Raiz’s FY26 Earnings Outlook Hinges on Market Stability and Customer Growth
Raiz Invest Limited reported robust FY25 results with record active customers and funds under management, underpinned by strategic partnerships and AI-driven innovation. The company projects positive earnings growth for FY26 amid a competitive fintech landscape.
- 333,866 active customers and $1.95 billion funds under management as of August 2025
- FY25 revenue of $24.1 million and underlying EBITDA of $2.8 million, up 147%
- Strategic partnership with State Street Investment Management to expand product offerings and customer insights
- Investments in AI marketing strategies driving improved customer conversion and retention
- FY26 guidance anticipates positive underlying EBITDA between $4.5 million and $5.5 million
Strong Growth Momentum in FY25
Raiz Invest Limited has delivered a compelling financial performance for the fiscal year ending 2025, reporting revenue of $24.1 million and an underlying EBITDA of $2.8 million, marking a significant 147% increase in earnings before interest, tax, depreciation, and amortisation. The company’s active customer base grew to 333,866, with funds under management (FUM) reaching $1.95 billion as of late August 2025. This growth reflects Raiz’s successful positioning as a wealth platform accessible to everyday Australians, particularly appealing to younger demographics with aggressive and moderately aggressive investment portfolios comprising nearly half of total funds.
Leveraging Strategic Partnerships and Innovation
A key driver behind Raiz’s momentum is its strategic partnership with State Street Investment Management, the world’s fourth-largest asset manager. This collaboration is set to enhance Raiz’s product suite with new ETFs and superannuation portfolios, while also enriching customer education through a world-class knowledge hub. The partnership aims to leverage combined data insights to create a Raiz Customer Sentiment Index, providing a sophisticated understanding of investor behaviour and preferences.
Raiz is also investing heavily in artificial intelligence to personalise marketing and customer engagement. The company reports a 6% uplift in same-day conversion rates in the last quarter of FY25, attributing this to targeted messaging and improved customer retention strategies. This AI-driven approach is tailored to distinct customer personas, such as young professionals and budget-conscious families, enhancing the overall user experience.
Product Innovation and Customer Experience
The company’s product ecosystem continues to expand, featuring offerings like Raiz Plus portfolios, Raiz Rewards, Raiz Invest Super, and Raiz Kids. These products are designed to maximise customer lifetime value and cater to a broad range of financial goals, from wealth accumulation to debt management. Raiz’s commitment to accessibility and inclusivity is evident in its omni-channel service model and seamless onboarding processes, which have helped maintain its position as one of the most recommended micro-investing apps in Australia.
FY26 Outlook and Strategic Priorities
Looking ahead, Raiz has provided guidance for FY26, forecasting positive underlying EBITDA in the range of $4.5 million to $5.5 million. This outlook assumes continued growth in active customers, funds under management, and net inflows, with no significant changes in market conditions. The company’s strategic priorities for the coming year focus on delighting customers, expanding reach and value, and meeting evolving needs through innovation.
Raiz’s scalable technology platform, strong balance sheet with $13 million in cash, and a well-funded growth strategy position it well to navigate the competitive fintech environment. The company’s ability to integrate advanced AI tools and leverage high-profile partnerships will be critical to sustaining its growth trajectory.
Bottom Line?
Raiz’s blend of technology, partnerships, and customer focus sets the stage for continued fintech innovation and market expansion in FY26.
Questions in the middle?
- How will Raiz’s partnership with State Street translate into new product launches and revenue streams?
- What risks could arise if market conditions shift unfavourably against Raiz’s FY26 earnings guidance?
- How sustainable is Raiz’s growth in active customers amid intensifying competition in the micro-investing space?