Asset Vision’s 38% ARR Growth Fuels $3.06M Revenue Despite $54K Loss

Revenue Growth and Recurring Momentum

Asset Vision Co Limited, an Australian cloud-based asset management software provider, has reported a solid half-year performance for the period ending 31 December 2025. Revenues from ordinary activities rose by 27% to $3.06 million, underpinned by a 38% increase in Annual Recurring Revenue (ARR) to $5.2 million. This growth reflects successful customer acquisition and contract expansions across diverse sectors including transport, local government, utilities, and facilities management.

The company’s licensing revenue grew 28%, complemented by a 24% rise in services revenue, indicating healthy engagement beyond core subscriptions. This broad-based growth reduces customer concentration risk and enhances revenue predictability.

Profitability Impacted by Strategic Investments

Despite revenue gains, Asset Vision posted a net loss after tax of $54,052, a reversal from the prior period’s profit of $93,618. The loss was primarily driven by increased investment in headcount, product development, and infrastructure to support scaling the business. Employee benefits expense rose significantly, reflecting targeted hiring and share-based payments totaling $548k, a non-cash charge that impacted reported profitability.

Underlying operating performance remained resilient with EBITDA before corporate costs broadly stable year-on-year, suggesting core operations continue to scale effectively despite the increased spend. The company’s focus on long-term growth and product capability expansion is evident in these deliberate investment decisions.

Strong Cash Position and Balance Sheet

Asset Vision strengthened its cash position during the half, generating net cash inflows from operating activities of $669,281. The receipt of an R&D tax offset of $545,540 further bolstered liquidity, providing financial flexibility to fund ongoing innovation and growth initiatives without immediate reliance on external capital.

The balance sheet improved with net assets increasing to $5.57 million, up from $5.08 million at the previous half-year. Current assets exceed current liabilities by over $1 million, indicating a robust liquidity position and supporting the company’s ability to meet short-term obligations.

Outlook and Strategic Focus

Directors remain confident in Asset Vision’s ability to continue as a going concern, supported by strong recurring revenue momentum and a healthy cash flow profile. The company is advancing its core Asset Vision platform alongside the development of its new AutoPilot product, aiming to capture further market share in asset and works management.

While short-term earnings are impacted by non-cash accounting adjustments and growth investments, the underlying business fundamentals suggest a positive trajectory. The company’s strategy to prioritise sustainable growth over immediate profitability aligns with sector trends favouring scalable SaaS solutions.