Key Highlights

  • EPX shares were trading at $0.145 during the 13 November 2026 session, down 9.38%.
  • Unaudited statutory Revenue rose 11.4% to $4.4 million in Q1 FY27, while annual Recurring Revenue reached $17.6 million.
  • Operating cash outflow narrowed to $0.3 million for the quarter, and quarterly customer receipts rose to $5.0 million.

During the Trading session on 13 November 2026, EPX Ltd (ASX:EPX) shares were trading at $0.145, down 9.38%, while the S&P/ASX 200 was down 0.73% at 9,079.70 at 12:39 pm AEDT. EPX provides a vendor-agnostic building performance platform that helps customers reduce energy use, operating costs and emissions. Its latest update was its quarterly operating update for the quarter ended 30 September 2026, released on 28 October 2026.

Revenue and recurring income

Unaudited statutory revenue for Q1 FY27 was $4.4 million, up 11.4% from $3.9 million in the prior corresponding period. Growth was driven by the new Great Western Railway agreement, the TAFE contract, now fully operational, and reactivation of Wattwatchers agreements. Recurring revenue made up more than 90% of total revenue. Annual recurring revenue was $17.6 million, while annual contract value was $19.3 million after excluding a terminated UAE contract worth about $0.3 million.

Cash flow and customers

Quarterly customer receipts increased to $5.0 million, up 12% on the H2 FY26 average quarterly run rate. Operating cash outflow was $0.3 million, a 53% improvement on the same run rate. Connected sites totalled 1,144 at 30 September 2026, with continued collections from the UAE despite disruption from the ongoing conflict in the region.

Partnership and pipeline

EPX signed a Partnership agreement with Tech Mahindra, which expands its technology offering and route to market in the United Kingdom and Europe. Near-term opportunities of about $1 million to $2 million are under active development, including potential expansion with a FirstGroup platform connection for London Overground stations and additional First Bus sites.

Sector context

Building performance and energy management software is sold to property owners, transport operators and public bodies that manage large asset portfolios. Contracts are often multi-year, and new sites are only billed once installed and connected, which means recurring revenue can lag contract wins. Companies in the sector are competing on data accuracy and rapid deployment.

Risks investors are watching

Annual contract value fell during the quarter because of the terminated UAE contract, and the company's cash balance of $1.1 million remains modest. EPX remains involved in proceedings before the UAE Labour Court about a final payment to its former founder, and that matter is unresolved. The company also has a $3.0 million secured Loan facility, of which $2.1 million was drawn at quarter end.

What to watch ahead

Investors will look for the installation of the remaining RAFED Healthcare and Brookfield sites in the second quarter, progress on the near-term pipeline and any outcome from the UAE Labour Court matter. The December quarter update will show whether cash outflows continue to narrow.

Final Word

EPX's first-quarter update shows higher revenue and receipts alongside a smaller operating outflow, with recurring income forming most of its revenue base. The next quarter will show whether new site activations lift billing as planned.