EROAD Limited ( (ERDLF) ) has released its Q2 earnings. Here is a breakdown of the information EROAD Limited presented to its investors.
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EROAD Limited is a New Zealand-based company that specializes in providing electronic on-board units and software services to the transport industry, focusing on road user charging and compliance solutions. In its latest interim report for the first half of FY26, EROAD reported a revenue growth of 3.3% to $99.1 million and a positive free cash flow of $6.2 million. The company is navigating macroeconomic challenges while capitalizing on a significant opportunity with the New Zealand Government’s plan to implement universal electronic Road User Charges (eRUC). Key financial highlights include an increase in Annualised Recurring Revenue (ARR) by 6.9% to $178.1 million, and a strong liquidity position with $62.3 million available to support growth. However, the company faced a substantial impairment charge related to its North American operations, resulting in a net loss of $144.2 million for the period. Looking forward, EROAD remains focused on its strategic shift towards Australasia, with expectations of revenue between $197 million and $203 million for FY26. The company is poised to leverage its expertise in road-charging technology to expand its market presence and drive long-term shareholder value.