Group revenue from continuing operations increased 42% vs the prior corresponding period (“PCP”) to $4.0m ● Paid subscribers for Spacetalk Mobile (MVNO) grew 166% vs PCP to over 29k (Q3FY23: 11k) ● Annual recurring revenue (ARR) increased 23% vs pcp to $9.6m (Q3FY23: $7.8m) ● Continued momentum towards our target of achieving positive free cash flow in Q4FY24 ● Significant progress on strategy execution ● Cash in bank of $1.4m at period end.
The strategic shift to a subscription-based business model has started to pay dividends, as evidenced by a 23% increase in Annual Recurring Revenue (ARR) to $9.6 million by end of March 2024. This growth in ARR underscores the company's effective adaptation to market demands for more predictable and steady revenue streams, which are typical of subscription models. Simultaneously, cost reduction programs have realised savings of $0.46m this quarter, evident in the decline of total normalised payments before product manufacturing costs from $4.84m in Q2FY24 to $4.38m. This downward trend is expected to continue as the cost saving and efficiency measures implemented this quarter take full effect across the coming quarters.
