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.