Wrkr Posts $616k Operating Cash Flow, Boosts Cash to $18.75M
Wrkr Ltd has reported a strong start to FY26 with its third consecutive quarter of positive operating cash flow and a successful $15 million capital raise, positioning the fintech for accelerated growth ahead of major client launches.
- Third consecutive quarter of positive operating cash flow at $616k
- Completed $15 million capital raise in August 2025
- Cash balance of $18.75 million supports strategic investments
- Increased operating expenses reflect growth and compliance focus
- Major client onboardings including REST Super and AustralianSuper on track
Strong Financial Momentum
Wrkr Ltd (ASX, WKR) has kicked off FY26 with a notable financial performance, delivering its third consecutive quarter of positive operating cash flow, amounting to $616,000 for Q1. This marks a significant turnaround compared to a negative cash flow of $57,000 in the same quarter last year, underscoring the company’s operational discipline and growing market traction.
The quarter’s cash receipts of approximately $4 million were driven by a combination of milestone achievements under agreements with MUFG-administered funds, collection of overdue invoices, annual license renewals from Wrkr’s largest Platform-as-a-Service customer, and steady recurring revenues from its Wrkr PAY transactional platform.
Capital Raise Fuels Growth Ambitions
In August 2025, Wrkr successfully completed a $15 million capital raise, bolstering its cash reserves to $18.75 million by the end of September. This strong liquidity position enables the company to continue investing strategically in platform scalability, compliance enhancements, and new product development.
During the quarter, Wrkr increased operating expenses to $3.4 million, up from $2.8 million in Q4 FY25. This rise reflects deliberate investments in security, compliance, and resourcing to support the onboarding of major clients such as REST Super and AustralianSuper, both expected to go live in the coming quarters.
Strategic Initiatives and Market Expansion
Wrkr’s activity report highlights several key initiatives underpinning its growth strategy. The company is advancing its API integrations with major enterprise resource planning systems like WorkDay and SAP, aiming to enhance its value proposition to payroll providers and superannuation funds.
Additionally, Wrkr is preparing to launch a new small business clearing house solution to capture market share following the scheduled closure of the Australian Taxation Office’s Small Business Clearing House in July 2026. This move is complemented by a targeted marketing campaign to drive adoption among small businesses seeking compliant Payday Super solutions.
Outlook and Challenges Ahead
While the positive cash flow in Q1 is encouraging, Wrkr cautions that this may not be indicative of the full fiscal year. The company anticipates increased expenditure related to the go-live schedules for REST, AustralianSuper, and other strategic projects, which will likely result in a negative EBITDA for FY26.
Wrkr is also exploring potential bolt-on acquisitions to enhance its compliance capabilities, though it remains committed to accelerating internal development if suitable deals do not materialize. The company’s leadership, including CEO Trent Lund and CFO Karen Gilmour, will provide further insights at the upcoming AGM.
Bottom Line?
Wrkr’s strong cash position and strategic investments set the stage for growth, but rising costs and execution risks warrant close investor attention.
Questions in the middle?
- How will Wrkr manage the anticipated negative EBITDA while scaling client onboarding?
- What is the timeline and likelihood of the potential bolt-on acquisition materializing?
- How effectively will Wrkr capture market share following the ATO Small Business Clearing House closure?
