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Bravura Solutions Limited (AU:BVS)
ASX:BVS

Bravura Solutions Limited (BVS) AI Stock Analysis

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AU:BVS

Bravura Solutions Limited

(Sydney:BVS)

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Outperform 73 (OpenAI - 5.2)
Rating:73Outperform
Price Target:
AU$2.00
▼(-23.08% Downside)
Action:ReiteratedDate:02/11/26
The score is driven primarily by strong financial recovery and cash flow strength, supported by reasonable valuation and a high dividend yield. Upgraded guidance and solid H1 momentum help, while mixed technical signals and earnings-call risks (client attrition, pricing dependence, and revenue lumpiness) limit upside.
Positive Factors
Strong cash generation
Bravura's free cash flow grew 34.12% and OCF/Net Income is 1.42, indicating high cash conversion and earnings quality. Durable cash generation supports reinvestment in product development, funds implementation projects, and sustained shareholder distributions without needing external financing.
Low leverage and improved balance sheet
A low debt-to-equity ratio (0.14) and documented debt reduction signal limited financial leverage and greater resilience to revenue volatility. This structural balance sheet strength enhances flexibility for M&A, R&D spending, or dividend policy while lowering refinancing and solvency risk.
High margins and profitability
Substantial EBIT and EBITDA margins (36% and 42%) and nearly 29% net margin reflect durable operating leverage in its software/services model. High margins underpin strong ROE and cash generation, enabling scalable profitability as recurring revenues and professional services expand.
Negative Factors
Client attrition and concentration risk
Material client departures and concentration risk materially weaken recurring revenue predictability. Loss of a large client can remove a meaningful portion of recurring fees and reduce cross-sell opportunities, making multi-year revenue visibility and renewal-driven growth more precarious.
Recurring revenue fragility and pricing reliance
Two-thirds of recent recurring revenue growth came from pricing increases rather than organic account/volume expansion. Reliance on price rises is less durable than volume growth and leaves recurring top line vulnerable if competitive pressures or client pushback limit future repricing.
Frequent leadership turnover
Rapid CEO turnover—five chiefs in five years—creates potential execution and strategic continuity risks. Frequent leadership change can disrupt long-term client relationships, slow product roadmaps, and impair consistent delivery of multi-year transformation contracts central to the business model.

Bravura Solutions Limited (BVS) vs. iShares MSCI Australia ETF (EWA)

Bravura Solutions Limited Business Overview & Revenue Model

Company DescriptionBravura Solutions Limited engages in the development, licensing, and maintenance of administration and management software applications for the wealth management and funds administration sectors in Australia, New Zealand, the United Kingdom, and internationally. The company operates through two segments, Wealth Management and Funds Administration. It offers Sonata, a wealth management solution for the administration of a range of wealth management products; Sonata Alta, a digital operating model, which provides clients control over their customer's data, operations, and end customer experiences; Bravura Digital that provides digital service; Garradin, a private wealth and portfolio administration solution for the administration of retail and wholesale wealth management, trusts and estates, SMSFs, managed accounts, fund accounting, and tax; and ePASS, an online portal that provides online services for superannuation members and employers. The company also provides Rufus enterprise solution that offers fund administration for transfer agencies; Rufus SaaS, a transfer agency solution that supports the global administration, servicing, and distribution of a range of investments; Babel solution, a financial messaging platform that connects to a range of financial product distributor platforms and the back-office functions of various markets using message media and formats; taWeb, a digital platform for transfer agents and fund managers; and financial planning solutions, such as AdviceOS and Digital Advice. In addition, it offers professional services, including consulting, data migration and services, software development, support, project management, and training services, as well as managed and cloud services. The company was formerly known as Bravura Solutions Holdings Pty Ltd and changed its name to Bravura Solutions Limited in October 2016. Bravura Solutions Limited was founded in 2004 and is headquartered in Sydney, Australia.
How the Company Makes MoneyBravura Solutions generates revenue primarily through the licensing of its software products and related services. The company charges clients for the use of its platforms, which can include one-time licensing fees, ongoing subscription fees, and maintenance agreements. Key revenue streams include software sales, implementation services, and consulting fees. Additionally, Bravura may engage in strategic partnerships with financial institutions to enhance its offerings, which can lead to additional revenue opportunities. The company also benefits from recurring revenue through long-term contracts with clients, ensuring a stable income stream.

