Key Highlights

  • Operating revenue declined 1.5% to $386.5 million, reflecting lower licence fees, revenue mix changes and foreign exchange headwinds.
  • Support & Maintenance revenue increased 13.4% to $230.3 million, while underlying EBITDA rose 7.2% to $119.6 million.
  • Operating cash flow increased 52% to $110.4 million, while underlying NPAT rose 22.5% to $48.5 million.
  • FY27 is expected to be an Investment and transition year, with revenue broadly stable and Underlying EBITDA Margin expected to exceed 26%.

Hansen Technologies (ASX:HSN) shares are down more than 32% over the past month, despite trading up 3.30% today at AUD 3.44, after the software provider flagged a softer FY27 amid mixed FY26 results.

What's Behind the Decline

FY26 Operating Revenue fell 1.5% to $386.5 million on lower licence fees, revenue mix and FX headwinds. However, recurring Support & Maintenance revenue rose 13.4% to $230.3 million, and Underlying EBITDA increased 7.2% to $119.6 million, with margin expanding to 31.0%.

Energy & Utilities revenue fell 8.5% to $202.3 million, with Germany underperforming on a slower smart-meter rollout. Communications & Media revenue rose 7.5% to $184.2 million, aided by the Digitalk acquisition.

Profit and Cash Flow Rose

Underlying NPAT increased 22.5% to $48.5 million, and Operating Cash Flow rose 52% to $110.4 million. Hansen repaid $63.5 million of borrowings and expects to reach net cash in Q2 FY27.

Is HSN Worth Watching?

Hansen expects FY27 revenue to be broadly stable as it transitions toward consumption-based revenue, with EBITDA margin guided to exceed 26% — below FY26's 31.0% — before a targeted return above 30% in FY28. A final Dividend of 5.0 cents per share (4.0 cents franked) was declared.