# Iress (IRE.AU)

Canonical: https://gigainvestors.com/s/IRE.AU

Analysis as of: 2026-10-16T07:45:27.694Z. Financial observations: FY1997–FY2025.

Listing currency: AUD. Reporting currency: AUD.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: pass; earnings resilience is evidence only). Published buy qualification: no.

Share price: AUD 5.44 per share; close as of 2026-10-15.

Estimated value: low AUD 4.45 per share, central AUD 5.04 per share, high AUD 5.82 per share. Buy at or below the central value AUD 5.04 per share. Valuation as of 2026-10-16T07:45:27.694Z; scenarios are not confidence intervals.

Expected annual return: 9.5% at the stated quote. About 9.5% a year at today's price (required return 10.0%). required return 10.0% a year (10% floor; AU 10-year bond 5.2% + 4 points).

## Checklist

### understandable: pass

- 2 revenue declines in the last 10 years (informational)

- Financial history: 10 years

- Years with declining revenue: 2

- Years with a net loss: 1

- Operating margin variation: 0.34×

Chart: Operating margin; fiscal year observations.

- FY2016: 0.23×

- FY2017: 0.20×

- FY2018: 0.22×

- FY2019: 0.19×

- FY2020: 0.17×

- FY2021: 0.16×

- FY2022: 0.17×

- FY2023: 0.04×

- FY2024: 0.09×

- FY2025: 0.16×

### moat: fail

- Recent gross margin fell 4.4pp below the typical margin (limit 4pp)

- ROIC, median of available years: 43.0%

- ROIC, second-lowest year: 32.1%

- Typical minus recent gross margin: 4.4 pp

- Typical gross margin (annual median): 25.0%

- Recent gross margin (lower of latest and 3-year median): 20.7%

- Years with nonpositive capital: 0

- Capital spending / revenue: 3.8%

- ROIC including acquisitions, ten-year median: 11.2%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2016: 55.2%

- FY2017: 47.9%

- FY2018: 54.5%

- FY2019: 46.2%

- FY2020: 36.6%

- FY2021: 32.1%

- FY2022: 36.0%

- FY2023: 11.9%

- FY2024: 39.9%

- FY2025: 54.8%

### economics: pass

- Owner earnings / net income, 5-yr: 1.27×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: AUD 199M

- Net income, five-year total: AUD 157M

- Return on incremental invested capital: >100%

- Working capital / revenue, annual change: -0.6 pp

- Working capital / revenue, change between three-year averages: -3.9 pp

- Working capital / revenue, final three-year average: 4.8%

Chart: Annual owner cash / profit; fiscal year observations.

- FY2021: 1.06×

- FY2022: 0.97×

- FY2023: 0.86×

- FY2024: 1.15×

- FY2025: 1.08×

### management: pass

- Historical market-dollar context (not the management verdict): 2016 to 2025 (9 years)

- potential debt-funded buybacks (informational)

- buybacks unrelated to price (informational)

- ROIC first 3 years vs last 3 years: 54.5% vs 39.9%

- Per-share earnings: 0.35 to 0.41 (three-year endpoint medians)

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: 2.0%

- Ordinary dilution, 5-year annual growth: 0.4%

- Market cap gain: AUD -319M

- Cumulative retained earnings: AUD -42M

- Diluted shares, 10-year annual growth: 2.0%

- Diluted shares, 5-year annual growth: 0.4%

- $1 test, starting fiscal year: FY2016

- $1 test, ending fiscal year: FY2025

- Per-share value growth: 2.1%

- Per-share value change: AUD 0.06

- Per-share value, starting three-year median: AUD 0.35

- Per-share value, ending three-year median: AUD 0.41

- Buybacks concentrated in cheaper years (correlation): -0.50

- Average buyback yield: 1.5%

- Buyback history: 5 years

- Debt-funded buybacks: Yes

- Acquisition spending: AUD 861M

- Cumulative net income, 10 years: AUD 464M

- ROIC, first three-year median: 54.5%

- ROIC, last three-year median: 39.9%

Chart: Earnings per share; fiscal year observations.

- FY2016: AUD 0.36

- FY2017: AUD 0.35

- FY2018: AUD 0.37

- FY2019: AUD 0.38

- FY2020: AUD 0.31

- FY2021: AUD 0.39

- FY2022: AUD 0.28

- FY2023: AUD -0.76

- FY2024: AUD 0.46

- FY2025: AUD 0.41

### accounting: pass

- Sloan accruals: 2.5%

- Receivables to sales index (DSRI): 1.09×

- Restructuring years, last five: 0

- Stock compensation / operating cash flow: 0.0%

- Earnings backed by cash: Yes

- Operating cash / earnings: 0.79×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 1.09×

Chart: Sloan accruals; fiscal year observations.

- FY2016: -4.7%

- FY2017: -3.6%

- FY2018: -5.3%

- FY2019: -4.7%

- FY2020: -6.5%

- FY2021: -2.7%

- FY2022: -4.1%

- FY2023: -25.4%

- FY2024: -2.2%

- FY2025: 2.5%

## Holders

## Price story

Down 56% since Dec 2021 · sales -7.4%

Story as of 2026-10-16T10:00:13.404Z; price observation 2026-10-15.

