Frontier Digital Ventures (FDV) H2 2025 earnings summary

Executive summary

• Statutory revenue for FY2025 was A$54.8m, down 18% year-over-year due to the termination of non-core, low-margin, loss-making revenue lines and businesses.

• Statutory EBITDA rose 205% to A$5.5m, with EBITDA including associates up 190% to A$9.1m, reflecting significant cost reductions and operational rationalisation.

• Group operating expenses fell 24% to A$49.4m, driven by workforce reductions and cost control, especially in LATAM.

• Net loss after tax from continuing operations was A$18.1m, impacted by impairment of goodwill, misappropriation of funds, and discontinued operations.

Financial highlights

• Cash balance at 31 December 2025 was A$9.2m.

• LATAM revenue dropped 25% to A$39.4m, Morocco revenue grew 13% to A$10.3m, and Asia revenue was flat at A$5.1m.

• Group EBITDA margin improved to 10% from 3% in FY2024.

• Associates (Zameen & PakWheels) contributed A$3.6m in EBITDA, up 169% year-over-year.

Outlook and guidance

• 1Q 2026 statutory EBITDA forecasted to exceed A$1.5m, up over 80% year-over-year, with an expected EBITDA margin of ~15%.

• Group expects to be cash flow positive in 1Q 2026.

• Management targets EBITDA margin expansion to over 40% and significant take rate growth from current levels below 1%.