Bravura Solutions Limited Earnings Call Summary

Earnings Call Date:Feb 10, 2026
(Q2-2026)
|
% Change Since: |
Next Earnings Date:Sep 01, 2026
Earnings Call Sentiment Positive
The call conveyed solid operational and financial momentum: double-digit revenue growth year-on-year, materially higher cash EBITDA and NPAT, upgraded FY26 guidance, strong cash balance with no debt, and meaningful shareholder returns via interim and special dividends. These positives are tempered by client attrition risks (one recent departure with additional potential exits), reliance on pricing for recurring revenue growth, and increased project-driven revenue that can be lumpy. Management highlights cost discipline and expansion within existing customers as the primary drivers offsetting attrition.
Q2-2026 Updates
Positive Updates
Strong Profitability and EBITDA Growth
Cash EBITDA of $34.2M, up $14.2M versus H1 FY25; underlying NPAT of $25.9M, up $14.6M versus H1 FY25, demonstrating meaningful profitability improvement.
Revenue and Recurring Revenue Growth
Total revenue of $140.0M, up 9.8% versus H1 FY25; recurring revenue $81.3M, up 5% versus H1 FY25, showing growth in both top-line and recurring streams.
Net Cash and Capital Returns
Net closing cash balance of $64.5M with no debt; interim dividend $0.0577/share ($25.9M, representing 100% of H1 NPAT) and special dividend $0.0446/share ($20.0M); company has returned >$0.40/share over the past two years.
Upgraded Full-Year Guidance
Second upgrade for FY26: revenue now guided to $280–$285M and cash EBITDA to $69–$73M (PP&E expected to increase to $4M), reflecting improved momentum and confidence in the outlook.
Growth from Existing Customers and Pricing
Strategy of expanding with existing customers delivering additional revenue and margin; ~2/3 of recurring revenue growth in the last year attributed to pricing increases and expanded services (professional services and product enhancements).
Operational Execution and Cost Discipline
Cost discipline offset inflationary pressures—revenue growth did not increase the cost base; full run-rate cost savings delivered in FY25 benefitted H1 FY26 and supported stronger cash EBITDA and cash flow generation.
New Contract Wins and Strategic Projects
Anchor U.K. workplace contract secured (opportunity to expand to other U.K. clients) and support for two major client integration projects; successful deployment of innovation/digital advice across major Australian superannuation funds.
Negative Updates
Client Attrition and Concentration Risk
Management highlighted three expected material attritions (flagged in 2022): one departed long ago, a second departed just over a month before period end (full impact seen in the current reporting period), and the third remains unresolved—recurring revenue exposed to client departures.
Recurring Revenue Fragility and Pricing Dependence
Approximately 2/3 of recurring revenue growth came from price increases rather than volume; some recurring revenue reductions were due to volume/product mix, indicating growth partly driven by pricing adjustments rather than pure organic volume expansion.
Project Revenue Lumpy and Mix Shift
Increased professional services and implementation work (e.g., workplace, client integrations) has boosted revenue but introduces lumpiness and potentially less predictable recurring revenue conversion timing.
Uncertainty Over Additional Client Turn/Offboarding
A previously flagged potential client 'turn' (discussed at the AGM) remains without further confirmation; ongoing client negotiations and unresolved departures create near-term revenue visibility risk.
Dividend Structure and DRP Suspension
Declared dividends are unfranked and the dividend reinvestment plan (DRP) remains suspended, which may be a negative for shareholders seeking franking credits or reinvestment options.
Management Turnover Risk
CEO is the fifth chief executive in five years; while early client feedback is reported as positive, frequent leadership change can present continuity and execution risk.
Company Guidance
Management upgraded FY26 guidance to revenue of $280–285 million, cash EBITDA of $69–73 million and PP&E of about $4 million, reflecting an expectation of further second‑half improvement driven by increased professional services, product enhancements and contract repricing; this follows a strong H1 with revenue $140.0m (up 9.8% y/y), recurring revenue $81.3m (up 5% y/y), cash EBITDA $34.2m (up $14.2m), underlying NPAT $25.9m (up $14.6m), net closing cash $64.5m and no debt. Management also declared an interim dividend of $0.0577 per share ($25.9m, equal to 100% of H1 NPAT) and a special dividend of $0.0446 per share ($20.0m), noting ~2/3 of recurring revenue growth last year came from pricing and that over $0.40 per share has been returned to shareholders over the past two years.

