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MACH7 TECHNOLOGIES LIMITED — Interim / Quarterly Report 2026
Feb 26, 2026
65285_rns_2026-02-26_0cecfce6-5c4f-4bbc-8d14-bd270892cd88.pdf
Interim / Quarterly Report
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Mach7 Technologies Limited Appendix 4D Half-year report
1. Company details
Name of entity: Mach7 Technologies Limited ABN: 26 007 817 192 Reporting period: For the half-year ended 31 December 2025 Previous period: For the half-year ended 31 December 2024
2. Results for announcement to the market
| $ | |||
|---|---|---|---|
| Revenues from ordinary activities | down | 23.0% to | 13,653,595 |
| Loss from ordinary activities after tax attributable to the owners of Mach7 | |||
| Technologies Limited | up | 207.7% to | (5,749,066) |
| Loss for the half-year attributable to the owners of Mach7 Technologies | |||
| Limited | up | 207.7% to | (5,749,066) |
Dividends
There were no dividends paid, recommended or declared during the current financial period.
Comments
The loss for the consolidated entity after providing for income tax amounted to $5,749,066 (31 December 2024: loss of $1,868,692).
Please refer to the “Operating and Financial Review” in the Directors’ Report for a detailed explanation and analysis of the Group’s performance for the six months ended 31 December 2025.
3. Net tangible assets
| Net tangible assets per ordinary security | Reporting period Cents 8.40 |
Previous period Cents 9.83 |
|---|---|---|
4. Control gained over entities
Not applicable.
5. Loss of control over entities
Not applicable.
6. Dividends
Current period
There were no dividends paid, recommended or declared during the current financial period.
Previous period
There were no dividends paid, recommended or declared during the previous financial period.
Mach7 Technologies Limited Appendix 4D Half-year report
7. Dividend reinvestment plans
Not applicable.
8. Details of associates and joint venture entities
Not applicable.
9. Foreign entities
Details of origin of accounting standards used in compiling the report:
Not applicable.
10. Audit qualification or review
Details of audit/review dispute or qualification (if any):
The financial statements were subject to a review by the auditors and the review report is attached as part of the Half Year Report.
11. Attachments
Details of attachments (if any):
The Half Year Report of Mach7 Technologies Limited for the half-year ended 31 December 2025 is attached.
12. Signed
Signed _________
Date: 27 February 2026
Robert Bazzani Chairman Melbourne
Mach7 Technologies Limited ABN 26 007 817 192
Half Year Report - 31 December 2025
Mach7 Technologies Limited Directors' report 31 December 2025
The Directors present their report, together with the financial statements, on the consolidated entity (referred to hereafter as the 'consolidated entity’, ‘Group’ or ‘Mach7’) consisting of Mach7 Technologies Limited (referred to hereafter as the 'company' or 'parent entity') and the entities it controlled at the end of, or during, the half-year ended 31 December 2025. All amounts are in AUD.
Directors
The following persons were Directors of the Company during the whole of the financial half-year and up to the date of this report, unless otherwise stated:
Mr Robert Bazzani - Independent Non-Executive Chairman Ms Teri Thomas - Managing Director and Chief Executive Officer (appointed effective 1 July 2025) Mr Eliot Seigel, MD - Independent Non-Executive Director
Ms Rebecca Thompson - Independent Non-Executive Director
Principal activities
The principal activity of the Company is the development and commercialisation of medical imaging and data management software solutions for global healthcare organisations.
Operating and financial review
The loss for the consolidated entity after providing for income tax amounted to $5,749,066 (31 December 2024: loss of $1,868,692).
Financial position
At 31 December 2025, the Group reported net current assets of $13.71 million (30 June 2025: $15.87 million), which includes cash on hand of $18.49 million (30 June 2025: $23.07 million), trade and other receivables $4.29 million (30 June 2025: $3.93 million) and customer contract assets of $0.96 million (30 June 2025: $1.54 million).
Review of operations
Revenue from continuing operations
Revenue decreased by 23% on previous corresponding period, $13.65 million revenue recognised (half-year 31 December 2024: $17.74 million).
‑ Group revenue for the half year was $13.65 million, a decrease of 23% compared to the prior corresponding period (PCP), ‑ primarily reflecting lower one time Software licence and Professional Services revenue. Recurring revenue, comprising Subscription revenue and Maintenance and Support revenue (ARR), was $11.58 million, representing a solid base and accounting for the majority of Group revenue despite an 8% decline on PCP.
The Group’s ARR recognised for the period represented 78% of operating expenditure (PCP: 80%), continuing to demonstrate ‑ the strong contribution of recurring revenues to the Group’s cost base. Software licence revenue for the half year was $1.12 ‑ million, down $2.42 million on PCP, reflecting fewer large capital software licence expansions and add on transactions during the period.
Professional Services revenue was $0.95 million, a decrease of $0.60 million compared to PCP, largely due to the timing and ‑ mix of sales activity, with fewer large scale implementation projects recognised during the half.
The table below provides a breakdown of revenue recognised by product/service:
1
Mach7 Technologies Limited Directors' report 31 December 2025
| Subscription revenue Maintenance and Support revenue Total recurring revenue Software Licence revenue Professional Service revenue** |
31 December 2025 $ 5,542,496 6,039,574 |
31 December 2024 $ 6,333,962 6,313,855 |
Change Change $ % (791,466) (12%) (274,281) (4%) (1,065,747) (8%) (2,417,157) (68%) (602,818) (39%) (4,085,722) (23%) |
|---|---|---|---|
| 11,582,070 | 12,647,817 | ||
| 1,124,991 946,534 |
3,542,148 1,549,352 |
||
| 13,653,595 | 17,739,317 |
-
Subscription and Software Licence revenue above comprises the total software licence revenue amounting to $6,667,487 as disclosed in note 4 to these financial statements.
-
** Represents combination of implementation & training services and migration services disclosed in note 4 to these financial statements.
