Activeport Reports Q1 FY26 Revenue Shift: Software Up, SaaS Down
Activeport Group Ltd reported steady Q1 FY26 results with key project deliveries and a successful capital raise, positioning the company for accelerated growth across Asia and beyond.
- Delivered Telekom Malaysia self-service portal to production
- Deployed first 1,500 GPUs to Reliance Jio cloud gaming platform
- Completed $4.68m rights issue and $6.68m placement securing full funding
- Revenue growth expected in Q2 as new projects begin invoicing
- Expanded Global Edge network nodes in Sydney and Melbourne
Quarterly Performance in Line with Expectations
Activeport Group Ltd (ASX – ATV) has reported its Q1 FY26 results, reflecting a period focused on delivering recently secured contracts and strengthening its financial position. The company’s revenue mix showed a modest decline in Software as a Service (SaaS) income, offset by growth in software license sales, consistent with the natural lifecycle of legacy contracts and the ramp-up of new projects.
Key among these was the successful deployment of the Telekom Malaysia self-service portal, a milestone that positions Activeport as a significant player in Southeast Asia’s telecommunications software market. This portal enables enterprise customers to manage network services independently, connecting across multiple regional nodes including Malaysia, Hong Kong, Thailand, Singapore, and Australia.
Strategic Project Deployments Across Asia and India
Beyond Malaysia, Activeport advanced deployments with Reliance Jio in India, shipping the first 1,500 GPUs to support the www.jiogames.com cloud gaming platform. This initiative is expected to drive revenue growth in the coming quarter as GPU utilization increases. Additional software deployments commenced with Ishan Netsol Pvt Ltd, a leading Indian ICT provider, with integration efforts continuing into Q2.
In Australia, Activeport expanded its Global Edge network by bringing Sydney and Melbourne nodes into production, delivering new live services that underpin its private cloud superhighway launched earlier this year. The company is also progressing a network-to-network interconnect gateway in Singapore, targeting telcos across Asia and India, with a planned launch in Q3.
Robust Capital Raising Fuels Growth Ambitions
Financially, Activeport completed a $4.68 million rights issue alongside a $6.68 million placement, with additional commitments pending shareholder approval. These capital injections have fully funded the company, enabling it to accelerate sales and delivery efforts across its business segments. The proceeds were partly used to repay existing working capital facilities, strengthening the balance sheet.
Despite a net operating cash outflow of $1.49 million and investing outflows of $654,000 during the quarter, the company ended with $2.72 million in cash and equivalents, providing nearly two quarters of runway. Management expects improved cash inflows in Q2, driven by new project invoicing and an anticipated R&D tax refund.
Innovation and Future Outlook
On the research and development front, Activeport completed enhancements including a new billing module tailored for telecommunications providers, expanded access controls for enterprise clients, and a core software update featuring a microservices architecture. These improvements aim to support scalability and flexibility as the company targets new markets.
Chairman and CEO Peter Christie highlighted the quarter’s focus on project delivery and capital raising as foundational steps for growth. With an expanding sales pipeline across Asia, India, Europe, and the Middle East, Activeport is positioning itself to capitalize on increasing demand for network orchestration and cloud-enabled telecommunications solutions.
Bottom Line?
With full funding secured and key projects now live, Activeport is poised to translate deployments into revenue growth in the coming quarters.
Questions in the middle?
- How quickly will revenue from new projects, especially Telekom Malaysia and Reliance Jio, materialize in Q2?
- What impact will shareholder approval of the remaining placement tranche have on the company’s growth plans?
- When might the zero exercise price options (ZEPOs) vest, and how could they affect future capital structure?