Bravura Solutions Limited Financial Statement Overview

Summary
Financials show a clear recovery with strong profitability (net margin 28.95%, EBIT margin 36.30%) and robust cash generation (FCF growth 34.12%, OCF/NI 1.42). Balance sheet leverage is low (debt-to-equity 0.14) with very high ROE (79.32%), though prior revenue declines and limited balance-sheet detail temper the score.
Income Statement
75
Positive
Bravura Solutions Limited has shown a strong recovery in its income statement metrics. The gross profit margin has significantly improved to 100% in the latest year, indicating efficient cost management. The net profit margin also increased to 28.95%, reflecting enhanced profitability. Revenue growth is modest at 1.77%, but the EBIT and EBITDA margins have improved to 36.30% and 42.13%, respectively, showing strong operational performance. However, the company experienced a revenue decline in previous years, which could pose a risk if not managed well.
Balance Sheet
68
Positive
The balance sheet of Bravura Solutions Limited shows a stable financial position with a low debt-to-equity ratio of 0.14, indicating low leverage. The return on equity is notably high at 79.32%, suggesting efficient use of equity to generate profits. However, the equity ratio is not explicitly provided, which limits a comprehensive assessment of asset financing. The company has managed to reduce its debt over the years, enhancing financial stability.
Cash Flow
80
Positive
Bravura Solutions Limited exhibits strong cash flow metrics with a significant free cash flow growth rate of 34.12% in the latest year, indicating robust cash generation capabilities. The operating cash flow to net income ratio is 1.42, and the free cash flow to net income ratio is 0.97, both reflecting healthy cash flow relative to earnings. The company has improved its cash flow position significantly compared to previous years, which supports its operational and financial flexibility.
BreakdownTTMJun 2025Jun 2024Jun 2023Jun 2022Jun 2021
Income Statement
Total Revenue269.15M256.42M248.95M248.20M265.43M242.34M
Gross Profit75.47M256.42M38.98M11.39M59.23M60.35M
EBITDA62.75M108.03M29.05M-254.15M57.72M62.06M
Net Income38.85M74.23M8.78M-280.71M29.93M34.56M
Balance Sheet
Total Assets181.95M179.84M229.20M258.39M456.70M465.88M
Cash, Cash Equivalents and Short-Term Investments64.52M58.69M89.97M75.75M48.67M73.57M
Total Debt11.80M13.32M17.41M27.79M30.58M36.76M
Total Liabilities94.57M86.26M95.53M132.48M121.83M136.09M
Stockholders Equity87.38M93.58M133.67M125.91M334.88M329.78M
Cash Flow
Free Cash Flow72.24M97.71M23.42M-25.87M15.65M21.64M
Operating Cash Flow74.53M100.58M29.91M-6.69M41.82M46.98M
Investing Cash Flow-4.81M-2.87M-6.49M-24.09M-33.01M-48.39M
Financing Cash Flow-156.62M-127.15M-8.87M57.43M-32.38M-25.09M

