OFX Reports $214.9M Revenue and $57.7M EBITDA in FY25 Despite Headwinds

Financial Performance Amid Uncertainty

OFX Limited closed FY25 with a revenue tally of $214.9 million, reflecting a modest 5.5% decline compared to the prior corresponding period. Underlying EBITDA fell by 10.7% to $57.7 million, impacted by subdued business confidence and cautious trading activity across key regions including APAC, North America, and EMEA. Despite these headwinds, the company maintained healthy margins and demonstrated strong operational discipline, with operating expenses reduced by 3.5% and bad debts slashed by 42.7% following enhanced risk controls.

Cash generation remained a highlight, with net cash held rising to $77.2 million after repaying $24 million in debt. This robust cash flow underscores OFX’s resilient business model and prudent capital management, enabling continued investment in growth initiatives.

New Client Platform Driving Innovation and Adoption

Central to OFX’s strategy is the rollout of its New Client Platform (NCP), which achieved major market launches during FY25, including Canada and Australia. The platform integrates advanced features such as AI-driven receipt data entry, streamlined FX interfaces, and enhanced accounting integrations with partners like Xero. Client adoption metrics are encouraging, with over 2,500 active NCP clients and high uptake of multi-product offerings including global currency accounts, FX services, and budgeting tools.

This digital transformation is designed to accelerate client acquisition and deepen engagement, particularly among corporate clients where average revenue per client is growing. The platform’s scalability and enhanced fraud controls position OFX well to capture a larger share of the cross-border payments market.

Strategic Expansion into a $384 Billion Market

OFX outlined an ambitious 2.0 strategy targeting a total addressable market of US$384 billion, significantly expanding beyond traditional FX services to include multi-currency accounts, spend management, accounts payable automation, and treasury services. This broader product suite aims to solve more complex client pain points, particularly for SMEs and corporate clients operating internationally.

Market research commissioned by OFX indicates strong willingness among SMEs to switch providers if offered integrated solutions covering payments, spend control, and risk management. OFX’s strategy leverages this opportunity to accelerate growth and improve returns through higher-margin non-FX products and deeper client relationships.

Outlook and Investment Focus

Looking ahead, OFX is adopting a cautious stance on FY26 guidance due to ongoing economic uncertainty. The company plans to increase investment in operating expenses and intangible assets to support accelerated growth and platform development, with an expected $24 million rise in opex and $5 million in capital expenditure. While no operating leverage is targeted in the near term, the focus remains on building a more valuable and scalable business for the long term.

OFX’s disciplined capital management will continue, with share buy-backs completed in FY25 and future programs under review. The company’s ability to navigate uncertain markets while investing in innovation will be critical to sustaining momentum and capturing market share from traditional banks.