Dataworks delivers 24% revenue lift and positive operating cash flow in FY26
Dataworks Group Limited (ASX: DWG) delivered a 24% increase in FY26 operating revenue to $8.93 million, up from $7.20 million in FY25, in its Preliminary Final Report and Appendix 4E for the year ended 30 June 2026.
The Company achieved positive statutory operating cash flow of $1.91 million, a $7.21 million improvement on the $5.30 million outflow recorded in FY25. Its statutory loss after tax narrowed 78% to $2.25 million, down from $10.03 million a year earlier.
The result reflected a strategic pivot, with Dataworks transitioning from developing regulatory technology to operating long-term government infrastructure across Australia and Ontario, Canada.
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FY26 financial results at a glance
The full-year figures showed revenue growth, a materially lower cost base and a return to positive cash generation across the reporting period.
| Metric | FY26 | FY25 | Change |
|---|---|---|---|
| Operating revenue | $8.93M | $7.20M | +24% |
| Statutory loss after tax | $2.25M | $10.03M | -78% |
| Operating cash flow | +$1.91M | -$5.30M | +$7.21M |
| Customer cash receipts | $10.39M | $7.53M | +$2.86M |
| Employee expenses | $5.09M | $7.34M | -$2.25M |
Separately, the Company recognised an Australian Tax Office R&D tax rebate of $695,593, reported separately from Operating Revenue throughout the announcement.
The statutory operating cash flow of $1.91 million differs from the approximately $0.28 million reported in the June 2026 Appendix 4C, principally because around $1.51 million of capitalised software development expenditure was classified as investing cash flow at year-end.
Second government platform goes live in Ontario
BetGuard, the Company’s Centralised Self-Exclusion (CSE) platform for iGaming Ontario, entered live commercial operation during Q4 FY26, establishing Dataworks’ second operational government Centralised Self-Exclusion platform.
The BetGuard Ontario launch in May 2026 connected Dataworks to more than 230 wagering operators globally and maintained 100% system availability across both platforms for over two years, with management signalling at least one additional international contract opportunity was expected to reach a decision point in H2 FY26.
The deployment built on the Company’s operation of BetStop, The National Self-Exclusion Register, for the Australian Government. Key features of the Ontario milestone included:
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Demonstrated platform adaptability to different regulatory frameworks, privacy requirements and market structures.
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Expanded capability to include dedicated managed services through a Toronto-based Contact Centre.
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Two proven large-scale government reference platforms across two regulated jurisdictions.
These operating reference sites strengthen Dataworks’ credentials as it progresses additional government procurement opportunities across domestic and international regulated wagering markets.
Why self-exclusion infrastructure matters
A Centralised Self-Exclusion platform allows vulnerable individuals to exclude themselves from all licensed wagering services across a jurisdiction in real time, in a single integrated system. It is mission-critical government infrastructure designed to reduce gambling harm.
The scale is considerable. According to the Company, its combined Australian and Ontario platforms have processed more than 41 billion real-time exclusion checks since launch around two years ago, currently handling in excess of 50 million checks on a typical day.
For investors, this profile matters. Contracted government infrastructure of this nature tends to be long-term, with clear ESG alignment, characteristics that can support long-term contracted revenue.
The BetStop statutory review conducted in early 2026 independently characterised the platform as world-leading technology, confirmed 53,000 registered users and recommended potential scope expansion to online keno and land-based gambling without a fresh competitive tender, a finding that underpins the durability argument for Dataworks’ flagship Australian contract.
A leaner cost base and investment for future growth
Cost discipline continued through FY26, with employee expenses reduced to $5.09 million from $7.34 million in the prior year. The Group simplified operations by exiting or reducing non-core activities and concentrating resources on its CSE technology platform and government customer programmes.
During the year, Dataworks invested $1.51 million in capitalised software development while continuing to fund customer delivery and international operating capability.
The Company also progressed early architecture and development work on a Venue CSE platform, designed to extend its technology into physical gambling environments. Further investment will be required to complete development, with the Company believing the product has potential to create an additional domestic and international commercialisation opportunity.
Funding and the road into FY27
Subsequent to year end, Dataworks reported two material developments supporting its funding position and pipeline:
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3 July 2026: the Company secured a $1.5 million unsecured working capital facility to support ongoing operations, business development and potential new contract mobilisation.
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31 August 2026: the Company entered an eight-week paid Planning Services Agreement with the NSW Government covering project planning, technical scoping and contract development on a component of the Government’s gambling harm minimisation measures, expected to generate approximately $536,000 in revenue, subject to delivery of agreed milestones.
The Board continues to assess additional funding options to support working capital requirements and provide financial flexibility as the Company pursues its commercial growth opportunities.
Looking ahead, Dataworks enters FY27 focused on delivering for its existing government customers, progressing its pipeline of government procurement opportunities and converting its proven regulatory infrastructure into additional long-term contracted revenue.
The Preliminary Final Report and accompanying financial statements are unaudited. The Company’s audited financial statements are due for release by 30 September 2026.
Investment thesis: from builder to operator
FY26 marked a shift in profile for Dataworks. The Company moved from a cash-burning development phase to operating two proven government platforms across two regulated jurisdictions, delivering revenue growth, a sharply reduced loss and positive operating cash flow.
With an established base of long-term government revenue and a growing procurement pipeline, the focus now turns to converting that infrastructure into further contracted revenue in FY27.
Dataworks enters FY27 with two proven government reference platforms, an established base of long-term government revenue and a growing pipeline of domestic and international opportunities.
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