Expenses from operations
Operating expenses decreased by $0.98 million or 6%
‑ During the half year ended 31 December 2025, the Group commenced a strategic reset of its commercial operations, focused on strengthening go-to-market effectiveness. Operating expenses decreased by 6% compared to the prior corresponding period (PCP), reflecting redundancy reductions and disciplined cost management (half-year 31 December 2024: increased by 15%).
Operating expenditure (excluding Right-of-use lease liability interest expense, share-based payments expense, foreign exchange (losses)/gains and depreciation & amortisation) is presented in the following table:
| Employment and related expenses General administration and office expenses Professional fees and corporate expenses Travel and related expenses Marketing expenses |
31 December 2025 $ 11,601,606 1,256,124 1,020,450 455,082 501,853 |
31 December 2024 $ 12,279,437 1,361,367 985,111 632,536 552,392 |
Change Change $ % (677,831) (6%) (105,243) (8%) 35,339 4% (177,454) (28%) (50,539) (9%) (975,728) (6%) |
|---|---|---|---|
| 14,835,115 | 15,810,843 |
- excluding Right-of-use lease liability interest expense, share-based payments expense, foreign exchange (losses)/gains and depreciation & amortisation.
Profitability
The Group has reported EBITDA (on an adjusted basis)* of ($2.30) million for the half-year (half-year 31 December 2024: $0.82 million). The decrease in EBITDA (adjusted) is primarily due to the decrease in revenue (down 23% from PCP). This is set out in the table below:
2
Mach7 Technologies Limited Directors' report 31 December 2025
| Revenue from contracts with customers Cost of sales Gross Margin Gross Margin% Operating expenditure Net foreign exchange losses (realised) Other income/(expenses) (net) EBITDA Adjusted Interest income Net foreign exchange gains/(losses) (unrealised) Share-based payments expense (non-cash) Right-of-use lease liability interest expense Depreciation and amortisation (non-cash) Income tax (expense)/benefit (non-cash) Loss for the half-year* |
31 December 2025 $ 13,653,595 (1,057,705) |
31 December 2024 $ 17,739,317 (1,039,262) |
Change Change $ % (4,085,722) (23%) (18,443) 2% (4,104,165) (25%) 975,728 (6%) (50,657) 495% 58,625 (92%) 983,696 (6%) (3,120,469) (383%) (25,299) (6%) (435,105) (129%) 628,772 (95%) 7,293 (12%) 177,351 (5%) (1,112,917) (128%) (3,880,374) 208% |
|---|---|---|---|
| 12,595,890 | 16,700,055 | ||
| 92% (14,835,115) (60,888) (5,188) |
94% (15,810,843) (10,231) (63,813) |
||
| (14,901,191) | (15,884,887) |
||
| (2,305,301) 370,518 (96,914) (33,628) (52,347) (3,388,372) (243,022) |
815,168 395,817 338,191 (662,400) (59,640) (3,565,723) 869,895 |
||
| (5,749,066) | (1,868,692) |
- Adjusted EBITDA (Earnings Before Interest, Tax, Depreciation, Amortisation) is EBITDA adjusted for unrealised foreign exchange (losses)/gains and non-cash item share-based payments expense.
Matters subsequent to the end of the financial half-year
No matter or circumstance has arisen since 31 December 2025 that has significantly affected, or may significantly affect the consolidated entity's operations, the results of those operations, or the consolidated entity's state of affairs in future financial years.
Contingent liability
The Group has no contingent liabilities as at 31 December 2025 (30 June 2025: Nil)
Outlook
Mach7 continues to be a leading innovator in the enterprise imaging space, with a portfolio of interoperable solutions that underpin the imaging strategies of both acute and non-acute care facilities. As the healthcare landscape evolves amidst an increasingly complex financial environment, consolidation among providers is reshaping the dynamics for imaging IT vendors. This trend presents unique challenges, particularly for vendors attempting to transition between outpatient and acute care markets and vice-versa.
Mach7 is well positioned to capitalise on these shifts, supported by a strong installed base across both acute and non-acute care settings. This positioning, together with the continued global adoption of enterprise imaging, underpins attractive market conditions for the Group. Purchasing decisions are increasingly driven at the C-suite level, directly aligning with Mach7’s commercial reset strategy, which is designed to strengthen senior executive engagement and drive more effective enterprise-level sales outcomes.
A key strategic pillar supporting both commercial expansion and product innovation is the Group’s Asia operations. Asia represents a growing enterprise imaging market in its own right, providing meaningful commercial opportunity across both public and private healthcare systems. In parallel, the region serves as an increasingly important hub for product development and engineering excellence, enabling accelerated innovation and platform scalability from a structurally lower cost base. This dual role enhances operating leverage while strengthening the Group’s ability to deliver competitively priced, globally relevant solutions.
Mach7 enters the second half of FY26 with a refined strategy, a stronger operational foundation and improving commercial momentum. The Group remains focused on disciplined cost management while selectively investing in capabilities that enhance scalability and long-term operating efficiency across sales execution, product development and platform delivery. A key step in this strategic shift is the appointment of the Company’s first dedicated API developer, situated within its Asia team, strengthening the scalability and integration capability of the Flamingo platform while building a more efficient, globally leveraged development model. This marks the beginning of a broader expansion of Asia-based engineering capability
3
Mach7 Technologies Limited Directors' report 31 December 2025
designed to support innovation, accelerate time to market and improve cost efficiency across the Group. In addition, Mach7 launched a significantly expanded and refreshed marketing program to modernise its brand, digital presence and market engagement.
Mach7 remains confident in its strategy and execution, underpinned by a re-energised sales and partner model, expanded marketing capability and early traction for its Flamingo solutions. The Company continues to prioritise financial discipline and efficient capital allocation, positioning it well to deliver against its strategy and capture emerging market opportunities.
Significant changes in the state of affairs
There were no significant changes in the state of affairs of the Group during the financial half-year.
Auditor's independence declaration
A copy of the auditor's independence declaration as required under section 307C of the Corporations Act 2001 is set out immediately after this Directors' Report.
