EROAD Limited (ERD) Q2 2026 Earnings Call

Investor webinar replay

Watch the replay and follow the connected company analysis, news, and investor updates for Eroad Limited.

Watch the replay

Replay transcript excerpt

WEBVTT 00:00:00.031 -- 00:00:01.853 Apologies for those who are joining us now. 00:00:01.853 -- 00:00:04.797 We'll just kick off, so I've been a bit late. 00:00:04.797 -- 00:00:09.543 And good afternoon, everyone, and thank you for joining us today for FY26 annual half 00:00:09.543 -- 00:00:13.228 year results. I'm Mark Varner, CEO of Aeroad. 00:00:13.228 -- 00:00:17.593 I'm delighted to be introducing Keir McGuigan, Aeroad's new CFO who commenced at Aeroad 00:00:17.593 -- 00:00:19.215 in September. 00:00:19.215 -- 00:00:21.839 I'll start by outlining our performance for the half. 00:00:21.839 -- 00:00:24.302 Then Keir will take you through the financials. 00:00:24.302 -- 00:00:28.600 We'll then finish with outlook and guidance before opening up for questions. 00:00:28.600 -- 00:00:33.867 Turning to the key numbers for the half, free cash remains a real strength for ERO, 00:00:33.867 -- 00:00:39.154 coming at $6.2 million. We've delivered consistent cash generation over 00:00:39.154 -- 00:00:44.502 multiple periods based on operational discipline that's been built into the business. 00:00:44.502 -- 00:00:49.569 Reported revenue was just over $99 million, with 3.3% of the steady 00:00:49.569 -- 00:00:55.313 performance across the installed base and contributions from ongoing rollouts. 00:00:55.313 -- 00:01:01.060 Annualised recurring revenue increased to over $178 million, up 6.9% 00:01:01.060 -- 00:01:03.923 or 3% in constant currency. 00:01:03.923 -- 00:01:09.450 Growth continues to come from higher value subscriptions and enterprise expansion. 00:01:09.450 -- 00:01:14.837 Normalised EBIT was $2.5 million, lower than the prior period due to some higher costs 00:01:14.837 -- 00:01:17.941 and lower R&D capitalisation. 00:01:17.941 -- 00:01:23.124 Keira will step throu...