Qoria (QOR) H2 2025 earnings summary

Executive summary

• Achieved record ARR of $145 million, up 25% YoY, with strong conversion to revenue and cash flow, and multi-year sales history in targeted regions and customer segments.

• Underlying EBITDA rose to $15.4 million, up 684% YoY, with reported revenue up 18% to $117.3 million.

• Significant penetration in large U.S. school districts and global reach, serving over 32,000 schools, 27 million children, and 8 million parents in 100+ countries.

• Cost discipline and operational leverage improved gross and EBITDA margins, with stable costs as revenue per student rises.

• Recurring revenue model, high service margins, low churn, and efficient marketing spend underpin business growth and profitability.

Financial highlights

• End-of-year ARR at June 30 was $145 million, reliably converting to revenue and cash flow in the following year.

• Reported revenue: $117.3 million, up 18% YoY; gross margin: $87.6 million, up 23% YoY; gross margin percentage increased to 75%.

• Service margins exceed 93%, with customer churn at a low 5.5%.

• For every dollar spent on advertising, $9 is returned; marketing efficiency is 9x.

• Net cash flows from operating activities increased to $10.1 million; cash and cash equivalents at year-end: $15.4 million.

Outlook and guidance

• FY2026 revenue expected to exceed $140 million, with ARR growth of 20%+ and EBITDA margins above 20%.

• Free cash flow positive for the financial year, with upside potential in both revenue and ARR.

• December half expected to account for 60% of FY2026 cash receipts, with strong cash flow and EBITDA positivity.

• Guidance remains unchanged, with July receipts in line with expectations.

• Foreign exchange movements are the primary risk to guidance; most FY2026 results are already secured through existing contracts.