Key Highlights

  • Total Revenue increased 21.4% to $29.2 million, with Active Customers up 6.7% to 351,362 and ARPU up 13.5% to $85.87.
  • Funds Under Management increased 27.5% to $2.32 billion, driven by net inflows of $219 million and positive market movements.
  • Underlying EBITDA increased 92.8% to $5.5 million, with Margin expanding 6.9 percentage points to 18.7%.
  • Statutory Net Profit After Tax was $3.5 million, including non-recurring expenses of $1.3 million and a tax benefit of $3.2 million.

Raiz Invest Limited (ASX:RZI) share price was trading at $0.66, up 7.32% or $0.045 on the day, as at 27 August 2026, 12:11pm AEST, as the company reported its financial results for the year ended 30 June 2026 (FY26). Operating Revenue increased 21.4% to $29.2 million from $24.1 million in FY25, driven by a 6.7% increase in Active Customers to 351,362 from 329,277, and a 13.5% increase in Average Revenue Per User to $85.87 from $75.67. The company said ARPU growth reflects the focus on growing higher-revenue products and the August 2025 fee increase, which accompanied the launch of several new products and features.

Funds Under Management increased 27.5% to $2.32 billion from $1.82 billion, driven by net inflows of $219 million, up from $210 million in FY25, and positive market movements. Super FUM increased 27.9% to $496 million, Raiz Plus FUM was up 42.9% to $424 million, and Kids FUM increased 54.4% to $123 million.

Underlying EBITDA Nearly Doubles

Underlying EBITDA increased 92.8% to $5.5 million from $2.8 million in FY25, with Underlying EBITDA margin expanding to 18.7% from 11.8%, which the company said demonstrates the Operating Leverage of its Business model. Underlying operating expenses increased 11.9% to $23.8 million, reflecting new hires in the senior management team, increased headcount across product development, technology, compliance and data functions, and investments in customer engagement capability.

Raiz incurred non-recurring expenses of $1.3 million relating to corporate advisory Options issued and CEO transition costs. Net Profit After Tax was $3.5 million, compared with a $0.4 million loss in FY25, including a tax benefit of $3.2 million due to the recognition of a deferred tax asset in respect of prior year tax, as previously reported in the 1HFY26 results.

Cash Flow and Balance Sheet Position

Positive operating cash flows increased 30% to $5.1 million from $4.0 million in FY25, supporting positive free cash flows of $2.7 million, with the cash balance at balance date increasing to $15.4 million from $13 million. The company said this reflects the meaningful growth of the underlying business and the securing of sustainable revenue.

Customer engagement metrics improved across the platform during the year, with Raiz Kids Portfolios increasing 26.2%, Plus Portfolios increasing 19.5% and Super Customers up 13.1%. Customer average balances grew 19.5% to $6,609, which the company attributed to increasing utilisation of recurring deposits that remain relatively steady throughout the market cycle.

New Products and Recognition

In the first quarter of FY26, Raiz launched a new product range and platform enhancements, including Raiz Lite, a low-cost entry plan for first-time investors, and Raiz Academy, a new online education platform designed to boost financial literacy and consumer confidence. The company's product development pipeline is focused on US-listed equities and ETFs, with direct ASX trading scheduled for delivery in FY27.

Raiz's products have been recognised by WeMoney, including awards for Best for Round-Up Investing and Best for Kids Investing, as well as two WeMoney Superannuation Awards for Digital Innovation of the Year and Excellent Rates & Fees.

Transformation Program Under New Leadership

Raiz's strategic objectives remain unchanged under new leadership, including strengthening Leadership and team capacity, building strategic partnerships, delivering leading customer experiences, developing innovative products, optimising Capital use, and strengthening operational resilience. The company is now focused on accelerating execution of these objectives through a targeted Transformation Program, built around customer Acquisition and lifetime value, Brand evolution, AI-enabled customer engagement, and broader Wealth platform enablement.

CEO Craig Keary said the company enters FY27 with a solid foundation of Active Customers, Funds Under Management, a strong balance sheet, market-leading products and a trusted consumer brand. He said the company will invest in people and systems through the Transformation Program over the next 18 months to sustainably scale the business, while continuing to explore selective M&A opportunities that accelerate distribution or enhance the product suite.

Conclusion

Raiz Invest's FY26 results reflect broad-based growth across revenue, customer numbers, Funds Under Management and underlying earnings, with the near-doubling of Underlying EBITDA pointing to improving operating leverage as the business scales. With a new CEO now leading a targeted Transformation Program focused on customer acquisition, brand positioning, AI-enabled engagement and broader wealth platform capability, the company's trajectory into FY27 will be shaped by the pace at which these initiatives translate into sustained Earnings growth, alongside the planned FY27 launch of direct ASX trading.