Bravura Solutions Limited Technical Analysis

Technical Analysis Sentiment
Positive
Last Price2.60
Price Trends
50DMA
2.21
Negative
100DMA
2.44
Negative
200DMA
2.28
Negative
Market Momentum
MACD
-0.07
Negative
RSI
48.54
Neutral
STOCH
30.97
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:BVS, the sentiment is Positive. The current price of 2.6 is above the 20-day moving average (MA) of 1.97, above the 50-day MA of 2.21, and above the 200-day MA of 2.28, indicating a neutral trend. The MACD of -0.07 indicates Negative momentum. The RSI at 48.54 is Neutral, neither overbought nor oversold. The STOCH value of 30.97 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:BVS.

Bravura Solutions Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
73
Outperform
AU$829.35M21.2265.33%10.16%25.67%744.90%
61
Neutral
$37.18B12.37-10.20%1.83%8.50%-7.62%
59
Neutral
€1.25B15.8826.73%2.47%-4.10%341.80%
56
Neutral
AU$579.13M49.46-3.19%0.40%-280.65%
55
Neutral
AU$1.11B389.84<0.01%-29.99%-66.84%
55
Neutral
AU$754.91M-289.77-1.11%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:BVS
Bravura Solutions Limited
2.08
-0.18
-7.80%
AU:IRE
IRESS Limited
7.46
-0.32
-4.06%
AU:NXL
Nuix Ltd.
1.92
-1.77
-47.96%
AU:RUL
RPMGlobal Holdings Ltd
4.99
2.26
82.78%
AU:FCL
FINEOS Corporation Holdings Plc Shs Chess Depositary Interests Repr 1 Sh
2.58
0.88
51.76%

Bravura Solutions Limited Corporate Events

Bravura director Shezad Okhai cuts stake with major share sell-down
Feb 22, 2026

Bravura Solutions has disclosed a significant reduction in the shareholding of director Shezad Okhai, who sold over 1.3 million fully paid ordinary shares in a series of on-market trades between 16 and 20 February 2026. Following these disposals, which were executed at prices ranging from $1.95 to $2.18 per share, Okhai’s indirect holding via Citigroup Pty Limited as custodian has fallen from 1,461,282 shares to 139,000 shares, signalling a major change in his equity exposure but with no associated changes in contracts or closed-period trading issues reported.

The most recent analyst rating on (AU:BVS) stock is a Buy with a A$2.00 price target. To see the full list of analyst forecasts on Bravura Solutions Limited stock, see the AU:BVS Stock Forecast page.

Bravura Solutions Declares Interim Dividend for December 2025 Half
Feb 10, 2026

Bravura Solutions Limited has declared an interim dividend of AUD 0.1023 per ordinary fully paid share for the six-month period ended 31 December 2025. The stock will trade ex-dividend on 17 February 2026, with a record date of 18 February 2026 and payment scheduled for 12 March 2026.

The announcement underlines the company’s ongoing practice of returning cash to shareholders and may be read as a signal of management’s confidence in recent financial performance. The defined timetable offers clarity for investors planning income expectations and portfolio decisions around the dividend dates.

The most recent analyst rating on (AU:BVS) stock is a Hold with a A$2.00 price target. To see the full list of analyst forecasts on Bravura Solutions Limited stock, see the AU:BVS Stock Forecast page.

Bravura lifts profit, boosts dividends on growing recurring revenue base
Feb 10, 2026

Bravura Solutions reported underlying revenue from customers of $140.0 million for the half year to 31 December 2025, up 9.8% year on year, with $81.3 million generated from recurring revenue streams. Underlying cash EBITDA rose to $34.2 million with a 24.4% margin, underlying NPAT climbed to $25.9 million, and the company ended the period with $64.5 million in cash and no debt.

