Raiz Posts 147% EBITDA Jump on 15% Revenue Growth in FY25

Strong Financial Performance Marks FY25

Raiz Invest Limited, the Australian fintech wealth platform, has delivered a compelling FY25 financial performance, underscoring its growing foothold in the micro-investing and wealth management sector. The company reported a 15% increase in revenue to $24.1 million and a remarkable 147% surge in underlying EBITDA to $2.8 million, signaling a clear inflection point in operating profitability.

Active customers rose by 7% to 329,277, while funds under management (FUM) climbed 9% to $1.8 billion. These metrics reflect both organic growth and successful customer retention strategies, supported by a 9% increase in average revenue per user (ARPU) to $75.67.

Innovation and AI Drive Customer Engagement

Raiz’s FY25 success is underpinned by a suite of innovative product launches and strategic use of artificial intelligence. The introduction of Raiz Lite, a plan tailored for first-time investors, and Raiz Jars, which helps customers set and manage financial goals, have broadened the platform’s appeal. Additionally, the company’s investment in AI-driven marketing has enhanced customer conversion and retention, with a 6% uplift in same-day conversion rates in Q4 FY25.

Raiz’s customer-centric approach is further evidenced by its high Net Promoter Score of 89% and a customer satisfaction score of 93%, positioning it as a leader in user experience within the fintech space.

Strategic Partnerships Bolster Growth Prospects

Strategic alliances have played a pivotal role in Raiz’s growth trajectory. The partnership with State Street Investment Management, the world’s fourth-largest asset manager, is particularly noteworthy. This collaboration aims to leverage State Street’s institutional network and expertise to expand Raiz’s product offerings, including new ETFs and superannuation portfolios, while enriching customer education through a world-class knowledge hub.

Raiz also benefits from a diversified distribution ecosystem and maintains a leading app store rating among its peers, factors that contribute to sustained market penetration and brand strength.

Outlook, Confident Guidance for FY26

Looking ahead, Raiz projects positive underlying EBITDA in the range of $4.5 million to $5.5 million for FY26, assuming stable market conditions. This guidance reflects expectations of continued growth in active customers, FUM, and net inflows, supported by ongoing product innovation and AI-enhanced marketing strategies.

With a strong balance sheet boasting $13 million in cash and no debt, Raiz is well-positioned to capitalize on emerging opportunities, including potential mergers and acquisitions, while navigating the evolving competitive landscape.