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ReadCloud Limited (ASX:RCL)

ALERT: Price-sensitive ASX Announcement for RCL
Current share price for RCL : $0.061 -0.009 (-12.86%)+
Announcement
Release
28 May 2026 11:14AM
Price at Release
$0.070
Full Release
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Summary
ReadCloud Limited's 1H FY26 results presentation highlighted strong financial performance in its school-focused divisions, notably a 15% increase in VET-in-schools partnering revenue and significant cash flow improvements. The company achieved a cash position of $3.7 million, remained debt-free, and expanded its school network by 61. Operating expenses were stable, with targeted investments to enhance efficiency. The strategic exit from industry training allowed ReadCloud to focus on its school-facing operations, maintaining high retention rates and positioning for continued growth.
Key Points
  • ReadCloud Limited achieved 15% growth in core VET-in-schools partnering revenue to $4.1 million.
  • Cash receipts from school customers increased by 22% to $7.0 million.
  • Operating cash flow from school businesses rose by 18% to $2.5 million.
  • ReadCloud added 61 new schools, meeting its full-year target at the half-year mark.
  • The company exited its industry training business, Southern Solutions.
  • With a cash position of $3.7 million as of March 31, 2026, ReadCloud remains debt-free.
  • The company has a strong customer retention rate of 92% for VET-in-schools and 89% for direct eBook solutions.
  • Total sales and fee revenue for continuing operations grew by 6% to $8.5 million.
  • The company achieved a 7% increase in gross profit, surpassing sales growth.
  • Operating expenses were stable with specific investments in advertising, cybersecurity, and professional services.
IMPORTANT NOTE: This information is autogenerated and has not been reviewed for accuracy or completeness. You should refer to the full announcement here for further information.