SiteMinder Limited (ASX:SDR) has reported accelerated growth for the twelve months ended 30 June 2025 (FY25), supported by strong property additions and the rollout of its Smart Platform. For the first time, the company delivered both positive underlying earnings before interest, taxes, depreciation and amortisation (EBITDA) and free cash flow (FCF), marking a key milestone ahead of FY26.
Annual recurring revenue (ARR) rose 30.6% to A$273.0 million, with growth accelerating to 27.2% on a constant currency (cc), organic basis. Subscription ARR increased 19.3% to A$158.9 million, while Transaction ARR jumped 50.3% to A$114.1 million, both improving on first-half momentum.
Total revenue increased 17.7% to A$224.3 million, with second-half growth accelerating to 21.0% (cc, organic). Subscription revenue grew 13.6% to A$139.1 million, while transactional revenue, boosted by Smart Platform contributions, rose 24.8% to A$85.3 million.
Chief executive officer and managing director Sankar Narayan said: “Since our 2021 IPO, SiteMinder has evolved from being the industry's leading channel manager to an integrated revenue platform. The commercial release of our Smart Platform strategy delivers the seamless, integrated approach to revenue maximization that hoteliers have been seeking.
"The market response demonstrates the strength of this strategy. Channels Plus achieved the strongest product launch in SiteMinder's history, with over 4,000 properties signing up. The Smart Distribution Program is delivering measurable commercial outcomes for hoteliers and distribution partners, while Dynamic Revenue Plus has received positive feedback since its March release."
Operational highlights
Net property additions reached 5,600, bringing total properties to 50,100, with growth weighted towards larger hotel groups. Lifetime value to customer acquisition cost (LTV/CAC) improved from 5.4x in FY24 to 6.2x, supported by stronger product uptake and reduced churn.
Underlying subscription gross margin improved to 86.4%, while transaction gross margin rose to 33.7%. Underlying group gross margin was steady at 66.3%.
Profitability
Underlying EBITDA increased to A$14.3 million, from A$0.9 million in FY24, while reported EBITDA was A$7.1 million after restructuring and legal costs. Underlying net loss narrowed to A$17.2 million.
Importantly, SiteMinder delivered its first positive underlying FCF of A$4.7 million, compared to an outflow of A$6.4 million in FY24. Available funds stood at A$64.0 million.
Smart Platform scaling
All three pillars of the Smart Platform – Smart Distribution Program, Channels Plus and Dynamic Revenue Plus – were released commercially during FY25. Channels Plus signed up over 4,000 properties and 40 partners, while Dynamic Revenue Plus launched with enhancements including integration with IDeaS and localised demand data insights.
Outlook
SiteMinder expects to sustain strong ARR and revenue growth in FY26 while improving profitability. Scaling Smart Platform adoption, expanding products and extending global market reach remain core priorities.
"These results, alongside strong property additions of 5.6k across our broader platform, demonstrates our execution capability. ARR growth (cc,organic) accelerated to 27.2% from 21.3% the previous year, and for the first time we simultaneously achieved positive full year underlying EBITDA and free cash flow. Since our IPO, we've improved underlying EBITDA by $36.7 million - from a $22.4 million loss to $14.3 million profit - while maintaining strong revenue growth. This demonstrates our ability to scale efficiently and validates our unit economics model," Narayan said.
"I’m proud of the strong operational foundation and business momentum we have in place. This will enable us to continue to scale the Smart Platform initiatives and sustain growth in FY26.”