Visionflex Q4 Revenue Jumps 148% to $2.0m, ARR Nears $2m

• Q4 FY25 cash receipts surged 136% to $2.1 million
• Unaudited Q4 revenue rose 148% quarter-on-quarter to $2.0 million
• Annual Recurring Revenue (ARR) reached $1.9 million, up 49% year-on-year
• Secured $1.0 million government-funded virtual nursing pilot with Amplar Health
• Expanded contracts with ASX mining company and regional health networks

Strong Financial Momentum

Visionflex Group Limited (ASX, VFX) closed out FY25 with a robust quarter, demonstrating significant commercial traction and operational discipline. The company reported cash receipts of $2.1 million in Q4, a 136% increase from the previous quarter, which translated into a positive operating cash flow of $0.3 million. This marks a notable turnaround from the $0.9 million operating cash outflow in Q3, underscoring improved customer conversions and billing cycles.

Unaudited revenue for the quarter hit $2.0 million, up 148% on Q3 and 14% compared to the prior corresponding period. Importantly, recurring revenue now accounts for 19% of total revenue, reflecting Visionflex’s strategic emphasis on building a predictable, high-margin subscription base. Annual Recurring Revenue (ARR) climbed 14% quarter-on-quarter to $1.9 million, representing a 49% increase year-on-year.

Key Contract Wins Drive Growth

Visionflex secured several pivotal contracts during the quarter that highlight its growing footprint in virtual healthcare technology. The standout is a $1.0 million government-funded virtual nursing pilot with Amplar Health, spanning a 15-month phased rollout across up to 30 residential aged care facilities. This contract includes approximately $0.7 million in upfront hardware sales and $0.14 million in ARR upon full deployment.

Additionally, Visionflex inked a $0.4 million deal with a leading ASX-listed mining company to deploy telehealth solutions across 13 medical centres and a Helicopter Emergency Medical Service aircraft. This contract is split between $0.3 million in hardware sales and $0.1 million in recurring revenue, aiming to enhance medical access and safety for the mining workforce.

Further expansions with Central & Eastern Sydney PHN and Healthy North Coast PHN added $0.4 million in contracts, extending Visionflex’s technology to 10 and 7 additional facilities respectively. These expansions bring Visionflex’s deployed sites to 52 in the CESPHN region and 18 in the HNCPHN region, representing significant regional penetration in aged care facilities.

Outlook and Strategic Positioning

Looking ahead to FY26, Visionflex is poised to capitalize on its momentum with a new solution tailored for the In-Home Care market, set for launch in Q1. This market represents a substantial opportunity, with over 900 providers delivering home care through more than 2,300 services nationally. The company’s scalable technology platform and sector expertise position it well to capture this growing segment.

Financially, Visionflex maintains a solid balance sheet with $1.9 million in cash and access to an additional $1.5 million under existing debt facilities. The company continues to exercise cost discipline while investing in resources to support sustainable growth.

CEO Joshua Mundey highlighted the quarter’s achievements as evidence of the company’s strategic execution and growing commercial momentum, emphasizing the conversion of a maturing pipeline into revenue and the strengthening of subscription renewals.

Bottom Line?

Visionflex’s Q4 surge and strategic contracts set the stage for accelerated growth in FY26, with new market opportunities on the horizon.

Questions in the middle?

• How will the new In-Home Care solution impact Visionflex’s revenue and market share in FY26?
• What are the timelines and risks associated with the rollout of the Amplar Health virtual nursing pilot?
• Can Visionflex sustain its positive cash flow trajectory amid scaling operations and market expansion?