Operationally, Bravura has launched two major client integration projects in EMEA and APAC and agreed to support a client’s entry into the expanding UK workplace pensions market. The company expects higher profitability and cash EBITDA in the second half as growth with existing customers offsets a known attrition event and adverse FX, and it is returning capital via an unfranked interim dividend equal to 100% of underlying NPAT plus a special dividend, while keeping its dividend reinvestment plan suspended.

The most recent analyst rating on (AU:BVS) stock is a Hold with a A$2.00 price target. To see the full list of analyst forecasts on Bravura Solutions Limited stock, see the AU:BVS Stock Forecast page.

Bravura Profit Falls on Prior-Year One-Off, Underlying Earnings Surge and Dividend Declared
Feb 10, 2026

Bravura Solutions reported half-year revenue from ordinary activities of $139.998 million for the period ended 31 December 2025, down 23.8% from the prior corresponding period, largely reflecting the absence of a $56.3 million non-recurring licence sale booked a year earlier. Net profit attributable to members fell 57.8% to $25.9 million, though underlying net profit more than doubled to $25.9 million, and the company declared an unfranked interim dividend of 10.23 cents per share, totaling $45.9 million, while also recording reduced net tangible asset backing per security and simplifying its group structure through the deregistration of several subsidiaries.

The group reported total revenue from continuing shareholder activities rising 9.8% to $140.0 million, highlighting growth in core operations despite lower reported statutory revenue linked to prior-period one-offs. Bravura also completed an organisational restructuring that removed control of multiple entities, a move aimed at simplifying its corporate structure, which, along with the dividend declaration and lower asset backing, signals a period of portfolio rationalisation and capital return to shareholders amid a shifting earnings mix between recurring and non-recurring income.

The most recent analyst rating on (AU:BVS) stock is a Hold with a A$2.00 price target. To see the full list of analyst forecasts on Bravura Solutions Limited stock, see the AU:BVS Stock Forecast page.

Bravura Solutions Lifts FY26 Guidance on Strong Project Activity
Feb 8, 2026

Bravura Solutions has lifted its full‑year 2026 guidance on the back of stronger‑than‑expected project activity and disciplined cost control across its customer base. The company now expects revenue of $280 million to $285 million and cash EBITDA of $69 million to $73 million, up from prior ranges, while also flagging higher PPE capex of about $4 million to support additional investment in internal technology.

Management said increased project engagement across business units is forecast to continue into the second half, underpinning the improved outlook and signalling solid demand from wealth, life and funds administration clients. Bravura also confirmed it will present its first‑half 2026 results for the period to 31 December 2025 at a market briefing on 11 February 2026, giving investors a closer look at operating momentum behind the upgraded forecasts.

The most recent analyst rating on (AU:BVS) stock is a Buy with a A$2.00 price target. To see the full list of analyst forecasts on Bravura Solutions Limited stock, see the AU:BVS Stock Forecast page.

Bravura Sets 11 February Date for Half-Year 2026 Results Briefing
Jan 15, 2026

Bravura Solutions Limited has scheduled the release of its half‑year 2026 financial results for 11 February 2026, with Group CEO Colin Greenhill and CFO Neil Montford to present the numbers via a teleconference and webcast at 9:30am AEDT on the same day. The planned briefing, which requires pre‑registration for teleconference participants and will be accessible online shortly before it begins, signals a forthcoming update on the company’s operational and financial performance that will be closely watched by investors and clients given Bravura’s role as a critical technology provider to major financial institutions worldwide.

The most recent analyst rating on (AU:BVS) stock is a Hold with a A$3.00 price target. To see the full list of analyst forecasts on Bravura Solutions Limited stock, see the AU:BVS Stock Forecast page.

Bravura Solutions to Issue 835,645 Unquoted Employee Rights Under Incentive Plan
Jan 11, 2026

Bravura Solutions Limited, a financial technology provider to the wealth management and funds administration sectors, offers software platforms and related services that support superannuation, life insurance, investment, and pension administration for institutional clients.

