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X2M Connect Limited (ASX:X2M)

ALERT: Price-sensitive ASX Announcement for X2M
Current share price for X2M : $0.003 -0.01 (-76.92%)+
Announcement
Release
28 Oct 2025 9:16AM
Price at Release
$0.013
Full Release
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Summary
X2M Connect Limited has reported a strong start to the 2026 financial year, with revenues of $2.1 million, a 25% increase from the previous year. The gross profit reached $0.92 million, reflecting a 10% rise. The company's operating costs increased by 3% due to capital raising and debt restructuring, leading to an improved adjusted EBITDA loss of $0.6 million. Despite net cash outflows from operating activities totaling $1.67 million, the total cash at the end of the quarter was $1.8 million, and net debt significantly reduced to $0.7 million. New contracts worth roughly $4 million have been secured, poised for recognition during FY26. The company has experienced strong performance in South Korea and is expanding its market presence in Taiwan and the UAE. A total of $5.4 million was raised through a Placement and Entitlement Offer, contributing to X2M's growth. The customer base for enterprise and government clients grew by 13% to 86.
Key Points
  • X2M Connect Limited reported revenues of $2.1 million for 1Q FY26, a 25% increase from the previous year.
  • The gross profit was $0.92 million, a 10% increase from 1Q FY25.
  • Operating costs rose by 3%, primarily due to capital raising and debt restructuring.
  • The adjusted EBITDA loss improved to $0.6 million from $0.7 million in the previous corresponding period.
  • Net cash outflows from operating activities were $1.67 million, while total cash at the end of the quarter was $1.8 million.
  • Net debt was reduced significantly from $5.5 million to $0.7 million by 30 September 2025.
  • X2M secured new contracts worth approximately $4 million to be recognized in the remainder of FY26.
  • The company's operations in South Korea showed strong performance, while Taiwan and the UAE are developing markets.
  • X2M raised $5.4 million through a Placement and Entitlement Offer during the quarter.
  • Enterprise and government customers increased to 86, showing a 13% growth.
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.