Felix Group Holdings Ltd (ASX:FLX) Achieves Positive Cashflow
Positive Cashflow Achievement
Felix Group Holdings Ltd (ASX:FLX) reported a second consecutive quarter of positive operating cash flow for Q2 FY25, with an inflow of $148,000. This marks a significant improvement from a cash outflow of $675,000 in Q2 FY24. The company credits effective cost management and a commitment to sustainable growth for this achievement.
Customer Growth and Expansion
During the quarter, Felix signed seven new customers, including three in the mining and resources sector. The company also secured five contract expansions, leading to an additional $487,000 in new Contractor Annual Recurring Revenue (ARR). Notable wins include a comprehensive contract with Karara Mining, covering all operational areas.
Financial Performance Metrics
Felix’s Contractor ARR rose to $6.4 million, reflecting a 29% increase year-on-year, while Group ARR reached $8.3 million, up 22% from the previous year. The Vendor Marketplace also grew, with over 115,000 vendors now connected, representing a 27% increase from the prior year.
Future Outlook
Felix remains committed to capitalising on growth in the mining and resources sector while maintaining positive operating cash flows. The company is also looking to continue expanding its Vendor Marketplace and enhancing platform functionality, which supports its medium-term strategic goals.
Motley Fool contributor Abbie Stokes has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
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