Straker Ltd · ASX:STG
Straker — H1 FY2026 Earnings Presentation
20 slides from Straker's earnings presentation, Nov 26, 2025
Slide 1: The AI Blueprint
The AI Blueprint H1 Results & The $28M IBM Partnership: Proving the New Model for AI-Driven Growth Grant Straker Co-founder and CEO
Slide 2: Today's Narrative
Today's Narrative The H1 Context: A Strategic, Planned Pivot Our ”Small Language Model Factory": Our R&D Push on Specialised AI The $28M Blueprint: The IBM Partnership Validation The New Model: Our Path to High-Margin, Scalable Growth
Slide 3: Navigating the "Transition Period"
Navigating the ”Transition Period" The Old The New System Tailwind (AI - (Legacy Native) Services) The "new world" we Our H1 results reflect our investment in crossing this The "old world" of are built for. Fast, channel. We are successfully navigating into the new translation. Predictable, scalable
Slide 4: H1 Results in Context
H1 Results in Context $ 0.5m A Planned Transition Our H1 FY26 performance reflects the next stage of this pivot: • Deliberately focused transitioning customers from legacy to Adjusted EBITDA AI platform, although the revenue may be lower $ 8.7m • R&D investment focused on our Tiri & Verify AI platfo
Slide 5: Our R&D: The "Small Language Model (SLM) Factory"
Our R&D : The ”Small Language Model (SLM) Factory" General LLMs (The Specialised Small Our Moat (Tiri Hype) Language Models Platform) (Our Focus) Good for general tasks, but Our Tiri platform is an "SLM Factory" to What enterprises *actually* need. expensive, slow, and a commodity. A build, train, a
Slide 6: Market Validation: SLMs are the Future
Market Validation: SLMs are the Future " Large Language Models Get All the Hype, but Small Models Do the Real Work. " — The Wall Street Journal, October 31, 2025 The market is confirming our strategy. Enterprises need specialised, efficient, and secure AI agents, not just giant "jack-of-all-trades"
Slide 7: Foundation Success: $28m+ IBM AI+ Partnership
Foundation Success: $28m+ IBM AI+ Partnership Together Today with IBM This isn't just a win—it’s confirmation of our strategy and technology. It's the first product from our SLM Factory. IBM have the notion of AI plus, so AI first then what you add on top - this is exactly the focus at Straker. From
Slide 8: Key App Update
Key App Update VERIFY SWIFTBRIDGE Integrated features like terminology focused on more December event week with IBM at their Innovation enterprise customers Centre in Tokyo with expanded product features 6 customers looking at customer models and Verify Progressed toward commercialisation during the
Slide 9: A Bright Future
A Bright Future Technology Validated: Small Language Model "factory" (Tiri) proven at the highest enterprise level (IBM watsonx) Business Model Validated: $28m+, 3-year revenue foundation Distribution Validated: Embedded in a global AI hyperscaler’s ecosystem, creating a path for low-cost, scalable
Slide 10: Answering the Hard Questions
Answering the Hard Questions What are our future margins? What is the transition timeline? We are moving from a services margin to a software (SaaS) The 3-year, $28M IBM deal is our transition timeline. margin. H1 FY26 was the start of the pivot with IBM signed. We The old model scales with headcoun
Slide 11: Our Path Forward: Replicating the Blueprint
Our Path Forward: Replicating the Blueprint Phase 2 (Now) Execute & Deliver: Flawless execution of the IBM SLM and AI App co-development. Phase 1 (2025) Phase 3 (2026+) Build foundation- people, technology and Scale the "SLM Factory": Build new, high- early products value SLM agents for other key ve
Slide 12: Why Straker, Why Now?
Why Straker, Why Now? Strategic Pivot: FY26 investing in a planned, high value transition. Validated Investment on SLMs & AI apps: R&D validated by market (WSJ*) and customers (IBM). AI Blueprint Live: $28m+, 3-year, high-margin AI blueprint *wall street Journal https://www.wsj.com/tech/ai/large-lan
Slide 13: Financial Results
Financial Results DAVID INGRAM Chief Financial Officer
Slide 14: Financial Performance
Financial Performance 2025 2024 Change Six months ended 30 September $'000 $'000 $'000 % Revenue 19,263 22,737 (3,474) -15% Cost of sale (6,465) (7,466) 1,001 13% Financial Performance (H1 FY26 vs H1 FY25) Gross profit 12,798 15,271 (2,473) -16% • Revenue −15% due to softer LS demand and TMS attriti
Slide 15: Revenue Bridge
Revenue Bridge $22.7m • Revenue down 15% YoY, primarily reflecting softer language-services demand. $0.2m $19.3m • Language Services –$3.0m, driven by lower volumes from Government clients and general ($3.0m) ($0.3m) market softness. ($0.4m) • TMS Subscription revenue –$0.3m, reflecting ongoing attr
Slide 16: Progress on key metrics
Progress on key metrics Movement in EBITDA margin %1 Gross Margin % 0.5% 7.3% 6.8% 0.3% -0.7% 66.4% 67.0% 63.8% -2.5% 2.2% 2.8% 57.0% 2.5% 54.3% -0.3% -3.8% FY22 FY23 FY24 FY25 FY26-H1 1. Chart might not add through due to rounding 23
Slide 17: Resilient balance sheet
Resilient balance sheet 2024 2025 Δ YOY • $8.7m cash balance; debt-free balance $'000 $'000 $'000 sheet maintained • Cash movement primarily reflects timing of Cash and cash 12,915 8,654 (4,261) customer receipts and deposit refunds equivalents • Working capital broadly stable and aligned with reven
Slide 18: Outlook
Outlook $38–$41 million revenue and positive Adjusted EBITDA.
Slide 19: Q&A
Q&A Grant Straker, CEO grant@straker.ai | www.straker.ai | ASX:STG
Slide 20: Disclosure statement
Disclosure statement This presentation contains general information about Straker Ltd. and its activities as of 24 November 2025. The information is provided in summary form and does not purport to be complete. It is not intended to be relied upon as advice to investors or potential investors and do