Bailador’s Profit Falls 7% as Public Investments Drag on Portfolio Growth
Bailador Technology Investments reported a $19.25 million net profit for FY25, down 7%, while its private portfolio surged with a 33% internal rate of return. The company declared a fully franked 3.6 cent dividend, underscoring confidence in its growth strategy.
- Net profit after tax declined 7% to $19.25 million
- Gains on financial assets rose 5% to $38.18 million
- Private portfolio delivered strong 33% IRR growth
- Declared fully franked final dividend of 3.6 cents per share
- New investments include Hapana, PropHero, and follow-ons in DASH, Rosterfy, Access Telehealth
Financial Performance and Dividend
Bailador Technology Investments Limited (ASX, BTI) closed the financial year ended 30 June 2025 with a net profit after tax of $19.25 million, representing a 7% decrease from the prior year’s $20.67 million. Despite this dip, gains on financial assets increased by 5% to $38.18 million, reflecting strong underlying portfolio performance. The Board declared a fully franked final dividend of 3.6 cents per share, payable on 8 September 2025, signaling ongoing confidence in the company’s cash flow and capital management.
Portfolio Highlights, Private vs Public Investments
The standout story for FY25 was the private portfolio, which delivered a robust 33% internal rate of return (IRR), a significant rebound from the 2% IRR in FY24. This growth was driven by strong operational performance and revaluations across several private companies, including Updoc, Access Telehealth, Hapana, and Mosh. In contrast, public investments such as SiteMinder and Straker experienced valuation declines, with SiteMinder’s share price falling 13% over the year despite a partial $20 million realisation at a premium price.
Strategic Investments and Growth Capital Deployment
Bailador actively deployed $40.8 million in new and follow-on investments during FY25. Notable new investments included $7.7 million in Hapana, a fitness studio management software platform, and $12.5 million in PropHero, an AI-enabled property investment platform with international reach. Follow-on investments totaling $20.6 million were made in DASH, Rosterfy, and Access Telehealth, supporting their expansion and product development. These investments align with Bailador’s focus on expansion-stage IT businesses with proven revenue models and strong growth prospects.
Embracing AI and Tech-Enabled Services
The company highlighted the increasing integration of generative AI across its portfolio, enhancing customer experience, operational efficiency, and competitive positioning. Portfolio companies are leveraging AI in diverse ways, from AI-driven property recommendations at PropHero to AI-assisted healthcare services at Updoc and Access Telehealth. Bailador’s management is also exploring AI applications internally to optimize investment processes and portfolio support.
Governance, Sustainability, and Outlook
Bailador maintains a strong governance framework with active board involvement in portfolio companies and a commitment to sustainability, including carbon offsetting and community engagement. The company’s net tangible assets per share increased both pre- and post-tax, reflecting value accretion despite market headwinds. Looking ahead, Bailador anticipates continued growth driven by its private portfolio and remains optimistic about the eventual rebound in public investments, particularly SiteMinder.
Bottom Line?
Bailador’s FY25 results underscore the resilience of its private tech investments amid public market volatility, setting the stage for potential portfolio-wide growth in 2026.
Questions in the middle?
- How will public market conditions impact Bailador’s listed investments in the coming year?
- What role will generative AI play in accelerating growth across Bailador’s portfolio companies?
- When might Bailador consider realising further gains from its private investments to sustain dividend growth?
