Cogstate’s Upgraded FY25 Outlook Highlights Risks Amid Strong Growth
Cogstate Ltd has upgraded its FY25 financial guidance, projecting a 20-24% revenue increase and nearly doubling profit before tax compared to last year.
- FY25 revenue guidance raised to $52–54 million, up 20-24%
- Profit before tax forecast increased to $12–14 million, up 69-97%
- Second half revenue expected to outperform first half
- Strong operational execution driving improved outlook
- Audited full year results due 22 August 2025
Cogstate’s Upgraded Guidance Signals Robust Growth
Cogstate Ltd (ASX, CGS), a leader in neuroscience technology, has announced an upgrade to its financial guidance for the fiscal year ending June 2025. The company now expects full year revenue to reach between $52 million and $54 million, marking a significant 20 to 24 percent increase over the previous year’s $43.4 million. This revision reflects strong momentum and operational execution across its business segments.
Profitability Set to Nearly Double
Alongside revenue growth, Cogstate forecasts profit before tax for FY25 to be between $12 million and $14 million. This represents a remarkable 69 to 97 percent increase compared to the $7.1 million recorded in FY24. The company anticipates the second half of FY25 to be particularly strong, with revenue expected between $28.1 million and $30.1 million, surpassing the first half’s $23.9 million, and profit before tax projected between $6.8 million and $8.8 million.
Drivers Behind the Upgrade
Cogstate’s growth is underpinned by its advanced cognitive testing technologies and electronic clinical outcome assessment solutions, which are increasingly adopted in clinical trials and healthcare settings. The company’s partnerships, including the notable Cogstate-Medidata collaboration, are expanding its footprint in central nervous system research and Alzheimer’s drug development. These strategic initiatives are likely contributing to the improved financial outlook.
Looking Ahead
Investors will be keenly awaiting the release of Cogstate’s audited FY25 results on 22 August 2025, which will provide a comprehensive view of the company’s performance. Upcoming webinars and shareholder events scheduled through the year will also offer deeper insights into Cogstate’s innovation pipeline and market strategy.
While the upgraded guidance is encouraging, the company cautions that future performance depends on factors such as contract signings and clinical trial enrolments, which remain subject to external uncertainties.
Bottom Line?
Cogstate’s upgraded guidance sets a high bar for FY25, with market eyes now on the August results to confirm sustained growth.
Questions in the middle?
- How will Cogstate sustain momentum beyond FY25 amid competitive pressures?
- What impact will the Cogstate-Medidata partnership have on future revenue streams?
- How sensitive is Cogstate’s outlook to changes in clinical trial enrolment rates?
