RocketBoots Reports $2.36M Half-Year Loss Despite $9.1M Annual Contract Win
RocketBoots Limited reported a steep 71.75% drop in profit after tax to a $2.36 million loss for the half-year ending December 2025, despite a modest revenue increase. The company’s future hinges on a transformative $9.1 million annual recurring revenue contract with a tier-one multinational retailer and a recent $7 million capital raise.
- 71.75% decline in profit after tax to a $2.36 million loss
- Revenue up 1.86% to $370,311
- Secured a 5-year $9.1 million annual recurring revenue contract with a tier-one multinational retailer
- Completed a $7.025 million capital raising to fund international expansion
- Appointed Maria Phillips as CFO and COO to drive strategic growth
Financial Performance and Challenges
RocketBoots Limited has revealed a challenging half-year financial performance for the period ending 31 December 2025, reporting a net loss of $2.36 million, a significant 71.75% increase in losses compared to the previous corresponding period. This comes despite a slight revenue uptick of 1.86% to $370,311, reflecting ongoing pressures in scaling its AI- and cloud-based software-as-a-service platform.
The company’s net tangible assets per share have turned negative, underscoring the financial strain as RocketBoots continues to invest heavily in product development and market expansion. Operating expenses, particularly employee benefits and professional fees, have increased markedly, contributing to the widened loss.
Strategic Contract Win and Growth Prospects
Amid these financial headwinds, RocketBoots secured a landmark contract with a tier-one multinational retailer valued at approximately $9.1 million in annual recurring revenue over a five-year term, with automatic one-year extensions. This deal represents a more than tenfold increase in the company’s recurring revenue base and is set to underpin its international rollout plans in 2026.
The contract involves deploying RocketBoots’ proprietary AI-driven loss prevention software across roughly 40% of the retailer’s network, marking a significant commercial validation of its technology platform. The rollout speed and execution will be critical to translating this contract into sustainable revenue streams.
Capital Raising and Leadership Enhancements
To support its ambitious expansion, RocketBoots completed a $7.025 million placement in December 2025, attracting new institutional investors alongside existing shareholders. This capital injection is earmarked for funding the international rollout and scaling operations, with $1 million received by year-end and the balance largely settled in early 2026, subject to shareholder approval.
In a strategic leadership move, the company appointed Maria Phillips as Chief Financial Officer and Chief Operating Officer in November 2025. Phillips brings over 25 years of experience from major Australian and international technology and media companies, signalling RocketBoots’ intent to strengthen its operational and financial management as it navigates growth challenges.
Outlook and Market Positioning
While the company remains in a net current liability position, the board affirms its confidence in RocketBoots’ ability to continue as a going concern, supported by the new contract and capital raising. The company is also advancing trials and renewals with other clients, including a Mexican bank for workforce software, indicating a diversified pipeline.
Investors will be watching closely how RocketBoots manages the transition from trial phases to full commercial rollouts, and whether the anticipated revenue growth can offset ongoing losses. The next 12 months will be pivotal in demonstrating the scalability and profitability of its AI-driven SaaS platform in competitive retail and banking sectors.
Bottom Line?
RocketBoots’ transformative contract and capital raise set the stage for growth, but profitability remains a distant goal.
Questions in the middle?
- How quickly will the $9.1 million ARR contract translate into recognised revenue and profit?
- What are the risks around execution and rollout speed for the multinational retailer contract?
- Will the recent capital raise and leadership changes be sufficient to sustain growth and reach profitability?