This report is made in accordance with a resolution of Directors, pursuant to section 306(3)(a) of the Corporations Act 2001 (Cth).
On behalf of the Directors
Robert Bazzani Chairman
27 February 2026
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RSM Australia Partners
Level 27, 120 Collins Street Melbourne VIC 3000 PO Box 248 Collins Street West VIC 8007 T +61 (0) 3 9286 8000 F +61 (0) 3 9286 8199
www.rsm.com.au
AUDITOR’S INDEPENDENCE DECLARATION
As lead auditor for the review of the financial report of Mach7 Technologies Limited and its controlled entities for the half year ended 31 December 2025, I declare that, to the best of my knowledge and belief, there have been no contraventions of:
-
(i) the auditor independence requirements of the Corporations Act 2001 in relation to the review; and
-
(ii) any applicable code of professional conduct in relation to the review.
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RSM AUSTRALIA PARTNERS
==> picture [94 x 32] intentionally omitted <==
M PARAMESWARAN
Partner
Melbourne, Victoria Dated: 27 February 2026
THE POWER OF BEING UNDERSTOOD AUDIT | TAX | CONSULTING
==> picture [35 x 54] intentionally omitted <==
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RSM Australia Partners is a member of the RSM network and trades as RSM. RSM is the trading name used by the members of the RSM network. Each member of the RSM network is an independent accounting and consulting firm which practices in its own right. The RSM network is not itself a separate legal entity in any jurisdiction. RSM Australia Partners ABN 36 965 185 036
Liability limited by a scheme approved under Professional Standards Legislation
Mach7 Technologies Limited Contents 31 December 2025
| Mach7 Technologies Limited Contents 31 December 2025 |
|
|---|---|
| Statement of profit or loss and other comprehensive income | 7 |
| Statement of financial position | 8 |
| Statement of changes in equity | 9 |
| Statement of cash flows | 10 |
| Notes to the financial statements | 11 |
| Directors' declaration | 19 |
| Independent auditor's review report to the members of Mach7 Technologies Limited | 20 |
6
Mach7 Technologies Limited Statement of profit or loss and other comprehensive income For the half-year ended 31 December 2025
| Note Revenue from contracts with customers 4 Other income Expenses Cost of sales Employment and related expenses Depreciation and amortisation Professional fees and corporate expenses General administration and office expenses Marketing expenses Travel and related expenses Share-based payments expense (non-cash) Right-of-use lease liability interest expense Net foreign exchange gains/(losses) Other expenses Loss before income tax (expense)/benefit Income tax (expense)/benefit Loss after income tax (expense)/benefit for the half-year attributable to the owners of Mach7 Technologies Limited Other comprehensive loss Items that may be reclassified subsequently to profit or loss Foreign currency translation Other comprehensive loss for the half-year, net of tax Total comprehensive loss for the half-year attributable to the owners of Mach7 Technologies Limited Basic and diluted earnings per share 5 |
Consolidated 31 December 2025 31 December 2024 $ $ 13,653,595 17,739,317 393,738 404,598 (1,057,705) (1,039,262) (11,601,606) (12,279,437) (3,388,372) (3,565,723) (1,020,450) (985,111) (1,256,124) (1,361,367) (501,853) (552,392) (455,082) (632,536) (33,628) (662,400) (52,347) (59,640) (157,802) 327,960 (28,408) (72,594) (5,506,044) (2,738,587) (243,022) 869,895 (5,749,066) (1,868,692) (915,802) 1,519,151 (915,802) 1,519,151 (6,664,868) (349,541) Cents Cents (2.4) (0.8) |
Consolidated 31 December 2025 31 December 2024 $ $ 13,653,595 17,739,317 393,738 404,598 (1,057,705) (1,039,262) (11,601,606) (12,279,437) (3,388,372) (3,565,723) (1,020,450) (985,111) (1,256,124) (1,361,367) (501,853) (552,392) (455,082) (632,536) (33,628) (662,400) (52,347) (59,640) (157,802) 327,960 (28,408) (72,594) (5,506,044) (2,738,587) (243,022) 869,895 (5,749,066) (1,868,692) (915,802) 1,519,151 (915,802) 1,519,151 (6,664,868) (349,541) Cents Cents (2.4) (0.8) |
|---|---|---|
| (5,506,044) (243,022) |
(2,738,587) 869,895 |
|
| (5,749,066) (915,802) |
(1,868,692) 1,519,151 |
|
| (915,802) | 1,519,151 | |
| (6,664,868) | (349,541) | |
| Cents (2.4) |
Cents (0.8) |
The above statement of profit or loss and other comprehensive income should be read in conjunction with the accompanying notes
7
Mach7 Technologies Limited Statement of financial position As at 31 December 2025
| Note Assets Current assets Cash and cash equivalents Trade and other receivables 6 Customer contract assets 7 Other assets Total current assets Non-current assets Customer contract assets 7 Right-of-use assets Property, plant and equipment Intangibles 8 Deferred tax asset Other assets Total non-current assets Total assets Liabilities Current liabilities Trade and other payables Customer contract liabilities 9 Lease liabilities Total current liabilities Non-current liabilities Lease liabilities Deferred tax liability Total non-current liabilities Total liabilities Net assets Equity Issued capital 10 Reserves Accumulated losses Total equity |
