Scalare Partners has swung to positive EBITDA as acquisitions of Tank Stream Labs and Planet Startup lifted FY26 total income 411% to $17.9 million. The startup investor remains loss-making after sharply higher depreciation, amortisation and financing costs, while its portfolio reached $12.5 million across 25 companies.
- FY26 total income of $17.9 million, up 411%
- EBITDA improved to $5.5 million from a $2.9 million loss
- Services revenue rose 420% to $14.9 million
- Net loss widened to $3.4 million after non-cash and financing costs
- Portfolio valued at $12.5 million with approximately 214% total returns to date
Acquisitions drive Scalare’s FY26 revenue jump
Scalare Partners Holdings Ltd (ASX:SCP) has crossed an important operating threshold, reporting $5.5 million of EBITDA for FY26 after a $2.9 million EBITDA loss a year earlier. Total income rose 411% to $17.9 million, although the comparison is heavily shaped by the acquisition and integration of Tank Stream Labs and Planet Startup during the year.
Services revenue increased 420% to $14.9 million. Tank Stream Labs contributed $11.7 million of rental and services revenue after its acquisition on 10 September 2025, while the group said the integration of Tank Stream Labs and Planet Startup generated more than $0.8 million in revenue synergies during FY26. The figures therefore show a much larger platform, but not a clean measure of organic growth.
Strong operating result still leaves a statutory loss
Scalare’s gross profit climbed 716% to $13.9 million, with gross margin expanding to 77.8% from 48.7%. Total expenses rose 81% to $8.4 million, while depreciation and amortisation surged to $7.2 million from $177,779 as the enlarged group recognised acquired assets and lease-related balances.
That accounting burden, alongside $848,270 of interest and tax expense and an $876,567 impairment charge, left the company with a $3.4 million net loss. Other income of $2.3 million included a $1.9 million fair-value gain on deferred consideration, while investment gains comprised $797,978 of unrealised gains and $330,378 of realised and unrealised gains in the prior year. The distinction matters: the EBITDA improvement is tangible operating progress, but the statutory result remains exposed to non-cash valuations, acquisition accounting and financing costs.
Cash generation improves as lease obligations expand
Net operating cash flow swung to an inflow of $6.2 million from an outflow of $2.1 million, with customer receipts rising 576% to $16.5 million. The cash figure includes only nine months of Planet Startup activity and less than a full year of Tank Stream Labs, according to the presentation.
Cash ended FY26 at $1.82 million, down slightly from $1.88 million, after $6.0 million of investing outflows and $786,456 of financing outflows. The balance sheet grew substantially: net assets rose 13% to $15.2 million, but current and non-current liabilities reached $43.0 million combined. Tank Stream Labs brought a $29.6 million lease liability onto the balance sheet, partly offset by a $21.1 million right-of-use asset and $5.5 million of fit-out and leasehold improvement assets.
Portfolio value concentrated in later-stage companies
Scalare’s investment portfolio comprised 25 companies at 30 June 2026, with $5.7 million invested and a reported current value of $12.5 million. Nine companies in the scaling and globalisation category accounted for $8.3 million, or 66% of portfolio value, while seven companies showing revenue momentum contributed a further $3.1 million.
The company describes total realised and unrealised returns to date as approximately 214%, but there were no portfolio exits during FY26 and the current value includes valuation movements. Its stated investment approach is to make initial pre-seed or seed investments of up to $250,000, with roughly eight new companies targeted each year. That creates potential portfolio breadth, while also leaving the reported value sensitive to the progress and revaluation of a relatively small group of early-stage businesses.
FY27 test shifts to integration and operating leverage
Scalare’s stated priorities are to grow recurring revenue, strengthen portfolio performance, deepen founder communities and capture efficiencies from group-wide integration. The central question is whether the enlarged ecosystem can sustain services growth after the acquisition uplift begins to normalise, while generating enough cash to manage its lease obligations and continue funding new investments.
Bottom Line?
Scalare has demonstrated operating scale and positive EBITDA, but FY27 will show whether the gains persist beyond acquisitions while lease costs, valuation movements and early-stage investment risk remain material.
Questions in the middle?
- How much of FY27 services growth can come from existing operations rather than recently acquired businesses?
- Can operating cash flow remain positive after the full cost of Tank Stream Labs’ leases and integration is reflected?
- Will portfolio valuations convert into realised exits, or remain primarily unrealised gains?],
- headlineOptions:[
- ,
- ,
- ]} Oqartussat? Wait malformed. Need fix final JSON. I accidentally included weird. Need regenerate proper fields including seo, topics,tone,priority,slot. Ensure valid JSON. headline options 3. no tabs issue. Let's output clean.}ӡб?
- headlineOptions
- seoKeywords
- topics
- tone
- articlePriority
- homepageSlot