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Highlights:

  • CRW.L reported a 12% YoY rise in adjusted EBITDA to over GBP 65 million for FY25.
  • Craneware’s Annual Recurring Revenue increased 7% YoY to approximately GBP 184 million.
  • Craneware plc reduced bank debt to AUD 27.7 million while maintaining GBP 55.9 million in cash reserves.

Craneware plc (AIM:CRW.L), a UK-based provider of financial performance software for the US healthcare market, has issued a trading update for the year ended 30 June 2025 (FY25). The company recorded growth across key financial indicators, with adjusted EBITDA exceeding consensus market expectations and recurring revenue expanding further as its Trisus platform continues to gain traction. Based on unaudited results, the Group expects to report adjusted EBITDA of over GBP 65 million for FY25, reflecting a 12% YoY increase compared to GBP 58.3 million in FY24. This improvement was supported by revenue growth of 9% YoY to GBP 205.7 million, driven by ongoing sales momentum and increased customer engagement across its software platforms.

Annual Recurring Revenue (ARR) grew approximately 7% to around GBP 184 million, up from GBP 172 million in the previous year. This included the transition of a portion of the Group’s 340B software revenues into recurring revenue streams as anticipated, as well as sustained expansion within the company’s customer base. Net Revenue Retention (NRR), a key indicator of customer value retention and upsell activity, rose to 107% from 98% in FY24. Craneware maintained a high level of operating cash conversion throughout the period, using the proceeds to invest in product development, reduce borrowing, and support platform expansion. Bank debt declined to GBP 27.7 million, while the company’s cash reserves increased to GBP 55.9 million from GBP 34.6 million a year earlier.

The company noted that current trends within the US healthcare sector particularly around efficiency improvement and value-based care continue to provide a supportive environment for its data-driven offerings. The Trisus platform, which integrates financial, operational, and clinical data, remains central to the firm’s strategy. Progress on Craneware’s partnership with Microsoft was described as ongoing, with the relationship helping to enhance the platform’s visibility among US hospital CIOs. The development of AI-powered features on Trisus, in collaboration with Microsoft, remains in line with expectations.

Revenue associated with the company’s “Platform Partner” stream particularly the 340B Shelter offering formed a significant part of the FY25 performance. These revenues stem from current Craneware software and reflect broader adoption of the Group’s data capabilities within the 340B healthcare market segment. According to the company, this programme continues to see uptake and has built a backlog going into FY26. In addition to internal offerings, Craneware has started onboarding third-party partner applications onto the Trisus platform. One such partner, signed just before the end of FY25, is expected to go live in the first half of FY26. The Group is currently evaluating further partnerships to broaden the Trisus platform ecosystem.

Management indicated that the acceleration in EBITDA, ARR, and NRR supports confidence in an increased revenue growth rate in FY26. The Group’s balance sheet and recurring revenue base were cited as key factors enabling continued execution of its longer-term strategy. Looking ahead, the company plans to maintain its focus on monetising its data assets and integrating partner solutions. The continued shift toward cloud-based and recurring SaaS revenues remains a strategic priority, underpinned by customer expansion across existing and adjacent segments.

CRW trading at 3.90% higher at GBX 2,337.70 per share as on 16 july 2025.