Credit Clear delivers 28% revenue growth and issues FY27 guidance
Credit Clear (ASX: CCR) reported $60.0m in revenue for FY26, the period ended 30 June 2026, representing a 28% increase on the prior corresponding period (FY25: $46.9m).
The result combined organic growth across the core Australian business with initial contributions from two accretive acquisitions that opened the UK and global SaaS collections markets. Notably, underlying earnings grew faster than revenue, a signal of operating leverage.
Looking ahead, the Company issued FY27 guidance of $73.0m–$77.0m in revenue and Underlying EBITDA of $12.0m–$14.0m.
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FY26 financial results at a glance
Credit Clear’s headline figures showed earnings expanding at a faster rate than revenue, reflecting a shifting channel mix towards higher-margin digital collections. The 28% revenue lift comprised organic growth of $4.0m (9%) plus acquisition contributions of $9.1m.
Underlying EBITDA reached $10.5m, up 41%, lifting the margin to 17.5% from 15.9% a year earlier. Underlying NPATA rose 65% to $6.7m, while Underlying EPS increased 45% to 1.4 cps.
The 1HFY26 results established the operating leverage trajectory now confirmed at the full-year level, with 37% of incremental revenue flowing through to underlying EBITDA and average Tier-1 client revenue rising 18% to $1.3m annually.
| Metric | FY26 | FY25 | Change |
|---|---|---|---|
| Revenue | $60.0m | $46.9m | +28% |
| Underlying EBITDA | $10.5m | $7.4m | +41% |
| EBITDA margin | 17.5% | 15.9% | +1.6pp |
| Underlying NPATA | $6.7m | — | +65% |
| Underlying EPS | 1.4 cps | — | +45% |
On an annualised pro-forma basis for both acquisitions, FY26 revenue would have been $70.0m. Management attributed the margin expansion to disciplined cost management, the growth of higher-margin digital collections, AI-based tools assisting agents, and selective off-shoring.
A strong balance sheet built to fund growth
Credit Clear closed the year in a healthy financial position, providing flexibility to fund integration and geographic expansion. Underlying operating cashflow increased 25% to $8.3m, and the Company ended the period with net cash of $16.9m.
Key funding and capital management points included:
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A $20.75m institutional placement completed in October 2025, with notable support from Chair Paul Dwyer.
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A new bank debt facility arranged with ANZ Bank during the period to provide a balanced funding mix with prudent gearing.
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A share buy-back programme enacted in the second half as an interim use of excess cash, purchasing $7.7m in shares.
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A further allowance of up to 13m shares remaining under the stated initial buy-back amount of 10% of issued shares.
The Company stated this balance sheet strength delivers the flexibility to execute its growth strategy, including the integration of recent acquisitions.
Two acquisitions expand the addressable market
Credit Clear completed two acquisitions during the period, both aligned with its vision to deliver technology-driven collections solutions. Both are expected to be earnings-accretive from the first full year of ownership.
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ARC Europe — a UK-based debt collection agency established in 2001, completed 1 January 2026. Initial consideration of $10.3m (cash plus scrip) was paid, with a deferred component payable at the second-year anniversary. It contributed six months in FY26.
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DTS (illion Digital Tech Solutions) — a global SaaS digital collections and voice technology provider, completed 1 February 2026 for total consideration of $7.9m. It contributed five months in FY26.
The acquisitions significantly expand Credit Clear’s Total Addressable Market, with the UK market estimated to be four times the size of the Australian market. By entering adjacent high-value sectors, the Company aims to diversify revenue streams and strengthen its position in recession-resilient industries such as utilities, insurance, and telecommunications.
DTS brings established relationships with major blue-chip clients, while ARC Europe’s UK presence opens cross-selling opportunities by leveraging Credit Clear’s digital platform.
The DTS acquisition filled a critical product gap by adding automated voice functionality to the platform, tripling digital collections from 5% to 17% of annualised revenue and establishing blue-chip client relationships across five countries with minimal onboarding requirements.
Early integration signals were positive. According to the Company, initial customer feedback from both DTS and ARC Europe has been positive and earnings are ahead of expectations. System integrations with the digital platform are underway, with transition efforts focused on data migration and operational synergies.
Understanding the digital-first collections model
AI-based tools are increasingly assisting agents in customer discussions, supporting the shifting channel mix towards higher-margin digital collections. DTS is a global SaaS digital collections and voice technology provider, and early progress indicates potential for enhanced scalability and cost efficiencies.
This dynamic helps explain why Underlying EBITDA is growing faster than revenue.
ACCC proceedings — what investors need to know
The Australian Competition and Consumer Commission (ACCC) has commenced Federal Court proceedings against ARMA Group Holdings Pty Ltd (ARMA) and Force Legal Pty Ltd (Force Legal), wholly owned subsidiaries of Credit Clear. The proceedings allege contraventions of the Australian Consumer Law relating to debt collection communications sent to certain consumers between February 2022 and September 2025.
Key points for investors include:
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Credit Clear, ARMA and Force Legal continue to deny the allegations and intend to defend the proceedings.
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ARMA and Force Legal are to file their Concise Statements in response by 18 September, with a further case management hearing listed for 16 October 2026.
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The Company stated the proceedings have “not materially impacted” financial results.
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FY27 guidance assumes no material operational impact from the ACCC proceedings.
FY27 outlook and what comes next
Credit Clear stated it remains confident in the Group’s future prospects, expecting continued organic revenue and earnings growth across core operations in both Australia and the UK. The Company anticipates FY27 revenue in the range of $73.0m–$77.0m and Underlying EBITDA in the range of $12.0m–$14.0m, with a skew to second-half performance consistent with prior periods.
Integration synergies are expected to continue, spanning data migration, cost efficiencies, and revenue synergies across the newly acquired businesses.
Company Position
Credit Clear stated it remains confident in the future prospects of the Group, with an expectation of continued organic revenue and earnings growth across core operations in both Australia and the UK.
The Company hosted an investor webinar covering the FY26 results on Thursday, 27 August 2026 at 12.30pm AEST.
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