ikeGPS Group Limited

For the 9 months year-to-date, exit run-rate ARR was NZD 21.1 million, up 35% year over year, or 36% in constant currency. Recognized subscription revenue was NZD 14.1 million year-to-date, up 38%, and third-quarter subscription revenue was about NZD 5.3 million, up 43% year over year. Third-quarter revenue was up around 11% year over year, and year-to-date revenue grew around 7%; gross margin improved to 79% from 68%. Management did not give full company EPS figures. Forward-looking commentary pointed to continued 35% subscription growth coverage in the pipeline, fourth-quarter sales starting strongly, and R&D spend increasing in the next quarter as PoleOS hiring ramps; they also said large transactional deal timing may be March or April and that a 60- to 90-day beta would likely be used for Module 1 before market introduction.

Glenn Milnes’ commentary emphasized that the company is still seeing strong demand in its core subscription products, especially PoleForeman and the broader ecosystem around it. He said the opportunity within the existing client base remains significant, take-up is still accelerating, and the pipeline suggests no slowdown in the next 6 to 12 months. His tone was constructive and confident, with a clear focus on product expansion, platform strategy, and using AI to speed development.

Paul Cardosi highlighted a strong quarter driven by subscription growth, improved gross margins, and a healthier operating profile. He cited 35% ARR growth to NZD 21.1 million, 38% year-to-date subscription revenue growth to NZD 14.1 million, 43% third-quarter subscription growth, and gross margin expansion to 79% from 68%. He also said services margins improved after restructuring and offshoring work to a Mexican team, that R&D spending will tick up as PoleOS hires come on board, and that the company’s capital position is strong enough that any future raise would likely be for strategic reasons rather than financial need.

Analysts focused on the weaker transactional/services business, asking when it might recover and why margins there have been so volatile. Management said funding delays tied to U.S. broadband legislation are starting to ease, with more deal activity in the last couple of months and possible recovery timing around March or April, while margin volatility reflected second-quarter restructuring and the first full quarter of offshore execution. Questions also covered PolePilot pricing and competition, with management saying about 30 customers have licensed it without pushback and feedback has been very positive, and they have not yet seen a comparable product emerge. On the new Module 1 product, management said a 60- to 90-day beta is likely before launch, and AI adoption may speed development and reduce future cost, though no revised budget was given.