The company has notified the market of the planned issue of 835,645 unquoted employee rights (ASX code: BVSAM) under its employee incentive scheme, with an issue date of 22 October 2025, a move that underscores its continued use of equity-based remuneration to attract, retain, and align staff with shareholder interests without increasing the pool of quoted securities on the ASX.

The most recent analyst rating on (AU:BVS) stock is a Buy with a A$3.00 price target. To see the full list of analyst forecasts on Bravura Solutions Limited stock, see the AU:BVS Stock Forecast page.

Bravura Solutions Cancels Employee and Performance Rights
Jan 11, 2026

Bravura Solutions Limited has notified the market that a total of 39,325 employee and performance rights (ASX codes BVSAM and BVSAA) have ceased, following cancellation by agreement between the company and the holders, effective 1 October 2025. The cessation of these securities, which relate to staff and performance-based equity, indicates an adjustment to Bravura’s capital structure and incentive arrangements, with potential implications for future dilution and the alignment of employee remuneration with shareholder interests.

The most recent analyst rating on (AU:BVS) stock is a Buy with a A$3.00 price target. To see the full list of analyst forecasts on Bravura Solutions Limited stock, see the AU:BVS Stock Forecast page.

Bravura Solutions Issues Notice on Conversion of Unquoted Equity Securities
Jan 11, 2026

Bravura Solutions Limited has notified the market of the issue, conversion or payment up of certain unquoted equity securities, specifically involving the exercise of unquoted options or the conversion of other unquoted convertible securities. While the announcement does not detail the volume or recipients, the move indicates an expansion of the company’s equity on issue, which may modestly affect its capital structure and reflect ongoing employee or investor incentive arrangements, with potential implications for existing shareholders’ dilution and the alignment of key stakeholders’ interests with the company’s performance.

The most recent analyst rating on (AU:BVS) stock is a Buy with a A$3.00 price target. To see the full list of analyst forecasts on Bravura Solutions Limited stock, see the AU:BVS Stock Forecast page.

Bravura Solutions Installs Colin Greenhill as Group CEO, Ending Interim Leadership
Jan 1, 2026

Bravura Solutions Limited, a global financial software provider serving wealth management, life insurance and funds administration firms, develops technology platforms that help institutions modernise operations, streamline administration and meet evolving regulatory requirements across multiple regions. The company has confirmed the commencement of Colin Greenhill as Group CEO effective 1 January 2026, based in London, marking a transition from interim leadership under Shezad Okhai, who has returned to his position as a non-independent Non-Executive Director; the move signals a strengthening of Bravura’s permanent executive leadership and may provide greater strategic stability as it pursues its growth and modernisation agenda in key financial markets.

The most recent analyst rating on (AU:BVS) stock is a Buy with a A$3.00 price target. To see the full list of analyst forecasts on Bravura Solutions Limited stock, see the AU:BVS Stock Forecast page.

Macquarie Group Ceases Substantial Holding in Bravura Solutions
Dec 18, 2025

Macquarie Group Limited and its controlled entities have ceased to be substantial shareholders in Bravura Solutions Limited as of December 15, 2025. This development may influence Bravura’s shareholder structure and could have potential implications for its governance and market perception moving forward.

The most recent analyst rating on (AU:BVS) stock is a Buy with a A$3.00 price target. To see the full list of analyst forecasts on Bravura Solutions Limited stock, see the AU:BVS Stock Forecast page.

Bravura Solutions Director Increases Shareholding
Nov 24, 2025

Bravura Solutions Limited has announced a change in the director’s interest, specifically involving Sarah Adam-Gedge, who has acquired 15,000 fully paid ordinary shares through an on-market trade. This acquisition increases her indirect interest in the company, with the shares purchased at $2.30 each, reflecting a strategic investment move within the company.

The most recent analyst rating on (AU:BVS) stock is a Hold with a A$3.00 price target. To see the full list of analyst forecasts on Bravura Solutions Limited stock, see the AU:BVS Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Feb 11, 2026