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SPACETALK Limited ( (AU:SPA) ) has issued an update.
Spacetalk reported an 18% year-on-year rise in active mobile subscribers to 57,900, which drove an 11% increase in recurring mobile revenue but a 29% fall in total quarterly revenue to $3.6 million due to lower device sales and retailer order timing. The company sharply increased platform investment, reset operations to stabilise its new app, initiated cost-optimisation measures targeting about $3.5 million in annualised savings, raised up to $6 million in new capital, and advanced a key partnership framework with TPG Telecom to support subscriber and ARR growth under its software-led Telco strategy.
Management emphasised that this quarter was a deliberate consolidation phase to improve platform stability and customer experience as Spacetalk pivots to a Telco partnership model, with operating costs expected to ease as remediation work subsides. The strengthened balance sheet, heightened development spend, and growing Telco pipeline, including ongoing TPG contract negotiations, are positioned to underpin scalable medium-term growth in subscribers and annual recurring revenue, supporting the company’s reaffirmed 2026 ARR target of $20 million to $25 million.
More about SPACETALK Limited
Spacetalk Ltd is an ASX-listed technology company focused on a software-led family safety platform delivered via mobile services and applications. The business is transitioning away from hardware devices toward recurring subscription revenue, targeting growth through mobile virtual network operator operations and strategic partnerships with telecommunications providers.
Average Trading Volume: 269,405
Technical Sentiment Signal: Sell
Current Market Cap: A$7.95M
For an in-depth examination of SPA stock, go to TipRanks’ Overview page.