Raiz Invest hits profit stride with record revenue growth

Raiz Invest has posted a record full year profit of $2.8m, boosted by 15 per cent revenue growth and funds under management nearing $2 billion

Micro-investing pioneer Raiz Invest (ASX: RZI) has wrapped up a breakout year, lifting revenue 15 per cent to $24.1 million and powering underlying earnings before interest, tax, depreciation and amortisation (EBITDA) 147 per cent higher to $2.8 million.

The company says the record result marks an inflection point in its push to make investing accessible for all Australians and underscores its ability to profitably scale its business model. The numbers also represents Raiz’s strongest operating performance to date.

Funds under management has swelled 30 per cent to $1.82 billion by June, driven by record net inflows of $210M – double last year’s tally – and buoyant markets. Managed funds have continued to boom having reached almost $2 billion, currently sitting at $1.95 billion.

Active customers rose seven per cent to 329,277 during the year, with momentum continuing into the new financial period as numbers edged past 333,000 this week.

Average revenue per user also jumped nine per cent to $75.67, supported by the rapid uptake of higher-value products such as Raiz Plus, Raiz Super and in particular, the popular Raiz Kids product, where funds under management grew by a massive 81 per cent.

Within those products, funds under management in Raiz Super rose 34 per cent to $388M, Raiz Plus surged 67 per cent to $297M and Raiz Kids hit $79M.

Our customers are engaging our platform with a longer-term wealth focus. They are increasingly adopting multiple Raiz products, continuing to deposit funds throughout the ups and downs of the market cycle and growing their average balances. We enter FY26 with positive momentum and we continue to pursue additional organic growth strategies and M&A opportunities.

Raiz Invest Managing Director and CEO Brendan Malone

Malone added that innovation has proved central to the Raiz’s growth.

The company has rolled out a suite of new offerings, including Raiz Lite, designed for first-time investors and Raiz Jars, which lets users set and track savings goals. An education arm, Raiz Academy, is due to launch in September, while its Raiz Your Game podcast has already notched up more than 355,000 listens since its March debut.

Expansion of Raiz Plus now gives investors a choice of 160 individual shares, ETFs, Bitcoin and managed funds, with the same options also available to Raiz Super customers.

Meanwhile, the company’s automated Raiz Rewards program – allowing investors to convert loyalty points into cold hard investment capital - added more than 65 merchants, embedding cashback directly into portfolios.

To keep its growth engine humming, Raiz has teamed up with global heavyweight State Street Investment Management. The partnership will kick off with a September marketing blitz and plans for fresh products, including ETFs and retirement portfolios, while the pair also build a customer sentiment index to tap powerful data insights.

The fintech’s efforts this year have not gone unnoticed. Raiz bagged a swag of awards including Canstar’s Innovation Excellence prize for its Plus portfolios, The company also took out Finder’s gong for customer satisfaction in the micro-investing apps category and was named among CNBC’s Top Fintech Companies globally.

Raiz ended the year with $13M cash in the bank, no debt and positive free cash flow of $900,000 despite increased investment in marketing systems and headcount. A $3.9M equity raise during the year helped fund AI-driven marketing tools and bolster growth capacity.

Looking ahead, Raiz has provided a 2026 underlying EBITDA guidance of between $4.5M and $5.5M, underpinned by continued growth in customers, funds under management and net flows.

With more than 333,000 Australians already signed on, award-winning products, and heavyweight partners in its corner, Raiz is proving that the once-niche concept of “round-up investing” has matured into a serious contender in the wealth-tech space.

Is your ASX-listed company doing something interesting? Contact: office@bullsnbears.com.au