EPX Limited reports robust FY25 growth with a 10% rise in Annual Contract Value and a 35% increase in site numbers, driven by strategic sales restructuring and key new partnerships.
- Annual Contract Value up 10% to $17.6 million
- Annual Recurring Revenue grows 14% to $15.5 million
- Site count expands 35% to 740 across 25+ countries
- New major contracts with Morgan Sindall and global property manager
- Improved ARR per employee signals operational efficiency gains
Strong Financial Momentum
EPX Limited has delivered a compelling operating update for the financial year ending June 30, 2025, showcasing solid growth across key revenue metrics. The company’s Annual Contract Value (ACV), a forward-looking indicator of potential recurring revenue, climbed 10% to $17.6 million. Meanwhile, Annual Recurring Revenue (ARR), representing billable subscriptions, rose 14% to $15.5 million, reflecting successful conversion of contracts into cash flow.
This growth trajectory accelerated in the second half of the year, following a strategic sales restructure and a series of targeted initiatives designed to enhance customer engagement and market presence.
Strategic Initiatives Fuel Expansion
EPX’s refreshed approach included a major update to its proprietary EDGE platform, rebranding efforts, and increased visibility at industry events. These moves, combined with media campaigns and the establishment of dedicated product and customer success teams, have strengthened the company’s ability to meet evolving sustainability demands.
Notably, the company has broadened its footprint with a 35% increase in site numbers, now servicing approximately 740 locations across more than 25 countries. This expansion is partly attributed to the integration of over 200 sites from the recent Coda Cloud technology acquisition.
Key Contract Wins Highlight Market Position
EPX secured several significant new contracts during FY25, underscoring its growing influence in the energy efficiency software sector. A standout partnership with UK-based Morgan Sindall Construction positions EPX’s EDGE platform at the forefront of post-occupancy evaluation services for public sector and educational buildings, aligning with emerging global climate reporting standards.
Additionally, EPX won initial contracts with a large global property manager overseeing over 1,000 properties worldwide, and expanded engagements with established clients such as FirstGroup and Growthpoint Properties Australia Limited. These wins not only add immediate revenue but also set the stage for further growth in FY26.
Operational Efficiency and Outlook
Efficiency gains are evident in the company’s ARR per full-time employee metric, which improved from approximately $197,000 to $204,000, reflecting better productivity alongside ongoing investments in product innovation and customer support.
CEO John Balassis highlighted the company’s successful turnaround and expressed optimism about EPX’s future, citing strong market tailwinds and the company’s global reach as key enablers for continued growth.
Bottom Line?
EPX’s FY25 results set a strong foundation, but the real test will be sustaining momentum amid evolving climate regulations and competitive pressures.
Questions in the middle?
- How will EPX capitalize on emerging global climate reporting standards?
- What is the expected timeline for converting new ACV into recurring revenue?
- How will ongoing investments in technology and customer success impact margins?