive operating cash flow, and tailwinds in the school-based education market, ReadCloud is well-positioned for continued success.

Elsewhere, Knosys is unveiling a strategic pivot to become a global leader in library technology solutions. The company plans to simplify its portfolio and focus on expanding its Libero library management platform, investing in AI-powered features and mobile capabilities to drive growth.

Over at Careteq, the news is less positive, with the company receiving amended assessments from the Australian Taxation Office regarding its R&D Tax Incentive claims. Careteq strongly disputes the assessments and intends to lodge a formal objection.

And finally, ikeGPS reported solid FY25 results, with revenue from continuing operations up 19.2% and subscription revenue continuing to grow strongly. The company expects this momentum to continue, targeting subscription revenue growth of 35% or more in FY26.

All in all, a mixed bag of announcements, but the standout performer today is undoubtedly ReadCloud, which is firing on all cylinders and well-positioned for the future.