ReadCloud Delivers Strong FY25 Growth with Expanding School Customer Base.
ReadCloud (ASX: RCL) reported a solid FY25 performance, driven by continued organic growth across its Australian school-focused businesses. The company onboarded 62 new school customers and achieved strong retention rates of 92% in VET-in-Schools and 91% in direct eBooks, reinforcing the strength of its recurring revenue model. VET-in-Schools remained a major contributor, delivering 26% sales and fee revenue growth supported by higher partnering fees, increased customer numbers, and rising qualifications per school. Direct eBooks posted 17% domestic growth, although international and reseller channels softened.
Despite a 28% decline in industry training revenue due to funding pressures, consolidated gross profit rose 11% and underlying EBITDA increased 109%, reflecting disciplined cost control and operating leverage. Cash flow improved, with operating cash up 26% and year-end cash rising 34%. With a strong market position, scalable technology, and clear FY26 priorities, ReadCloud is well-placed to sustain earnings momentum.
Customer Notice:
Nextgen Global Services Pty Ltd trading as Kapitales Research (ABN 89 652 632 561) is a Corporate Authorised Representative (CAR No. 1293674) of Enva Australia Pty Ltd (AFSL 424494). The information contained in this website is general information only. Any advice is general advice only. No consideration has been given or will be given to the individual investment objectives, financial situation or needs of any particular person. The decision to invest or trade and the method selected is a personal decision and involves an inherent level of risk, and you must undertake your own investigations and obtain your own advice regarding the suitability of this product for your circumstances. Please be aware that all trading activity is subject to both profit & loss and may not be suitable for you. The past performance of this product is not and should not be taken as an indication of future performance.
Kapitales Research, Level 13, Suite 1A, 465 Victoria Ave, Chatswood, NSW 2067, Australia | 1800 005 780 | info@kapitales.com.au.au
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ReadCloud Delivers Strong FY25 Growth with Expanding School Customer Base.
ReadCloud (ASX: RCL) reported a solid FY25 performance, driven by continued organic growth across its Australian school-focused businesses. The company onboarded 62 new school customers and achieved strong retention rates of 92% in VET-in-Schools and 91% in direct eBooks, reinforcing the strength of its recurring revenue model. VET-in-Schools remained a major contributor, delivering 26% sales and fee revenue growth supported by higher partnering fees, increased customer numbers, and rising qualifications per school. Direct eBooks posted 17% domestic growth, although international and reseller channels softened.
Despite a 28% decline in industry training revenue due to funding pressures, consolidated gross profit rose 11% and underlying EBITDA increased 109%, reflecting disciplined cost control and operating leverage. Cash flow improved, with operating cash up 26% and year-end cash rising 34%. With a strong market position, scalable technology, and clear FY26 priorities, ReadCloud is well-placed to sustain earnings momentum.
Customer Notice:
Nextgen Global Services Pty Ltd trading as Kapitales Research (ABN 89 652 632 561) is a Corporate Authorised Representative (CAR No. 1293674) of Enva Australia Pty Ltd (AFSL 424494). The information contained in this website is general information only. Any advice is general advice only. No consideration has been given or will be given to the individual investment objectives, financial situation or needs of any particular person. The decision to invest or trade and the method selected is a personal decision and involves an inherent level of risk, and you must undertake your own investigations and obtain your own advice regarding the suitability of this product for your circumstances. Please be aware that all trading activity is subject to both profit & loss and may not be suitable for you. The past performance of this product is not and should not be taken as an indication of future performance.
Kapitales Research, Level 13, Suite 1A, 465 Victoria Ave, Chatswood, NSW 2067, Australia | 1800 005 780 | info@kapitales.com.au.au