Consolidated 31 December 2025 30 June 2025 $ $ 18,487,843 23,069,049 4,289,696 3,932,508 955,994 1,539,499 1,876,247 1,738,693 25,609,780 30,279,749 3,439,070 4,176,001 838,300 985,217 965,062 1,152,941 19,364,451 22,616,191 3,036,818 4,195,202 783,159 803,838 28,426,860 33,929,390 54,036,640 64,209,139 2,098,993 2,356,789 9,568,783 11,834,231 226,072 218,478 11,893,848 14,409,498 760,394 900,342 2,436,155 3,321,816 3,196,549 4,222,158 15,090,397 18,631,656 38,946,243 45,577,483 113,997,327 113,997,327 4,895,503 6,594,344 (79,946,587) (75,014,188) 38,946,243 45,577,483 |
Consolidated 31 December 2025 30 June 2025 $ $ 18,487,843 23,069,049 4,289,696 3,932,508 955,994 1,539,499 1,876,247 1,738,693 25,609,780 30,279,749 3,439,070 4,176,001 838,300 985,217 965,062 1,152,941 19,364,451 22,616,191 3,036,818 4,195,202 783,159 803,838 28,426,860 33,929,390 54,036,640 64,209,139 2,098,993 2,356,789 9,568,783 11,834,231 226,072 218,478 11,893,848 14,409,498 760,394 900,342 2,436,155 3,321,816 3,196,549 4,222,158 15,090,397 18,631,656 38,946,243 45,577,483 113,997,327 113,997,327 4,895,503 6,594,344 (79,946,587) (75,014,188) 38,946,243 45,577,483 |
|---|---|---|
| 25,609,780 | 30,279,749 |
|
| 3,439,070 838,300 965,062 19,364,451 3,036,818 783,159 |
4,176,001 985,217 1,152,941 22,616,191 4,195,202 803,838 |
|
| 28,426,860 | 33,929,390 |
|
| 54,036,640 | 64,209,139 |
|
| 2,098,993 9,568,783 226,072 |
2,356,789 11,834,231 218,478 |
|
| 11,893,848 | 14,409,498 |
|
| 760,394 2,436,155 |
900,342 3,321,816 |
|
| 3,196,549 | 4,222,158 |
|
| 15,090,397 | 18,631,656 |
|
| 38,946,243 | 45,577,483 |
|
| 113,997,327 4,895,503 (79,946,587) |
113,997,327 6,594,344 (75,014,188) |
|
| 38,946,243 | 45,577,483 |
The above statement of financial position should be read in conjunction with the accompanying notes
8
Mach7 Technologies Limited Statement of changes in equity For the half-year ended 31 December 2025
| Consolidated Balance at 1 July 2024 Loss after income tax benefit for the half-year Other comprehensive income for the half-year, net of tax Total comprehensive loss for the half-year Transactions with owners in their capacity as owners: Share-based payments (note 15) Transfers upon lapse of options/rights Balance at 31 December 2024 Consolidated Balance at 1 July 2025 Loss after income tax expense for the half-year Other comprehensive loss for the half-year, net of tax Total comprehensive loss for the half-year Transactions with owners in their capacity as owners: Share-based payments (note 15) Transfers upon lapse of options/rights Balance at 31 December 2025 |
Issued Capital $ 116,244,526 - - |
Share Based Payment Reserves $ 4,347,733 - - |
Foreign Exchange Translation Reserve $ 2,270,086 - 1,519,151 |
Accumulated Losses $ (71,005,467) (1,868,692) - |
Total Equity $ 51,856,878 (1,868,692) 1,519,151 |
|---|---|---|---|---|---|
| - - - |
- 662,400 (978,852) |
1,519,151 - - |
(1,868,692) - 978,852 |
(349,541) 662,400 - |
|
| 116,244,526 | 4,031,281 | 3,789,237 | (71,895,307) | 52,169,737 | |
| Issued Capital $ 113,997,327 - - |
Share Based Payment Reserves $ 3,264,735 - - |
Foreign Exchange Translation Reserve $ 3,329,609 - (915,802) |
Accumulated Losses $ (75,014,188) (5,749,066) - |
Total Equity $ 45,577,483 (5,749,066) (915,802) |
|
| - - - |
- 33,628 (816,667) |
(915,802) - - |
(5,749,066) - 816,667 |
(6,664,868) 33,628 - |
|
| 113,997,327 | 2,481,696 | 2,413,807 | (79,946,587) | 38,946,243 |
The above statement of changes in equity should be read in conjunction with the accompanying notes
9
Mach7 Technologies Limited Statement of cash flows For the half-year ended 31 December 2025
| Mach7 Technologies Limited Statement of cash flows For the half-year ended 31 December 2025 |
||
|---|---|---|
| Note Cash flows from operating activities Receipts from customers (inclusive of GST) Payments to suppliers (inclusive of GST) Interest received Income taxes paid Net cash used in operating activities Cash flows from investing activities Payments for property, plant and equipment Payments for intangibles 8 Net cash used in investing activities Cash flows from financing activities Payments for share buy-backs Repayment of lease liabilities Net cash used in financing activities Net decrease in cash and cash equivalents Cash and cash equivalents at the beginning of the financial half-year Effects of exchange rate changes on cash and cash equivalents Cash and cash equivalents at the end of the financial half-year |
Consolidated 31 December 2025 31 December 2024 $ $ 12,456,017 15,919,139 (16,282,306) (18,583,858) (3,826,289) (2,664,719) 195,532 265,079 - (51,621) (3,630,757) (2,451,261) (35,199) (525,493) (401,088) (524,480) (436,287) (1,049,973) (4,355) - (104,888) (79,181) (109,243) (79,181) (4,176,287) (3,580,415) 23,069,049 26,175,405 (404,919) 1,001,835 18,487,843 23,596,825 |
|
| (3,826,289) 195,532 - |
(2,664,719) 265,079 (51,621) |
|
| (3,630,757) | (2,451,261) | |
| (35,199) (401,088) |
(525,493) (524,480) |
|
| (436,287) | (1,049,973) | |
| (4,355) (104,888) |
- (79,181) |
|
| (109,243) | (79,181) | |
| (4,176,287) 23,069,049 (404,919) |
(3,580,415) 26,175,405 1,001,835 |
|
| 18,487,843 | 23,596,825 |
The above statement of cash flows should be read in conjunction with the accompanying notes
10
Mach7 Technologies Limited Notes to the financial statements 31 December 2025
Note 1. Corporate information
The financial report of Mach7 Technologies Limited (the “Company” or the “Parent”) for the half-year ended 31 December 2025 was authorised for issue in accordance with a resolution of the Directors on 27 February 2026 .
