Catapult Sports Ltd

FY '26 reported ACV was $133.8 million, up 28% constant currency, or 18% organic when adjusting for acquired ACV from Perch and Impect. Revenue was $141 million, up 19% year over year, and management EBITDA was $24.7 million to $25 million, up about $10 million year over year, for a margin of 17.6% to 18%. ACV retention was 96.1%, ACV per Pro team exceeded $30,000, and free cash flow excluding transaction costs was $6.5 million versus $8.6 million in the prior year. Looking ahead to FY '27, management said it expects strong ACV growth, low churn, continued improvement in cost margins toward targets, and higher free cash flow; it did not give a specific revenue or EBITDA target on the call.

Will Lopes framed FY '26 as a transformational year driven by scaling, acquisitions, new product launches, and disciplined execution. He emphasized that Catapult has evolved from a wearable subscription business into a broader platform spanning video analysis, scouting, strength and conditioning, and AI-enabled workflows. His tone was confident and upbeat, repeatedly pointing to a widening moat, a large market opportunity, and progress toward the long-term goal of $1 billion in ACV.

Bob Cruickshank highlighted the core financial metrics and the operating leverage behind them: ACV of $133.8 million, revenue growth of 19%, management EBITDA of $24.7 million, and a 96.1% retention rate. He said variable costs ended FY '26 at 47% of revenue, near the 45% target, with contribution margin at 53%, and fixed costs fell to 35% of revenue. He also noted free cash flow excluding transaction costs of $6.5 million, cash of over $53 million, no outstanding debt, $20 million of trade balance at March 31 that was mostly collected after year-end, and that acquisition-related transaction fees were about $2.8 million.

Analysts pressed management on how much of ACV growth came from Perch and Impect versus organic growth, and Bob said the $133.8 million ACV figure is reported currency while Impect contributed about $8 million; Will also said most of the added teams were organic, roughly 80%. Questions also focused on whether FY '27 could reach the 45% variable cost target and Rule of 40; Will said hitting 45% next year would not be surprising, though he stopped short of committing to it, and said the company wants to reach Rule of 40 as fast as possible. Analysts asked about Impect, media revenue, and AI products; management said Impect feedback has been very positive with major deals already signed, media is still expected to run at $10 million to $12 million long term, and AI efforts are focused first on the core Pro sports market rather than adjacent markets.