Audeara Reports $1.52M Revenue, 111% Growth, and New Licensing Agreements
Audeara Ltd has reported a remarkable 111% revenue increase in Q1 FY26, driven by strong growth in its technology division and key international partnerships in China and Japan. The company is advancing towards cashflow breakeven with improved cash management and expanding global reach.
- Revenue surged 111% to $1.52 million in Q1 FY26
- Licensing deal secured with China’s Eastech, initial order received post-quarter
- Distribution agreement signed with Japan’s Eyear System to launch Auracast products
- Net cash outflows improved 55% to $338k after R&D completion
- Collaborations with Ear Science Institute Australia and Shokz Hear advance bone conduction devices
Strong Revenue Growth Signals Momentum
Audeara Ltd (ASX, AUA) kicked off FY26 with a striking 111% jump in quarterly revenue to $1.52 million, underscoring the accelerating traction of its AUA Technology division and a near doubling of sales through its Australian wholesale channel. This surge reflects the company’s successful execution of its global expansion and technology licensing strategies.
Cash management also improved significantly, with net operating cash outflows narrowing by 55% to $338,000 following the completion of targeted research and development investments in the prior quarter. Audeara ended September 2025 with $1.21 million in cash, positioning it well on the path toward cashflow breakeven.
Strategic Partnerships Drive International Expansion
Central to Audeara’s growth story is its recently secured licensing agreement with Eastech (Huizhou) Co., Ltd., a subsidiary of Taiwan-listed Eastech Holding. This deal enables Audeara’s proprietary hearing technology to be integrated into hearing aids for the Chinese market, with Eastech handling certification and distribution through major e-commerce platforms such as Tmall and JD.com. The company received its first order for 1,000 licence keys shortly after the quarter ended, marking a significant commercial milestone.
Further strengthening its international footprint, Audeara inked a distribution agreement with Japan’s Eyear System Inc. to launch Auracast-enabled products, including Bluetooth audio transmitters, in Japan’s advanced hearing-health sector. This partnership includes collaborative efforts on local certification and a planned showcase at a major Tokyo trade show in November.
Innovation and Collaboration in Hearing Solutions
On the innovation front, Audeara advanced a project with the Ear Science Institute Australia (ESIA) to develop bone conduction hearing devices tailored for high-need communities. This initiative, supported by a $100,000 grant, also involves a partnership with Shokz Hear to optimize devices for children in schools, with positive early feedback from pilot programs in Western Australia.
Audeara’s Auracast technology continues to gain recognition, with deployments in educational institutions and live performance venues, enhancing accessibility and immersive listening experiences. The company’s leadership in hearing health innovation was further validated by multiple awards, including the Premier of Queensland’s Export Award for Small Business and Australia’s International Good Design Award for its consumer electronics.
Looking Ahead, Scaling and Sustainability
Management remains focused on scaling high-margin revenue streams through expanding global partnerships and Auracast initiatives, while maintaining disciplined cost controls. Advanced negotiations for follow-on orders from major technology partners and new Auracast opportunities suggest promising avenues for growth. However, the company acknowledges that revenue figures are unaudited and that execution risks remain, particularly in reliance on third-party distribution channels.
Audeara’s progress in Q1 FY26 paints a picture of a company transitioning from development to commercialisation, with a growing international presence and a clear strategy to reach sustainable cashflow breakeven.
Bottom Line?
Audeara’s strong start to FY26 sets the stage for scaling global partnerships and advancing its path to profitability.
Questions in the middle?
- Will follow-on orders from Eastech and other partners sustain revenue growth momentum?
- How quickly will Auracast adoption expand in new international markets like Japan?
- What are the risks and timelines associated with regulatory approvals and certification in China and Japan?
