Bravura Solutions Posts Strong FY25 Growth and Special Dividend – What’s Next?
Bravura Solutions posted solid FY25 financial results with revenue growth, improved profitability, and a special dividend following a key licence sale. The company signals steady performance ahead despite ongoing CEO transition.
- Underlying revenue rose 3.1% to $256.8 million
- Underlying EBITDA surged to $50.5 million, up $24.7 million year-over-year
- Net profit after tax increased by $15.6 million to $24.4 million
- Declared final dividend of 2.92 cents and special dividend of 1.79 cents per share
- CEO search ongoing with appointment expected by AGM
Solid Financial Performance Amid Leadership Transition
Bravura Solutions Limited (ASX, BVS) has reported a robust set of full-year results for FY25, demonstrating steady growth in revenue and profitability. The company’s underlying revenue from customers reached $256.8 million, marking a 3.1% increase compared to the previous year, although growth on a constant currency basis was more modest at 0.7%. This revenue strength was supported by recurring revenue of $154.3 million, underscoring Bravura’s focus on stable, subscription-like income streams.
Underlying EBITDA climbed significantly to $50.5 million, a $24.7 million improvement over FY24, while underlying net profit after tax rose by $15.6 million to $24.4 million. The company ended the year with a strong balance sheet, holding $58.7 million in cash and carrying no debt, positioning it well for future investments or strategic initiatives.
Operational Highlights and Technology Impact
Bravura’s approximately 1,000-strong team delivered meaningful operational milestones during FY25. Notably, its Midwinter Digital Advice solutions now serve over 6 million members, reflecting growing adoption of its digital wealth management tools. The Sonata Alta platform processed tens of millions of transactions with over 99% straight-through processing, highlighting the efficiency gains from automation. Additionally, the Orchestrator workflow automation tool achieved a 60% efficiency improvement for a major global custodian, showcasing Bravura’s ability to enhance client operations through technology.
The company also advanced its product development in the UK, focusing on workplace pensions, employer engagement, and annuity functionality, signaling a strategic push into key international markets.
Dividend and CEO Search Update
Bravura declared a final dividend of 2.92 cents per share alongside a special dividend of 1.79 cents per share, the latter stemming from the net profit after tax related to the perpetual licence sale to Fidelity International. Both dividends will be unfranked, and the company has suspended its Dividend Reinvestment Plan for now. The record date is set for 20 August 2025, with payments scheduled for 3 September 2025.
Meanwhile, the search for a new CEO is underway, with an appointment expected to be announced by the upcoming Annual General Meeting. This leadership transition will be closely watched by investors as Bravura navigates its next phase of growth.
Outlook for FY26
Looking ahead, Bravura expects underlying revenues to remain in line with FY25 levels, while underlying cash EBITDA is forecast to exceed $50 million. This guidance suggests confidence in maintaining profitability despite a competitive and evolving technology landscape in financial services.
Bottom Line?
Bravura’s FY25 results set a solid foundation, but the market will watch closely as new leadership takes the helm and FY26 unfolds.
Questions in the middle?
- Who will be appointed as Bravura’s new CEO, and what strategic direction will they pursue?
- How will the company sustain growth amid modest constant currency revenue increases?
- What impact will the suspension of the Dividend Reinvestment Plan have on shareholder engagement?
