Highlights

  • ANZ signed a two-year KnowledgeIQ extension worth A$3.8 million, paid in advance, with an optional third year.
  • Operating cash flow swung to a A$2.2 million inflow in FY26, lifting cash to A$4.9 million at 30 June.
  • Sales Revenue eased 2% to A$9.7 million while the net loss after tax widened to A$2.5 million.
  • Libero 7, a next-generation public library product, is expected to be ready for commercial sale during FY27.

Library software is now the growth engine at Knosys Limited (ASX:KNO), which has begun a commercial push into the United States for its Libero platform following an FY26 in which it secured a prepaid banking contract and rebuilt its cash position.

The Melbourne-based SaaS provider is simultaneously winding down its GreenOrbit intranet business, concentrating on library management and knowledge management products that generate steady recurring revenue.

ANZ Renewal and a Stronger Cash Balance

In May 2026, ANZ Bank signed a two-year extension of its KnowledgeIQ enterprise knowledge management contract, with an option for a third year. The A$3.8 million contract is paid in advance, and Knosys will also help ANZ integrate an AI assistant into its knowledge management portal.

Operating cash flow turned from an outflow of A$1.2 million in FY25 to an inflow of A$2.2 million in the year to 30 June 2026. Cash rose to A$4.9 million from A$2.8 million a year earlier.

Earnings Under Pressure During the Transition

Sales revenue for FY26 slipped 2% to A$9.7 million, and annualised Recurring Revenue was broadly maintained at A$9.0 million, slightly lower because of the GreenOrbit transition. Operating expenses climbed 5% to A$12 million on higher contractor, consulting and SaaS hosting costs as well as one-off restructuring expenses. EBITDA was a loss of A$1.6 million, and the net loss after tax widened to A$2.5 million from A$1.5 million.

GreenOrbit customer attrition increased in the second half after Knosys decided to exit the intranet business. Management expects attrition to continue over the next 18 months, partly offset by commissions from a January 2026 agreement under which GreenOrbit customers are introduced to Oak Engage's platform. Following a November 2025 internal restructuring, the company says its cost base is structurally lower.

Libero Builds Its Customer Base

Libero serves about 100 library customers in Australia and Germany and is positioned as a mobile-first platform able to replace several existing public library systems. During FY26, Oberon Council, Fliedner University, Wuchopperen Health Service and Balranald Shire Council chose Libero 6 cloud, five existing customers added the Libero mobile app, and 60 customers renewed.

Development in the second half of FY26 shifted to localising Libero and its mobile app for the US market.

Outlook: US Launch and Libero 7

Knosys has not issued numerical guidance but describes a positive outlook for FY27, centred on the commercial launch of Libero in the United States. Activities that began in the first quarter of FY27 include a new US website, a US-based telemarketing team, the relocation of Australian resources and active tendering for US library contracts. Managing director John Thompson said the company is using proven AI tools to speed up product development.

Shareholders are scheduled to meet at the Annual General Meeting on 25 November 2026, with election of directors on the agenda.

Shares were unchanged at A$0.021 on 2 November 2026, giving a Market Capitalisation of about A$4.54 million, and were down 27.59% over 12 months.