Iress rewarded by focusing on core

Financial planning software provider, Iress has reaped the benefits of pursuing a transformation program which saw it exit non-core businesses, reporting a significant turnaround in full-year net profit after tax (NPAT).

After exiting its platform, mortgages and Pulse businesses last year and securing the sale of its superannuation business, Iress moved from a $137.5 million loss last financial year to an $88.7 million profit.

More importantly for the company, it reported a 25.2% improvement in adjusted EBITDA to $132.8 million.

Commenting on the result, Iress chief executive, Marcus Price described 2024 as being an outstanding year for the company with the successful execution of its transformation program.

“We delivered earnings that exceeded our guidance range, through a strong focus on capital allocation, operating leverage and financial discipline, while enhancing margins across all business units and driving improved customer sentiment,” he said.

“Although our formal transformation program is now complete, we remain committed to delivering further operating leverage while we develop new growth vectors in our core markets”

He described Iress as now being a simpler, leaner organisation with a more efficient cost base and stronger balance sheet that provides both capacity and flexibility.

“Having made the clear strategic choice to focus on our strong key businesses, we are well positioned to capture the significant opportunities present in global wealth management, powered by data & AI, while continuing to provide critical trading & market data infrastructure to the industry.”