hipages Group has delivered a strong FY25 performance, achieving key strategic milestones and robust financial growth, setting the stage for continued momentum in FY26.
- Revenue rises 10% to $83.1 million
- EBITDA margin expands to a record 24%
- Free cash flow surges 162% to $5.6 million
- Successful migration to single tradie platform (STP)
- FY26 guidance targets 10-12% revenue growth and AI-driven innovation
Strong Financial Growth Amid Strategic Transformation
hipages Group Holdings Ltd (ASX – HPG), Australia and New Zealand’s leading tradie marketplace and SaaS platform, has reported a solid FY25 financial performance, marked by a 10% increase in total revenue to $83.1 million. The company’s EBITDA margin expanded by two percentage points to a record 24%, reflecting improved operating leverage and disciplined expense management. Most notably, free cash flow soared by 162% to $5.6 million, underscoring the efficiency of hipages’ evolving business model.
This growth comes alongside a significant strategic evolution, including the successful migration of over 33,000 Australian tradie customers onto the new single tradie platform, Tradiecore. This complex technology implementation, described by CEO Roby Sharon-Zipser as the company’s most challenging to date, lays a robust foundation for long-term profitable growth.
Driving Revenue and Engagement Through Innovation
hipages’ Monthly Recurring Revenue (MRR) climbed 14% to $7.4 million, supported by a 9% increase in Annual Revenue Per User (ARPU) to $2,267. The introduction of new pricing plans in Australia and a full subscription model rollout in New Zealand have been pivotal in driving these gains. While subscription tradie numbers remained stable at 36,600, the company noted a slight decline in New Zealand as it transitioned fully to subscriptions.
CEO Sharon-Zipser highlighted early signs of improved customer retention and engagement, with 13% of Australian tradies actively using Tradiecore’s job management features. Looking ahead, hipages plans to enhance Tradiecore’s functionality and introduce adjacent services to deepen tradie and homeowner engagement, aiming to unlock new revenue streams.
FY26 Outlook – Innovation and AI Integration
With the major platform migration and pricing model changes largely complete, hipages enters FY26 with clear momentum. The company targets revenue growth of 10-12%, an EBITDA margin between 24-26%, and free cash flow of $8-10 million. Central to this outlook is a focus on improving lead pricing, matching algorithms, and self-serve capabilities to streamline tradie-homeowner connections.
Moreover, hipages is advancing the integration of artificial intelligence across its products and operations, a move expected to enhance user experience and operational efficiency. This strategic pivot positions hipages at the forefront of tradie and homeowner technology innovation in the region.
Financially, hipages maintains a strong balance sheet with $26.9 million in cash and no debt as of June 30, 2025, providing ample runway for continued investment and growth initiatives.
Bottom Line?
hipages’ FY25 results and strategic milestones set a promising stage for AI-driven growth and deeper market penetration in FY26.
Questions in the middle?
- How will hipages sustain ARPU growth amid increasing competition?
- What specific AI features are planned to enhance Tradiecore and customer engagement?
- How will the transition to subscription models impact tradie retention in New Zealand long-term?