Highlights

  • Client cash receipts reached A$1.80 million in the Sep-2026 quarter, an 84% rise on the prior corresponding period.
  • Headcount fell from 80 to 58 as management pursues a 20% reduction in quarterly operating expenses.
  • The company paid the £880,000 second RBC Acquisition Tranche on 1 October 2026 using bank Debt and cash.
  • Rob Edgley became Non-Executive Chairman on 29 October 2026, succeeding long-serving chair and seed investor Adoram Ga'ash.

Way 2 VAT Ltd (ASX:W2V), which trades as Way2VAT, has paired stronger cash collection with a deeper cost reset. In its September quarter update released on 30 October 2026, the automated VAT reclaim specialist reported client cash receipts of A$1.80 million for the three months to 30 September, up 84% on the A$977,000 collected a year earlier, while quarterly Revenue held at A$1.90 million against A$1.89 million a year before.

Cash Collection Improves as Costs Come Down

Net cash used in Operating Activities was A$1.05 million, with staff costs of A$1.69 million the largest outflow. Quarterly operating expenses totalled A$2.94 million, against a 12-month average of about A$2.8 million.

Management has cut headcount from 80 to 58 and has achieved a 15% reduction in operating expenses against its 20% target. One-off redundancy and restructuring costs are expected to offset part of the saving in the December quarter, with quarterly operating expenses forecast at about A$2.2 million by the March 2027 quarter.

Placement and Bank Debt Fund the RBC Payment

On 9 September 2026, Way2VAT secured commitments for an A$2.109 million Placement at A$0.05 per share. It also received a £400,000 secured bridge Loan from Bank Hapoalim on 24 September, then paid £880,000 to the RBC vendors on 1 October.

Cash stood at A$3.05 million at 30 September, equal to an estimated 2.90 quarters of funding, before the RBC payment. Loans drawn totalled A$5.20 million, and an A$703,000 unsecured bridge loan has been extended to 28 February 2027. Up to two million broker Options exercisable at A$0.075 await Shareholder approval at a meeting on 27 November 2026.

Board Renewal Arrives Alongside New Enterprise Wins

Rob Edgley, a director since the September 2021 IPO, became Non-Executive Chairman on 29 October 2026. Adoram Ga'ash, involved for about 10 years as seed investor and then chairman, left the board but is expected to consult, on terms still to be agreed, on partner and investor introductions in Europe and the US.

Enterprise clients rose to 539 from 533. The largest new contract is a three-year VAT reclaim agreement with a US-based global data company, covering up to four years of unclaimed VAT, with revenue expected before the end of 2026.

Outlook Rests on Converting Way2Invoice Interest

Way2Invoice, launched in September 2026, combines the APAI invoice compliance tool with e-invoicing across 20 countries and is billed per invoice processed. Several clients are evaluating it, and a sales team in Spain is initially targeting Spain, the UK, Ireland, Benelux and Scandinavia.

Chief Executive Amos Simantov said the December quarter was shaping up as an important one, with the focus on converting interest in Way2Invoice and APAI into contracts and recurring revenue. Shares were priced at A$0.03 on 2 November 2026, up 3.45% on the day, giving a Market Capitalisation of A$9.1 million.