Blackpearl Group increases ARR to NZ$27.2M

·       Blackpearl Group generated NZ$27.2 million in annual recurring revenue for Q1 FY27, representing a 95% year-on-year increase.

·       The company's stock held steady following the news while management outlined plans to reduce EBITDAF losses across subsequent quarters.

·       Strategic focus shifted from aggressive top-line growth towards bottom-line profitability and optimising revenue quality.

Data technology firm Blackpearl Group (ASX:BPG) reported a 95% year-on-year increase in annual recurring revenue to reach NZ$27.2 million for the first quarter of FY27.

The quarterly total represents a modest 2% sequential increase from the prior quarter, reflecting a deliberate shift towards revenue quality optimisation rather than rapid expansion.

Because no direct executive quote was included in the trading update, the company instead emphasised through its commentary that Q1 delivered a planned rebalancing towards bottom-line performance.

Blackpearl Group stated that EBITDAF losses are expected to narrow from NZ$4.5 million in Q1 to between NZ$2.5 and NZ$3 million in Q2 and further to NZ$1–NZ$1.5 million in Q3 FY27.

The group expects this margin path to be supported by permanent cost savings from its B2B Rocket integration alongside operational efficiency gains.

Following the announcement, the Blackpearl Group share price was unchanged at $0.39.

The New Zealand-headquartered business utilises its proprietary Pearl Engine to power data intelligence and AI sales automation products for small and medium-sized enterprises.

Its growth strategy relies on scaling software-as-a-service offerings to expand customer revenue while systematically driving down acquisition costs.