Mach7 Technologies Limited is a company limited by shares incorporated and domiciled in Australia whose shares are publicly traded on the Australian Securities Exchange (ASX:M7T). The nature of the operations and principal activities of Mach7 Technologies Limited and its consolidated entities (the “Group”) are described in the Directors’ Report.
Note 2. Material accounting policy information
These general purpose financial statements for the interim half-year reporting period ended 31 December 2025 have been prepared in accordance with Australian Accounting Standard AASB 134 'Interim Financial Reporting' and the Corporations Act 2001 (Cth), as appropriate for for-profit oriented entities. Compliance with AASB 134 ensures compliance with International Financial Reporting Standard IAS 34 'Interim Financial Reporting'.
These general purpose financial statements do not include all the notes of the type normally included in annual financial statements. Accordingly, these financial statements are to be read in conjunction with the annual report for the year ended 30 June 2025 and any public announcements made by the Company during the interim reporting period in accordance with the continuous disclosure requirements of the Corporations Act 2001.
The accounting policies adopted are consistent with those of the previous financial year and corresponding interim reporting period, unless otherwise stated.
New or amended Accounting Standards and Interpretations adopted
The Company has adopted all of the new or amended Accounting Standards and Interpretations issued by the Australian Accounting Standards Board ('AASB') that are mandatory for the current reporting period.
Any new or amended Accounting Standards or Interpretations that are not yet mandatory have not been early adopted.
11
Mach7 Technologies Limited Notes to the financial statements 31 December 2025
Note 3. Operating segments
Description of segments and principal activities
Mach7 Technologies is a global provider of enterprise imaging solutions for healthcare organisations, predominantly throughout the North America, Asia Pacific, and the Middle East region. The Group’s performance is monitored and reported for one main segment, which is enterprise imaging. In addition, revenue is monitored at a regional and product/services level. This information is presented in Note 4.
Profit or Loss
The Group’s profit and loss is managed as a whole and is the same as what is presented in the statement of financial performance and other comprehensive income. In addition, management and the directors monitor Gross Margins, Earnings Before Interest, Tax and Depreciation (EBITDA), and EBITDA adjusted for non-cash items. This is presented below:
| Revenue from contracts with customers Cost of sales Operating expenditure Net foreign exchange losses (realised) Other income/(expenses) (net) EBITDA – before the following items Share-based payments expense (non-cash) Net foreign exchange gains/(losses) (unrealised) EBITDA Depreciation and amortisation Right-of-use lease liability interest expense Interest income Income tax (expense)/benefit Net loss after tax |
Consolidated 31 December 2025 31 December 2024 $ $ 13,653,595 17,739,317 (1,057,705) (1,039,262) (14,835,115) (15,810,843) (60,888) (10,231) (5,188) (63,813) (2,305,301) 815,168 (33,628) (662,400) (96,914) 338,191 |
Consolidated 31 December 2025 31 December 2024 $ $ 13,653,595 17,739,317 (1,057,705) (1,039,262) (14,835,115) (15,810,843) (60,888) (10,231) (5,188) (63,813) (2,305,301) 815,168 (33,628) (662,400) (96,914) 338,191 |
|---|---|---|
| (2,305,301) | 815,168 | |
| (33,628) (96,914) |
(662,400) 338,191 |
|
| (2,435,843) - (3,388,372) (52,347) 370,518 (243,022) |
490,959 - (3,565,723) (59,640) 395,817 869,895 |
|
| (5,749,066) | (1,868,692) |
Segment assets and liabilities
The Group’s chief decision makers review and monitor assets and liabilities as a whole.
Geographical non-current tangible assets*
| North America Asia |
Consolidated 31 December 2025 30 June 2025 $ $ 8,690,549 10,919,057 423,721 447,600 9,114,270 11,366,657 |
Consolidated 31 December 2025 30 June 2025 $ $ 8,690,549 10,919,057 423,721 447,600 9,114,270 11,366,657 |
|---|---|---|
| 9,114,270 | 11,366,657 |
*Non-current assets excluding the intangible assets of the Group.
12
Mach7 Technologies Limited Notes to the financial statements 31 December 2025
Note 4. Revenue from contracts with customers
Disaggregation of revenue from contracts with customers
Mach7 is a global provider of medical imaging software solutions. Every software sale, or provision of services, is subject to a software licence agreement, statement of work and/or order form. The Group derives revenue from the transfer of goods and services over time and at a point in time in the following major product lines and geographical regions:
| Software Licence Revenue (major segment) Professional Services Revenue: - implementation & training services - migration services Maintenance and Support (recurring revenue) Geographical segment revenues North America Asia Pacific Middle East Europe and other regions Timing of revenue recognition* Revenue recognised at a point in time Revenue recognised over time |
Consolidated 31 December 2025 31 December 2024 $ $ 6,667,487 9,876,110 633,954 1,325,957 312,580 223,395 6,039,574 6,313,855 13,653,595 17,739,317 11,512,833 15,422,033 1,527,854 1,640,362 420,753 430,162 192,155 246,760 13,653,595 17,739,317 1,124,991 3,542,148 12,528,604 14,197,169 13,653,595 17,739,317 |
Consolidated 31 December 2025 31 December 2024 $ $ 6,667,487 9,876,110 633,954 1,325,957 312,580 223,395 6,039,574 6,313,855 13,653,595 17,739,317 11,512,833 15,422,033 1,527,854 1,640,362 420,753 430,162 192,155 246,760 13,653,595 17,739,317 1,124,991 3,542,148 12,528,604 14,197,169 13,653,595 17,739,317 |
|---|---|---|
| 13,653,595 | 17,739,317 |
|
| 11,512,833 1,527,854 420,753 192,155 |
15,422,033 1,640,362 430,162 246,760 |
|
| 13,653,595 | 17,739,317 |
|
| 1,124,991 12,528,604 |
3,542,148 14,197,169 |
|
| 13,653,595 | 17,739,317 |
*Software Licence Revenue is comprised of Subscription Revenue (annual recurring revenue) and Capital Software Licence Revenue (recognised upfront upon delivery of software and is recurring at the end of each term, which is normally 5 years).
