WiseTech Global – 1H25 Financial Report Summary

WiseTech Global Website

Overall Report Tone

WiseTech Global delivered strong revenue and profit growth in 1H25, supported by increased customer adoption of CargoWise, price adjustments, and operational efficiencies. The company continues to execute its ‘3P’ strategy (Product, Penetration, Profitability) while expanding its global trade management capabilities. However, delays in the rollout of breakthrough products have led the company to expect revenue at the lower end of FY25 guidance.

Financial Results (USD, in millions)

Metric	1H25	1H24	% Change
Revenue	381.0	327.0	+17%
Adjusted EBITDA	Not disclosed	Not disclosed	–
Operating Profit	149.7	114.5	+31%
Net Profit After Tax (NPAT)	106.4	77.1	+38%
Underlying NPAT	112.1	83.8	+34%
Basic EPS (cents)	32.0	23.3	+37%
Operating Cash Flow	163.2	138.3	+18%
Dividend (cps)	6.7	6.2	+8%

Positive Surprises or Potential Concerns

• 📈 Revenue up 17%, with 15% organic growth, driven by increased CargoWise adoption and pricing power.
• 🏆 Gross profit margin improved to 85% (from 83%), reflecting cost efficiencies and scalability.
• 💰 Operating cash flow up 18%, demonstrating the company’s strong cash-generative business model.
• ⚠️ Guidance revised lower on revenue, citing delays in the rollout of key breakthrough products.

Results vs Market Expectations

• Revenue was in line with expectations but now forecasted at the lower end of FY25 guidance.
• EBITDA margin expected at the higher end of guidance, thanks to successful cost-reduction initiatives.
• M&A activity contributed positively, including the acquisitions of BSM Global and ImpexDocs.
• Board and management changes, including the resignation of four non-executive directors, could create short-term uncertainty.

Outlook and Guidance Statements

• 📉 Revenue now expected at the bottom of the guidance range due to delays in product rollouts.
• 📊 EBITDA margin expected at the top end of the range, driven by ongoing efficiency programs.
• 🌍 Continued expansion into global trade management via strategic acquisitions (BSM Global, ImpexDocs).
• 🔍 Major customer wins, including Nippon Express and LOGISTEED, further strengthening the CargoWise rollout pipeline.

Analyst Positioning

Based on WiseTech Global’s 1H25 financial report, here’s how they are tracking relative to analyst forecasts for 2025 and 2026:

Revenue Tracking

• 1H25 revenue: $381M, up 17% YoY.
• If we annualize this, it suggests a full-year 2025 revenue of ~$762M, which is slightly below the analyst forecast of $787.5M.
• The company also guided that full-year revenue is expected to be at the lower end of their guidance range, implying some softness in H2.
• Given this, analysts may need to slightly trim their 2025 revenue expectations.
• 2026 outlook: No explicit 2026 guidance was provided, but continued customer growth and the rollout of new products suggest that the $1.03B forecast for 2026 may still be achievable, but execution risks remain.

EBITDA Tracking

• 1H25 operating profit: $149.7M, up 31% YoY.
• EBITDA not explicitly stated, but likely close to ~$192M for 1H25.
• If we annualize this, it suggests a full-year 2025 EBITDA of ~$384M, which is slightly below the $399.55M analyst forecast.
• The company noted that its EBITDA margin will be at the top end of guidance due to cost efficiencies, which may help them get closer to analyst expectations.
• 2026 outlook: If cost efficiencies continue and revenue growth picks up, the $548.95M EBITDA target for 2026 remains plausible, but risks exist depending on the pace of product rollouts.

 

Disclaimer: This information is provided purely for educational purposes. It takes no account of an individual’s personal financial circumstances and hence can in no way constitute financial advice. The above data may be subject to errors or inconsistencies for which the author takes no liability. It is imperative that all investors do their own research or if they need advice, seek it from a qualified financial adviser.

Quick Take: H1FY25 ASX:WTC