Credit Clear (CCR) H2 2025 earnings summary

Executive summary

• AI-driven platform for debt recovery achieved strong revenue growth and margin expansion in FY25, serving major Australian sectors and onboarding 182 new clients, including large corporations and tier-1 clients.

• Net promoter score above 40 from over 550,000 respondents, reflecting high customer satisfaction and collaborative approach.

• Three-pronged business model: SaaS digital solution, ARMA Debt Resolution (hybrid digital/people), and Oak Ridge Legal Services for litigation, servicing over 1,000 businesses.

• AI-driven technology platform delivered a 22% uplift in performance and a 75% increase in digital assistance for consumer cohorts.

• Consistent outperformance against competitors led to greater share of wallet and recurring revenue streams.

Financial highlights

• FY25 revenue reached $46.9 million, up 12% year-over-year, driven by both new and existing clients.

• Underlying EBITDA rose 76% to $7.4 million, with margin improving from 10% to 16%.

• Net profit after tax of $3.5 million, a turnaround from a $4.4 million loss in the prior year.

• Cash at bank of $15.6 million, with cash generated from operations up 57% to $5.8 million.

• Gross profit margin remained flat at 53% due to onboarding major clients.

Outlook and guidance

• FY26 revenue guidance: $50–$52 million; underlying EBITDA guidance: $9–$10 million.

• High potential for further margin growth as cost savings from Q3/Q4 2025 flow through and continued AI integration.

• Supportive macroeconomic conditions with rising personal debt and expected rate cuts to drive demand.

• Strong sales pipeline, especially in government and technology-driven debt recovery.

• Conservative guidance approach to avoid overpromising; new and existing client growth factored in.