Note 5. Earnings per share
Basic earnings per share (“EPS”) is calculated by dividing the net loss for the half-year attributable to ordinary equity holders of the parent by the weighted average number of ordinary shares outstanding during the half-year. The income and share data used in the calculations of basic and diluted EPS is as follows:
| Basic and diluted earnings per share for loss Loss after income tax attributable to the owners of Mach7 Technologies Limited Weighted average number of ordinary shares used in calculating basic and diluted earnings per share Basic and diluted earnings per share |
Consolidated 31 December 2025 31 December 2024 $ $ (5,749,066) (1,868,692) |
Consolidated 31 December 2025 31 December 2024 $ $ (5,749,066) (1,868,692) |
|---|---|---|
| Number 234,968,047 Cents (2.4) |
Number 241,241,047 Cents (0.8) |
Number of share options and performance rights not included in the diluted earnings per share calculation as they are antidilutive: 9,779,185 (31 December 2024: 13,672,999)
13
Mach7 Technologies Limited Notes to the financial statements 31 December 2025
Note 6. Trade and other receivables
| Note 6. Trade and other receivables |
||
|---|---|---|
| Trade receivables Interest receivable Sales tax receivable Other receivables |
Consolidated 31 December 2025 30 June 2025 $ $ 4,227,815 3,836,871 38,165 66,775 23,716 24,498 61,881 91,273 - 4,364 4,289,696 3,932,508 |
|
| 38,165 23,716 |
66,775 24,498 |
|
| 61,881 | 91,273 |
|
| - | 4,364 | |
| 4,289,696 | 3,932,508 |
Note 7. Customer contract assets
| Note 7. Customer contract assets |
||
|---|---|---|
| Contract assets - current Contract assets - non-current |
Consolidated 31 December 2025 30 June 2025 $ $ 955,994 1,539,499 3,439,070 4,176,001 4,395,064 5,715,500 |
|
| 4,395,064 | 5,715,500 |
Customer contract assets (or accrued revenue) represents fees which have been recognised as revenue which are yet to be invoiced to the customer. The customer is invoiced when certain contract milestones have been met. This can fluctuate from period to period, as these balances are impacted by the timing of when contracted sales occur, performance obligations are met and the payment milestones that are specified within each contract. The carrying values are assumed to approximate the fair values for these balances.
Under the accounting standards, contracts in which payment by the customer and performance by the Group occur at significantly different times will need to be assessed to determine whether the contract contains a significant financing component. In the FY23 reporting period, the Group identified that its customer contract with Akumin contains a significant financing component due to the performance obligation in relation to the delivery of the capital licence being completed in December 2022 but payment for the capital software licence occurring over a 10-year period. In determining the promised amount of consideration adjusted for the significant financing component, the Group used a discount rate that would be reflected in a separate financing transaction between the Group and Akumin at contract inception which takes into account the credit characteristics of Akumin. The difference between the contract value and the capital software licence revenue recognised at contract inception will unwind over the 10-year contract term as interest income in the statement of profit or loss and other comprehensive income. The contract asset recognised in relation to the Akumin contract is split between current and non-current based on the invoicing schedule in the contract.
14
Mach7 Technologies Limited Notes to the financial statements 31 December 2025
Note 8. Intangibles
| Goodwill - at cost Patents and trademarks - at cost Less: Accumulated amortisation Customer contracts - at cost Less: Accumulated amortisation Software - at cost Less: Accumulated amortisation Brand Names - at cost Less: Accumulated amortisation |
Consolidated 31 December 2025 30 June 2025 $ $ 4,164,105 4,277,146 180,117 184,872 (114,248) (114,495) 65,869 70,377 11,532,993 11,606,512 (11,532,993) (11,587,069) - 19,443 58,809,361 59,591,489 (48,087,925) (45,875,104) 10,721,436 13,716,385 5,971,015 6,090,814 (1,557,974) (1,557,974) 4,413,041 4,532,840 19,364,451 22,616,191 |
Consolidated 31 December 2025 30 June 2025 $ $ 4,164,105 4,277,146 180,117 184,872 (114,248) (114,495) 65,869 70,377 11,532,993 11,606,512 (11,532,993) (11,587,069) - 19,443 58,809,361 59,591,489 (48,087,925) (45,875,104) 10,721,436 13,716,385 5,971,015 6,090,814 (1,557,974) (1,557,974) 4,413,041 4,532,840 19,364,451 22,616,191 |
|---|---|---|
| 180,117 (114,248) |
184,872 (114,495) |
|
| 65,869 | 70,377 |
|
| 11,532,993 (11,532,993) |
11,606,512 (11,587,069) |
|
| - | 19,443 | |
| 58,809,361 (48,087,925) |
59,591,489 (45,875,104) |
|
| 10,721,436 | 13,716,385 |
|
| 5,971,015 (1,557,974) |
6,090,814 (1,557,974) |
|
| 4,413,041 | 4,532,840 |
|
| 19,364,451 | 22,616,191 |
Reconciliations
Reconciliations of the written down values at the beginning and end of the current financial half-year are set out below:
| Consolidated Balance at 1 July 2025 Additions Exchange differences Amortisation expense Balance at 31 December 2025 |
Patents $ 70,377 - (1,751) (2,757) |
Customer Contracts $ 19,443 - (10) (19,433) |
Brand Names $ 4,532,840 - (119,799) - |
Software $ 13,716,385 401,088 (340,224) (3,055,813) |
Goodwill $ 4,277,146 - (113,041) - |
Total $ 22,616,191 401,088 (574,825) (3,078,003) |
|---|---|---|---|---|---|---|
| 65,869 | - | 4,413,041 | 10,721,436 | 4,164,105 | 19,364,451 |
15
Mach7 Technologies Limited Notes to the financial statements 31 December 2025
Note 9. Customer contract liabilities
| Maintenance and Support Revenue received in advance Professional Services Revenue received in advance Subscription Revenue received in advance Capital Software Licence Revenue received in advance |
Consolidated 31 December 2025 30 June 2025 $ $ 4,745,021 6,484,847 1,489,139 1,825,857 3,289,857 3,424,739 44,766 98,788 9,568,783 11,834,231 |
Consolidated 31 December 2025 30 June 2025 $ $ 4,745,021 6,484,847 1,489,139 1,825,857 3,289,857 3,424,739 44,766 98,788 9,568,783 11,834,231 |
|---|---|---|
| 9,568,783 | 11,834,231 |
Customer contract liabilities (or deferred revenue) represents cash amounts that have been collected from customers that will be recognised as revenue in a future period. Revenue is recognised:
-
at a point in time when Capital Software Licences are delivered.
