Stakk’s unaudited pro-forma revenue rose 16.5% to A$16.1 million in the first quarter of FY2027, implying an illustrative annualised pace above its full-year objective. The company has kept its A$55.2 million revenue and A$18.5 million EBITDA targets unchanged, stressing that one quarter does not establish the year.
- Q1 pro-forma revenue of A$16.1 million, up 16.5% quarter-on-quarter
- Illustrative annualised revenue pace of A$64.3 million
- Recurring contracts support 100% of the A$55.2 million FY2027 revenue objective
- ParaScript cross-selling and new engagements are aimed at FY2028 growth
- Statutory cash flow and receipts detail due in the forthcoming Appendix 4C
Q1 revenue clears FY2027 objective on an annualised basis
Stakk Limited (ASX:SKK) has started FY2027 at a run-rate that sits well above its stated revenue target, reporting unaudited pro-forma first-quarter revenue of A$16.1 million. That was 16.5% higher than the preceding quarter and translates to an illustrative A$64.3 million annualised pace, about A$9.1 million above the company’s A$55.2 million FY2027 pro-forma revenue objective.
The headline number comes with an important qualification. Stakk has multiplied one quarter’s revenue by four; it is not presenting A$64.3 million as achieved annual revenue, contracted annual recurring revenue, a forecast or revised guidance. The company has therefore retained both its A$55.2 million revenue objective and A$18.5 million EBITDA objective, noting that the remaining quarters still depend on contract delivery, costs, integration, foreign exchange and other operating conditions.
Enterprise wins move from signing to revenue
Management said the quarter reflected previously secured customer engagements moving through implementation and ramp-up into established revenue generation. Those relationships span financial services, telecommunications, government, healthcare and other regulated industries, with the company pointing to demand for auditable digital interactions, document processing and decisioning.
The reported momentum follows a run of enterprise announcements, including the Candescent five-year contract, which was already live across banking workflows and was expected to contribute above Stakk’s FY2027 revenue milestone. The company also cited engagements involving SoFi, T-Mobile, Chime, the FBI, IBM, Candescent and Panacea as part of the customer base now feeding its commercial performance.
ParaScript expands the FY2028 growth pipeline
On a consistent combined-business basis, quarterly revenue has risen from approximately A$6.4 million in the March 2025 quarter to A$16.1 million in the September 2026 quarter, an increase of about 151%. The figures include Stakk and ParaScript for the full quarter, even though ParaScript only entered statutory consolidation after the acquisition completed on 17 September 2026.
Stakk said recently signed contracts awaiting implementation provide another source of future revenue, while cross-selling across the ParaScript customer base is already adding commercial momentum. The company expects the more substantial revenue contribution from that activity in FY2028. That pipeline includes the new IBM deployment, whose revenue contribution was scheduled to begin immediately in October under an initial contract running to September 2027.
Cash conversion remains the next evidence point
Stakk said its internal review found revenue remained closely aligned with customer cash receipts during the quarter, citing recurring contracted revenue and billing and collection discipline. However, the announcement does not provide the statutory customer receipts, operating cash flow or cash balance that will show how the enlarged group is performing under its formal reporting scope.
Those details are due in the forthcoming Q1 activities report and Appendix 4C. The comparison will need care: the pro-forma revenue covers ParaScript for the entire quarter, while statutory cash flows will include ParaScript only from completion of the acquisition. The next report should therefore provide a cleaner test of cash generation, integration costs and whether the revenue momentum is translating into balance-sheet strength.
Bottom Line?
The revenue pace is encouraging, but the investment case now turns on repeatability, statutory cash conversion and ParaScript’s ability to convert its pipeline into FY2028 revenue.
Questions in the middle?
- Will quarterly revenue remain above the FY2027 objective once seasonality, implementation timing and exchange-rate movements are reflected?
- What will the Appendix 4C show about statutory receipts, operating cash flow and the cash cost of integrating ParaScript?
- How much of the FY2028 pipeline will become signed, implemented and recurring revenue rather than remain at the engagement stage?