Stakk’s Q2 Cash Receipts Jump 65% to $1.44m, Cash Reserves Hit $15.1m
Stakk Limited has reported a robust Q2FY26 with record cash receipts and a fortified $15.1 million cash reserve, setting the stage for breakeven in CY26 amid strong Tier-1 client momentum.
- Q2FY26 cash receipts hit $1.44 million, up 65.3% quarter-on-quarter
- Strong cash balance of $15.1 million following oversubscribed capital raise
- Multiple Tier-1 client wins including Chime, SoFi, Stride Bank, Panacea Financial
- Operating cash outflows reduced to $1.96 million, showing improved leverage
- On track to achieve breakeven in calendar year 2026
Strong Quarter Reflects Accelerating Growth
Stakk Limited (ASX, SKK) has delivered a standout performance in the second quarter of fiscal year 2026, reporting record cash receipts of $1.44 million. This represents a significant 65.3% increase from the previous quarter, underscoring accelerating customer engagement on its embedded-finance platform. The company’s momentum is further bolstered by a robust cash position of $15.1 million at quarter-end, following an oversubscribed capital raise that has strengthened its balance sheet and provided ample runway for growth.
Strategic Client Wins and Revenue Momentum
Stakk’s growth story is anchored by multiple Tier-1 client acquisitions, including notable names such as Chime, SoFi, Stride Bank, and Panacea Financial. These wins not only validate the company’s technology but also promise to drive recurring revenue streams as several contracted clients are yet to commence billing. The company’s booked revenue for calendar year 2025 reached $3.56 million, reflecting an impressive compounded quarterly growth rate of 222%, signaling strong market traction and adoption of its Stakk IQ™ platform.
Disciplined Cost Management and Investment
Despite the rapid growth, Stakk has maintained disciplined cost control, with net operating cash outflows reducing to $1.96 million in Q2FY26 from $2.37 million in Q1. The company continues to invest heavily in research and development, with $803,000 spent this quarter to accelerate platform enhancements and support new client integrations. This front-loaded R&D investment is expected to taper as key development milestones are achieved, improving operating leverage further. Other operating expenses, including marketing and administration, remain controlled, reflecting a balanced approach to scaling.
Positioned for Breakeven and Beyond
Looking ahead, Stakk remains firmly on track to reach breakeven in calendar year 2026, consistent with prior guidance. The company’s scalable SaaS model, combined with expanding annual recurring revenue and a strong cash buffer, positions it well to capitalize on the growing embedded finance market across Australia and the United States. With a clean balance sheet and negligible liabilities, Stakk is also exploring strategic initiatives, including potential acquisitions, to enhance its distribution footprint and accelerate growth.
As Stakk transitions into this pivotal phase, investors will be watching closely to see how the company converts its strong pipeline and client wins into sustained profitability and market leadership.
Bottom Line?
Stakk’s record quarter and strong cash position set a promising stage for breakeven and growth in CY26, but execution on client billing ramp-up will be key.
Questions in the middle?
- When will the newly contracted Tier-1 clients begin recurring billing and how quickly will revenue ramp?
- How will Stakk balance ongoing R&D investment with the need to improve operating leverage?
- What strategic acquisitions might Stakk pursue to expand its market footprint and how will these be funded?
