Kelly+Partners Group Holdings Ltd (ASX:KPG) Reports 1H25 Revenue Growth of 22.8%
Financial Performance
Kelly+Partners Group Holdings Limited reported a 22.8% increase in revenue for the first half of 2025, reaching $64.9 million compared to $52.9 million in 1H24. Underlying attributed NPATA rose by 12.0% to $4.9 million. The group’s underlying EBITDA before AASB16 increased by 12.5% to $17.4 million, while cash flow from operations grew by 26.7% to $14.5 million.
Operational Achievements
KPG expanded its global footprint, now operating in Australia, Hong Kong, India, and the USA, with a total of 35 offices. The global team has grown to 594 members, including 104 partners. In August 2024, KPG formed a partnership with a CPA firm in Florida, contributing AUD$10.8m to AUD$12.5m in revenue. The company completed four acquisitions in 1H25, adding an estimated $14.4m to $17.1m in annual revenues. Additionally, KPG launched its inaugural undergraduate program and hosted its first international partners’ retreat.
Future Outlook
KPG secured $22 million in growth funding from Westpac in June 2024 and plans to roll out a new digital client app to enhance engagement and service accessibility. The company aims to continue its international expansion, particularly in the US and UK markets, and invest in its structure, people, brand, and digital infrastructure to support long-term growth.
Executive Comments
Founder & CEO Brett Kelly stated, “We continue to invest in order to deliver world class people, client and community impact. Our clients over the next 25 years are all going to have to earn a return on a global basis and will need their accountants to help them operate in this new global world.
To that end, we have been able to grow our Australian business to $100m+ revenue (No. 19 largest accounting firm in Australia [AFR]) and we look to expand our international presence to the US and the UK, where we see significant opportunities exist (Australia’s two largest expat communities). As such, we have invested heavily in our structure, our people, our brand and our digital infrastructure to facilitate this growth.
This market position as ‘Australia’s global accounting firm for Private Business Owners’ will take effort to build out in the short term, investment in the medium term, and ultimately be a valuable differentiated market position over the long term that is inspiring to the talent we seek to attract, develop and have help us build the accounting firm of the future.
KPG aspires to continue to build its market leading programmatic acquisition business system in the accounting sector. Since 2006 using our proprietary Partner-Owner-Driver® model we have completed 80+ partnerships in total. Today we operate 30+ leading partnerships across 4 markets, Australia, Hong Kong, India and USA, notably:
1. Anyone can buy a business but you have to have the skill and perseverance to successfully integrate and transform that business;
2. KPG continues to work diligently to become the buyer of choice to Founders of leading accounting firms that seek a permanent partnership rather than a transaction with a party that seeks to buy them only to later sell them.”
Motley Fool contributor Lianne Eastty has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Kelly Partners Group. The Motley Fool Australia has recommended Kelly Partners Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
This article was generated using GPT-4o mini, a Large Language Model (LLM), to generate summaries of investing news. While AI is generating the content, we know better than to blindly trust our future robot overlords, and every article is edited and fact-checked by an editor holding the appropriate credentials. The Motley Fool Australia stands behind the work of our editorial team and takes ultimate responsibility for the content of everything published by The Capital Club.