Reckon’s half-year financial results for 2025 are out. The announcement marks key improvements and growth in cloud technology, overall operational efficiency, and the acquisition of Cashflow Manager.
Let’s take a look at the key highlights for Reckon’s half-year results.
Performance Highlights
- Group revenue returned $33m, up 16% on the previous corresponding period.
- EBITDA up 21% on the previous corresponding period, up to $14m.
- NPAT of $4m, up 35% from the previous corresponding period.
- Group operating cash flow increased from $4.3m to $6.5m in HY25.
- 8% uplift in cloud revenues, driven by growth in Reckon One.
- Legal Group revenue growth of 18% to $6.6m.
- Acquisition of Cashflow Manager and Okke accounting solutions.
These results showcase that the operations and delivery of Reckon’s products and services are continuing to improve, and the company is investing in cloud products and services.
Performance Analysis
With these strong results, the next six months will be a continued commitment to Reckon’s short-term and long-term goals. Reckon looks forward to investing more into its cloud software to provide excellent performance and value for its customers. This is highlighted by numerous product releases and updates that its user base has celebrated, contributing to the 8% uplift in cloud revenue growth.
The half-year results also highlight that Reckon is looking for opportunities to grow with the acquisition of Cashflow Manager. Bringing in CFM has added over 20,000 customers to Reckon’s established user base, leading to an increase in subscriptions to Reckon’s overall product suite.
Reckon’s legal group is continuing to perform above its weight class overseas, servicing billing and document workflow software for US and UK legal firms. A steady growth in subscriptions – bringing in $6.6m in subscription revenue – from key investments highlights the growth in this space.
Words from Sam Allert, CEO of Reckon
Reckon’s CEO, Sam Allert, had glowing remarks about the results.
“We are very pleased with our first half results, as we continue with our plan to generate stable cash flows from our well-established Business Group, providing us the flexibility to invest in high growth opportunities…”
Allert also mentioned that Reckon’s short-term goal is to transition legacy desktop software users across to its cloud suite.
“Users of Reckon One and our mobile-based cloud products represent approximately 20% of our subscription revenue base within the Business Group and we have only scratched the surface on the opportunity to transition our legacy product users to Reckon One.”
Allert also commented on the health of Reckon as a company to its shareholders.
“We have continued our track record of rewarding shareholders with healthy dividends, and we maintain our intention is to pay one dividend annually at a healthy yield based on the current share price.”
What’s Next?
The half-year results show that Reckon is dedicated not only to its shareholders, but also to valued customers and small business owners. With a commitment to providing stellar accounting and payroll software, Reckon is delivering on its promises and paving the way for a multi-year growth plan.
