Cluey’s EBITDA Improves 15% as Cash Flow Narrows Loss to $0.4M

Cluey's Financial Momentum Builds

Cluey Ltd (ASX – CLU), an education technology company focused on personalised online tutoring and co-curricular programs, has delivered its strongest quarterly underlying EBITDA result to date, reporting a loss of just $0.4 million for the September 2025 quarter. This marks a 15% improvement compared to the prior corresponding period, signaling steady progress towards profitability.

Operating cash flow also improved by 20%, narrowing the cash burn to $0.4 million. Cash receipts remained robust at $8.1 million, a slight 1% increase year-on-year, while cash payments rose marginally but remained controlled. The company ended the quarter with $4.1 million in cash and term deposits, providing a solid liquidity buffer as it pursues growth.

Strategic Shift Toward AI-Driven Innovation

Joint CEO Matteo Trinca highlighted the company’s strategic pivot, emphasizing a significant allocation of resources toward product development, particularly AI-powered features planned for launch in 2026. This investment aims to position Cluey at the forefront of AI-driven transformation within the Edtech sector, enhancing its competitive edge and expanding its service offerings.

Cluey’s product suite includes personalised tutoring for Australian and New Zealand students and after-school and holiday programs through its Code Camp subsidiary, which also operates in the United Kingdom. The company’s focus on optimising customer acquisition costs, which stood at $158 per new student in the quarter, complements its technology investments to drive sustainable revenue growth.

Operational Highlights and Market Position

Despite a slight dip in cash receipts from the previous quarter, Cluey’s year-on-year revenue growth is stabilizing, reflecting the effectiveness of its marketing and cost management strategies. Cash payments for advertising decreased by 15% compared to the prior year, underscoring disciplined spending amid increased investment in product innovation.

The company continues to invest in staff and tutors, with payments rising slightly to support service delivery. Meanwhile, payments to directors and related parties totaled $92,000 for the quarter, consistent with executive remuneration and governance norms.

Cluey’s management remains confident that the combination of improved financial metrics and a forward-looking product roadmap centered on AI will drive the company closer to profitability and market leadership in the coming years.