-
over a period of time when Professional Services are performed.
-
over a period of time when Maintenance and Support services are performed.
-
for Subscription over the subscription period upon the customer achieving First Productive Use.
The carrying values are assumed to approximate the fair values for these balances. Maintenance and Support revenue and Subscription revenue received in advance are expected to grow year on year as the Group signs new customer contracts, i.e. every new Maintenance and Support contract and Subscription contract signed going forward will add to this balance. Professional Services revenue received in advance is expected to fluctuate from year to year, as timing of sales orders, cash payment milestones and Professional Services performed will impact this balance.
Note 10. Issued capital
| Ordinary shares - fully paid | 31 December 2025 Shares 234,968,047 |
Consolidated 30 June 2025 31 December 2025 Shares $ 234,968,047 113,997,327 |
30 June 2025 $ 113,997,327 |
|---|---|---|---|
Ordinary shares
Ordinary shares entitle the holder to participate in dividends and the proceeds on the winding up of the company in proportion to the number of and amounts paid on the shares held. The fully paid ordinary shares have no par value and the company does not have a limited amount of authorised capital.
On a show of hands every member present at a meeting in person or by proxy shall have one vote and upon a poll each share shall have one vote.
Share buy-back
An on-market share buy-back program is in place until 2 March 2026. There was no buy-back activity during the period. Note 11. Dividends
There were no dividends paid, recommended or declared during the current or previous financial half-year.
Note 12. Related party transactions
Parent entity
Mach7 Technologies Limited is the parent entity.
Transactions with related parties
There were no transactions with related parties during the current and previous financial half-year.
16
Mach7 Technologies Limited Notes to the financial statements 31 December 2025
Note 12. Related party transactions (continued)
Receivable from and payable to related parties
There were no trade receivables from or trade payables to related parties at the current and previous reporting date.
Loans to/from related parties
There were no loans to or from related parties at the current and previous reporting date.
Note 13. Events after the reporting period
No matter or circumstance has arisen since 31 December 2025 that has significantly affected, or may significantly affect the consolidated entity's operations, the results of those operations, or the consolidated entity's state of affairs in future financial years.
Note 14. Contingent liabilities
The Group has no contingent liabilities as at 31 December 2025 (30 June 2025: Nil)
Note 15. Share-based payments
Share-based payments expense during the period is $33,628 (31 December 2024:$662,400) which relates to options/performance rights/shares issued to Directors, KMP and other employees of the company.
Summary of options granted and lapsed during the half-year ended 31 December 2025 are as below:
Unlisted Options
Set out below are summaries of options granted under the plan:
31 December 2025
| 31 December 2025 |
|||||
|---|---|---|---|---|---|
| Exercise Grant date Expiry date price 01/12/2020 30/11/2025 $1.400 10/09/2021 31/08/2026 $0.980 11/11/2021 11/11/2026 $0.910 11/11/2021 31/12/2025 $1.380 20/01/2022 20/01/2027 $0.780 24/02/2022 24/02/2027 $0.730 12/12/2022 12/12/2027 $0.610 01/01/2023 01/01/2028 $0.570 01/05/2023 01/05/2028 $0.640 01/07/2023 01/07/2028 $0.580 14/08/2023 14/08/2028 $0.800 01/09/2023 01/09/2028 $0.760 16/11/2023 16/11/2028 $0.710 01/12/2023 01/12/2028 $0.730 18/12/2023 18/12/2028 $0.730 15/01/2024 15/01/2029 $0.730 01/03/2024 01/03/2029 $0.680 19/08/2024 19/08/2029 $0.590 16/09/2024 16/09/2029 $0.540 18/11/2024 18/11/2029 $0.380 04/08/2025 04/08/2030 $0.408 |
Balance at the start of the half-year 73,334 2,150,000 89,999 150,000 200,000 250,000 50,000 200,000 200,000 400,000 50,000 30,000 225,000 50,000 2,075,000 200,000 200,000 100,000 200,000 2,775,000 - |
Granted - - - - - - - - - - - - - - - - - - - - 350,000 |
Exercised - - - - - - - - - - - - - - - - - - - - - |
Expired/ forfeited/ other (73,334) (350,000) - (150,000) - - - - (200,000) (266,667) - (30,000) - - (508,335) (133,334) - - - (983,334) - |
Balance at the end of the half-year - 1,800,000 89,999 - 200,000 250,000 50,000 200,000 - 133,333 50,000 - 225,000 50,000 1,566,665 66,666 200,000 100,000 200,000 1,791,666 350,000 |
| 9,668,333 | 350,000 | - | (2,695,004) | 7,323,329 |
17
Mach7 Technologies Limited Notes to the financial statements 31 December 2025
Note 15. Share-based payments (continued)
For the options granted during the current financial half-year, the valuation model inputs used to determine the fair value at the grant date, are as follows:
| Share price | Exercise | Expected | Dividend | Risk-free | Fair value | ||
|---|---|---|---|---|---|---|---|
| Grant date | Expiry date | at grant date | price | volatility | yield | interest rate | at grant date |
| 04/08/2025 |
04/08/2030 | $0.380 | $0.408 | 52.00% | - | 3.56% | $0.179 |
| Performance |
rights |
The Company has on issue 2,455,856 (June 2025: 1,189,667) performance rights of which 466,667 expires on 30 September 2026 and 1,989,189 issued during the period to Teri Thomas, Chief Executive Officer and Managing Director, with expiry date of 31 December 2028.
