Gratifii Limited has reported a robust FY25 with revenue and transaction values more than doubling, driven by key acquisitions and new product launches. The company is poised for further growth in FY26 with platform upgrades and expanding client partnerships.
- Total transaction value surged 105% to $61.4 million
- Revenue increased 82% to $54.5 million, boosted by acquisitions
- Completed acquisitions of Club Connect and Rapport (NZ) Group
- Launched Australia’s first B2B2C co-branded mobile service for member organisations
- Underlying EBITDA loss narrowed despite higher integration and technology costs
Strong Financial Growth Amid Challenging Conditions
Gratifii Limited (ASX – GTI), a loyalty and rewards platform provider, has delivered a compelling set of unaudited preliminary results for the fiscal year ended June 30, 2025. Despite a tough macroeconomic backdrop, the company reported a 105% increase in total transaction value (TTV) to $61.4 million and an 82% rise in revenue to $54.5 million. These gains were underpinned by strategic acquisitions and an expanded enterprise client base featuring well-known tier one brands.
Gross profit rose 50% to $6.7 million, reflecting the company’s growing scale, although margins compressed slightly due to a higher proportion of lower-margin rewards revenue. The underlying EBITDA loss narrowed by 14% to $4 million, a positive sign given the increased technology investments and acquisition integration costs incurred during the year.
Acquisitions and Platform Innovation Drive Expansion
FY25 was a defining year for Gratifii’s growth strategy, marked by the acquisitions of Club Connect and Rapport (NZ) Group Limited. Club Connect significantly broadened Gratifii’s reach into the Australian motoring association market, adding access to nearly nine million members and enhancing product offerings. Rapport expanded the company’s footprint in New Zealand and brought in seasoned leadership and major enterprise clients.
These acquisitions were supported by a $9 million capital raise, enabling Gratifii to invest in technology migration and platform upgrades. The company is transitioning clients to its new multi-client platform, Gratifii Connect, which promises improved scalability, stability, and cost efficiencies. Early migration success with major clients like RACV has already yielded approximately $800,000 in cost synergies, with further savings expected in FY26.
Innovative Product Launches and Market Positioning
In collaboration with Fastter, Gratifii launched Member’s Mobile, Australia’s first B2B2C co-branded mobile service tailored for member-based organisations. RAC WA was the inaugural client, and the company anticipates scaling this offering with new clients in FY26. Additionally, Gratifii is preparing to launch Member’s Internet, a complementary telco-as-a-reward product, expected in the first quarter of FY26.
These new products diversify revenue streams and are designed to enhance margins, supporting Gratifii’s broader strategy of delivering value-driven loyalty and rewards services amid rising cost pressures. The company is also focused on product re-architecture to improve user experience, increase engagement, and add advanced features such as foreign currency support and tighter digital wallet integration.
Outlook and Strategic Focus for FY26
CEO Iain Dunstan expressed confidence in sustaining robust revenue growth in FY26, driven by margin expansion, ongoing cost rationalisation, and new product rollouts. The company’s clear strategy aims to deliver transformational growth and scale, leveraging integration synergies and a strong leadership team.
Gratifii’s positioning at the intersection of loyalty, rewards, and telecommunications innovation places it well to capitalize on evolving market dynamics. The company’s focus on expanding its domestic and trans-Tasman footprint, combined with technology upgrades and product diversification, signals a promising trajectory despite the current net loss of $10.9 million.
Bottom Line?
Gratifii’s FY25 momentum sets the stage for a pivotal FY26 as it scales new products and deepens market penetration.
Questions in the middle?
- How will the full integration of Club Connect and Rapport impact profitability in FY26?
- What is the expected revenue contribution from the upcoming Member’s Internet launch?
- Can Gratifii sustain margin expansion amid ongoing technology investments and competitive pressures?