TechnologyOne HY25 results: Ed Chung reports record revenue and profit for 16th year in a row

The ASX-listed Brisbane technology company has released software it says will “change the world” as it charges towards the $1bn annual revenue mark.

Brisbane tech giant TechnologyOne CEO Ed Chung at his Fortitude Valley headquarters.

Technology One chief executive Ed Chung has declared that the company’s cutting edge software is going to “change the world” and they’re aiming to break the $1bn annual recurring revenue barrier within five years.

Brisbane-based TechnologyOne has delivered record revenue and profit for the 16th consecutive year and an ebullient Mr Chung said the implementation of its software as a service technology, Saas + Enterprise Resource Planning (ERP), was a “game changing” offering for the sector.

He said by combining their mission-critical 19 products that power its communities’ operations in six vertical markets and the implementation in one single fee, they have removed the need for the traditional, complex, long, risky and expensive consulting implementations.

Mr Chung said this will revolutionise the sector in much the sale way Salesforce’s customer relationship management platform has done.

“The big multinationals can take thousands of days implementing ERP but we’re already way faster and taking about 160 days. We have a vision to make it 30 days which they say is impossible but we will make it possible,” he said.

“So using things like AI, using our deep industry experience, using our R & D we are already streets ahead. We also only really focus on vertical markets that we know and do well in.

“And when we get to 30 days we have changed the world like no one has thought possible.”

TechnologyOne CEO Ed Chung.

In its half year results ended March 31 which was delivered on Tuesday, TechnologyOne said it expected profit to be 13 per cent to 17 per cent higher in the 2025 financial year compared to FY24.

Its profit before tax jumped 33 per cent to $81.9m for the six months to March 31 from a year earlier, with its dividend up 30 per cent to 6.6c. Revenue rose 19 per cent to $291.3m.

With a market capitalisation of $10.46bn, TechnologyOne said its total annual recurring revenue was 21 per cent higher at $511.1m. ARR in the UK soared 50 per cent to $43.1m.

In the early afternoon trading TechnologyOne shares were 13.2 per cent higher at $37.38.

Mr Chung said they re aiming to breach the $1bn ARR mark by the 2030 financial year.

“We surpassed $500m in ARR 18 months earlier than planned, an incredible achievement for our company,” he said.

“Two years ago, we established our visionary SaaS + offering, becoming the world’s first SaaS + ERP company. It is now fuelling our growth.”

Mr Chung said SaaS + was completely integrated into its UK business and was being gradually implemented in Australia.

“Our UK business is the pioneer for our SaaS+ strategy, where the value proposition continues to resonate with the market,” he said.

“If you sign up for a new product in Australia and everywhere in the world it will only come as Saas +. It will take two or three years to flush through the whole system in Australia but its making huge noise and inroads and it’s one of the reasons why we’re so successful in the UK.”

Brisbane tech giant TechnologyOne CEO Ed Chung at is Fortitude Valley headquarters.

he company said it has made strong inroads into the local government sector globally powering 20 per cent ARR growth and in the education sector, ARR grew 27 per cent with strong wins including TasTAFE.

Its mission critical Student Management product now powers TAFEs in in every state excluding SA and NSW and in its growing Government Sector, ARR grew 28 per cent,

including an industry first win with The Australian Energy Regulator.

Mr Chung said staff numbers have risen from about 1000 a few years ago to 1600 with much of the growth in R & D.

He said despite the company set to break the billion dollar revenue barrier they were committed to Brisbane and being part of the Fortitude Valley ecosystem.

Analysts Wilson Advisory described the results as a “cracker”.

“We remain confident in TNE achieving its medium-term growth target of $1bn plus in ARR by FY30,” they said in an analysts note.

“In our view, the products, markets and capabilities that TNE has at its disposal over the coming five years are more favourable than during the past ‘doubling’.

“Not only did their biggest segments grow well, they grew very strongly. We are strong believers in as TNE’s new products (initially DXP Local Government, and then DLG Education) have launched stronger than expected and will underpin growth for some time yet.”

Originally published as TechnologyOne HY25 results: Ed Chung reports record revenue and profit for 16th year in a row