RPMGlobal divests advisory arm, achieves record software sales

RPMGlobal Holdings Limited reported a pivotal FY2025, marked by the sale of its advisory division to SLR Consulting Australia Pty Ltd for AUD$63.0 million, yielding a profit from discontinued operations of AUD$47.5 million. This strategic divestment allows RPMGlobal to focus entirely on its software business, which achieved record sales and significant growth. Total revenue for FY2025 increased by 6% to AUD$76.7 million, driven by a 20% rise in subscription revenue to AUD$54.8 million. Operating EBITDA grew by 32% to AUD$6.2 million.

The company's software Total Contracted Value (TCV) sales reached AUD$100.8 million, up 31% from the previous year, with subscription licenses accounting for 99.9% of sales. This led to a substantial increase in pre-contracted, non-cancellable software revenue to AUD$200.0 million, securing future revenue streams. New product adoption was strong, with XERAS Cloud generating AUD$22.4 million in licenses since its May 2025 release.

Looking ahead to FY2026, RPMGlobal anticipates total revenue between AUD$88 million and AUD$92 million, with operating EBITDA projected to be in the range of AUD$23 million to AUD$25 million. The company expects continued strong performance from XECUTE, AMT, and XERAS Cloud, supported by an AUD$8.2 million reduction in annual operating costs following the divestment and successful pilot projects. The company's on-market share buyback program continued, with AUD$13.4 million spent in FY2025 at an average price of AUD$2.65 per share.