Summaries of performances rights is as below:
| Summaries of performances rights is as below: |
||
|---|---|---|
| Outstanding at the beginning of the financial year Granted Expired/Forfeited |
Consolidated 31 December 2025 1,189,667 1,989,189 (723,000) |
30 June 2025 1,825,185 800,000 (1,435,518) |
| 2,455,856 | 1,189,667 |
During the period, the consolidated entity issued 1,989,189 issued performance rights to Teri Thomas, Chief Executive Officer and Managing Director, with various vesting conditions relating to service period and performance hurdles. The fair value of the performance rights was determined a hybrid model licensed by Hoadley using multiple share price targets, with the following inputs:
| Number of performance rights granted | 1,989,189 |
|---|---|
| Grant date | 4 December 2025 |
| Performance period | 1 July 2025- 30 June 2028 |
| Weighted average share price at date of grant ($) | $0.476 |
| Weighted average exercise price ($) | - |
| Weighted average volatility % | 50% |
| Weighted average risk-free rate % | 4.053% |
| Vesting conditions with 30 June 2028 target date | Note 1 |
| Fair value per performance right $ | 0.263 |
| Fair value of performance right $ | 523,580 |
Note 1- Vesting Condition:
Market-based vesting condition linked to Total Shareholder Return for the period 1 July 2025 to 30 June 2028.
18
Mach7 Technologies Limited Directors' declaration 31 December 2025
In the directors' opinion:
-
the attached financial statements and notes comply with the Corporations Act 2001 (Cth), Australian Accounting Standard AASB 134 'Interim Financial Reporting', the Corporations Regulations 2001 and other mandatory professional reporting requirements;
-
the attached financial statements and notes give a true and fair view of the Company's financial position as at 31 December 2025 and of its performance for the financial half-year ended on that date; and
-
there are reasonable grounds to believe that the Company will be able to pay its debts as and when they become due and payable.
Signed in accordance with a resolution of directors made pursuant to section 303(5)(a) of the Corporations Act 2001 (Cth).
On behalf of the Directors
_________ Robert Bazzani Chairman
27 February 2026
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RSM Australia Partners
Level 27, 120 Collins Street Melbourne VIC 3000 PO Box 248 Collins Street West VIC 8007 T +61 (0) 3 9286 8000 F +61 (0) 3 9286 8199
INDEPENDENT AUDITOR’S REVIEW REPORT To the Members of Mach7 Technologies Limited
www.rsm.com.au
Conclusion
We have reviewed the accompanying half-year financial report of Mach7 Technologies Limited (“Company”) and its controlled entities (“Group”) which comprises the consolidated statement of financial position as at 31 December 2025, the consolidated statement of profit or loss and other comprehensive income, consolidated statement of changes in equity and consolidated statement of cash flows for the half-year ended on that date, notes comprising a summary of material accounting policies and other explanatory information, and the directors’ declaration of the Group at the half-year end.
Based on our review, which is not an audit, we have not become aware of any matter that makes us believe that the half-year financial report of Mach7 Technologies Limited is not in accordance with the Corporations Act 2001 including:
-
(a) giving a true and fair view of the Group’s financial position as at 31 December 2025 and of its performance for the half-year ended on that date; and
-
(b) complying with Accounting Standard AASB 134 Interim Financial Reporting and the Corporations Regulations 2001 .
Basis for Conclusion
We conducted our review in accordance with ASRE 2410 Review of a Financial Report Performed by the Independent Auditor of the Entity . Our responsibilities are further described in the Auditor’s Responsibilities for the Review of the Financial Report section of our report. We are independent of the Company in accordance with the auditor independence requirements of the Corporations Act 2001 and the ethical requirements of the Accounting Professional and Ethical Standards Board’s APES 110 Code of Ethics for Professional Accountants (including Independence Standards) (the Code) that are relevant to our audit of the annual financial report in Australia. We have also fulfilled our other ethical responsibilities in accordance with the Code.
We confirm that the independence declaration required by the Corporations Act 2001 , which has been given to the directors of Mach7 Technologies Limited, would be in the same terms if given to the directors as at the time of this auditor’s report.
Directors' Responsibility for the Half-Year Financial Report
The directors of the Mach7 Technologies Limited are responsible for the preparation of the half-year financial report that gives a true and fair view in accordance with Australian Accounting Standards and the Corporations Act 2001 and for such internal control as the directors determine is necessary to enable the preparation of the half-year financial report that is free from material misstatement, whether due to fraud or error.
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20
THE POWER OF BEING UNDERSTOOD AUDIT | TAX | CONSULTING
RSM Australia Partners is a member of the RSM network and trades as RSM. RSM is the trading name used by the members of the RSM network. Each member of the RSM network is an independent accounting and consulting firm which practices in its own right. The RSM network is not itself a separate legal entity in any jurisdiction. RSM Australia Partners ABN 36 965 185 036
Liability limited by a scheme approved under Professional Standards Legislation
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Auditor’s Responsibility for the Review of the Financial Report
Our responsibility is to express a conclusion on the half-year financial report based on our review. We conducted our review in accordance with Auditing Standard on Review Engagements ASRE 2410 Review of a Financial Report Performed by the Independent Auditor of the Entity , in order to state whether, on the basis of the procedures described, we have become aware of any matter that makes us believe that the half-year financial report is not in accordance with the Corporations Act 2001 including: giving a true and fair view of the Group’s financial position as at 31 December 2025 and its performance for the half-year ended on that date; and complying with Accounting Standard AASB 134 Interim Financial Reporting and the Corporations Regulations 2001 .
A review of a half-year financial report consists of making enquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with Australian Auditing Standards and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.
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RSM AUSTRALIA PARTNERS
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M PARAMESWARAN
Partner
Melbourne, Victoria Dated: 27 February 2026
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