Complii FinTech Solutions Q2 FY24 report

Complii FinTech Solutions Ltd (ASX: $CF1) has released its Quarterly Activities Report and Appendix 4C for the period ending 31 December 2023, showcasing a strong performance in Q2 FY24. The company reported a cash at bank of $3.484m as at 31 December 2023, received R&D rebate for FY23 activities of $1.340m, and achieved a 20% increase in receipts from customers compared to the previous quarter. Complii also highlighted a 12% year-on-year growth in Annual Recurring Revenue (ARR) and emphasized its focus on revenue growth, cost reduction, and integration of acquired businesses.

Executive commentary on Q2 FY24 performance

We are pleased to report on the Group's Q2FY24 activities. We continue to build a unique ecosystem delivering incremental ARR growth and strong cash flow, supported by solid cash at bank. Having invested to build a unique ecosystem, we will continue to drive organic growth through new products, cross-selling, and partnerships such as the agreement with Praemium, increasing our share of our addressable market. Our Group's cross-selling capabilities continue to provide an expected upside for organic growth within our Group. We are also focused on further improving efficiency in our operations, particularly our cost structure and our commercial capabilities, aiming to improve profitability. With many new or improved products, a strong roadmap, and a strong pipeline, I am confident we have started to turn the corner and will see our results improve further in Q3 FY24. Complii is well positioned to give our shareholders a strong trajectory into the rest of FY24 and beyond.

Q2 FY24 performance summary and outlook

Complii FinTech Solutions reported a net outflow of ($536k) of cash from operations for the quarter, showing a 68% improvement compared to Q1 FY24. The company maintained a strong cash position with total funds of $3.484m, no debt, and no new equity placements since December 2020. Additionally, Complii achieved a 12% year-on-year growth in Annual Recurring Revenue (ARR) and emphasized its focus on client acquisition, cross-selling, cost reduction, and broader operational efficiency. Looking ahead, the company aims to continue investing in building a differentiated, end-to-end ecosystem and go-to-market capabilities, positioning itself for more cross-selling opportunities and accelerating organic growth to reach profitability.