X2M Connect H1 revenue climbs 45% on IoT momentum

Australian IoT technology leader X2M Connect (ASX:X2M) announced a robust financial performance for the half-year ended Dec. 31, 2025, reporting a 45% surge in revenue to $4.9 million.

The significant climb from the $3.4 million recorded in the prior corresponding period highlights the company’s pivot toward high-margin software and maintenance services.

Alongside revenue growth, gross profit rose 35% to $2.1 million, while adjusted EBITDA losses showed a 10% improvement, narrowing to $1.2 million.

The company’s expansion into Asian markets remains a primary catalyst for this momentum.

X2M recently secured multiple municipal water digitization contracts in South Korea and marked its entry into the Japanese water market through a landmark partnership with Azbil Kimmon.

Domestically and abroad, the enterprise and government customer base grew by 10%, now totaling 88 entities.

Operationally, the company reached a milestone by deploying the first 30,000 units of its HelpMe public safety devices under a massive 100,000-unit contract.

CEO Mohan Jesudason noted that these results validate the firm’s shift away from low-margin hardware toward sustainable, SaaS-driven revenue.

Management anticipates a "substantial reduction" in full-year EBITDA losses as they continue to capitalise on APAC government commitments to smart city initiatives and utility digitisation.