Price needs cash profits to grow 1.9% a year for ten years

### Sales · FY2024–2025

sales -7.4%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: AUD 390M 

- FY2017: AUD 430M 

- FY2018: AUD 465M 

- FY2019: AUD 509M 

- FY2020: AUD 543M 

- FY2021: AUD 596M 

- FY2022: AUD 616M 

- FY2023: AUD 626M 

- FY2024: AUD 601M 

- FY2025: AUD 556M 

### Gross margin · FY2025

gross margin 26.7%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: 34.1% 

- FY2017: 32.5% 

- FY2018: 34.3% 

- FY2019: 22.9% 

- FY2020: 23.4% 

- FY2021: 23.3% 

- FY2022: 27.2% 

- FY2023: 15.4% 

- FY2024: 20.7% 

- FY2025: 26.7% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in software application; annual sales are AUD 556.3 million.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:45:27.694Z); FY2025: revenue 556319000; grossProfit 148631000; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); IRE.AU: Iress Limited engages in the designing and developing software and services for the financial services industry in the Asia Pacific, the United Kingdom and Europe, South Africa, and North America. It offers client management, business automation, portfolio data, research, financial planning tools, scaled advice journeys, digital advice solutions, digital client solutions, data-driven compliance and analytics, regulatory obligations management solutions, and revenue and payments management; trading interfaces, order and execution management, smart order routing, FIX services, portfolio management, analytical tools, algorithmic trading, post trade solutions, market data, trading and market data APIs; and mortgage comparison, mortgage advice, lender connectivity, quoting, comparison, application processing services. The company also provides portfolio management, order and execution management, FIX services, analytical tools, connectivity, market data, order management, portfolio management, client relationship management, and wealth management services. It offers its solutions to institutional and independent advisory clients; institutional sell-side, retail, and online brokers; investment, fund, private client advisers, and wealth managers; retail and investment platforms; superannuation funds; and mortgage intermediaries, networks, and Institutional and independent advisory. The company was formerly known as IRESS Market Technology Limited and changed its name to IRESS Limited in May 2012. The company was incorporated in 1993 and is headquartered in Melbourne, Australia.

### Why customers stay

Margins ranged from 15.4% to 26.7% during 2023–25; it earns 43% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:45:27.694Z); FY2023: grossProfit / revenue = 15.4%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:45:27.694Z); FY2024: grossProfit / revenue = 20.7%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:45:27.694Z); FY2025: grossProfit / revenue = 26.7%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:45:27.694Z); 10-year return on capital observations [[2016,0.5521598314696847],[2017,0.4789628687352442],[2018,0.5454369285460734],[2019,0.46155923074987465],[2020,0.366207086058019],[2021,0.3211074018703054],[2022,0.3600019632224133],[2023,0.11864112416426133],[2024,0.3985923206756416],[2025,0.5475284747638355]]; median 0.4300757757127581. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Paid dividends in 10 of 10 years; bought back AUD 940000 of shares.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:45:27.694Z); FY2016: growth capex 0; upkeep 7240000; owner earnings 73275000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:45:27.694Z); FY2017: growth capex 0; upkeep 18945000; owner earnings 65885000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:45:27.694Z); FY2018: growth capex 0; upkeep 22814000; owner earnings 68055000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:45:27.694Z); FY2019: growth capex 0; upkeep 12967000; owner earnings 77898000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:45:27.694Z); FY2020: growth capex 0; upkeep 23511000; owner earnings 57799400. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:45:27.694Z); FY2021: growth capex 0; upkeep 24130000; owner earnings 78075200. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:45:27.694Z); FY2022: growth capex 0; upkeep 27609000; owner earnings 50853600. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:45:27.694Z); FY2024: growth capex 0; upkeep 21665000; owner earnings 102204600. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:45:27.694Z); FY2025: growth capex 0; upkeep 13011000; owner earnings 85350000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:45:27.694Z); Dividend observations: [[2016,68376000],[2017,74644000],[2018,75359000],[2019,75882000],[2020,80722000],[2021,85717000],[2022,86896000],[2023,55424000],[2024,55000],[2025,39249000]]. Zero only counted when supported by a complete cash-flow statement.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:45:27.694Z); FY2025: cash repurchases 940000 AUD.

### Are managers owners

Insiders own 1.2% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); IRE.AU SharesStats.PercentInsiders = 1.176 percentage points; cache date 2026-10-16.

### What the price says

The price assumes cash profits grow 1.9% yearly over ten years; actual growth was 1.7%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:45:27.694Z); Ten-year compound average after fade. Initial solved rate 0.014069539378056321. Price 5.44; FX 1; discount 0.1; same standard ten-year fade to terminal 0.03. FY2015 owner earnings/share 0.3699078927662124 → FY2025 0.4385482639449099. Closing-price date 2026-10-15.

## Monthly share-price history (AUD per share)

- 2016-10: AUD 11.35 per share

- 2016-11: AUD 11.54 per share

- 2016-12: AUD 11.87 per share

- 2017-01: AUD 11.30 per share

- 2017-02: AUD 11.85 per share

- 2017-03: AUD 11.71 per share

- 2017-04: AUD 12.45 per share

- 2017-05: AUD 12.00 per share

- 2017-06: AUD 12.69 per share

- 2017-07: AUD 12.91 per share

- 2017-08: AUD 12.12 per share

- 2017-09: AUD 11.39 per share

- 2017-10: AUD 11.75 per share

- 2017-11: AUD 10.88 per share

- 2017-12: AUD 11.58 per share

- 2018-01: AUD 12.02 per share

- 2018-02: AUD 10.38 per share

- 2018-03: AUD 9.49 per share

- 2018-04: AUD 10.47 per share

- 2018-05: AUD 10.35 per share

- 2018-06: AUD 12.04 per share

- 2018-07: AUD 11.56 per share

- 2018-08: AUD 13.44 per share

- 2018-09: AUD 12.72 per share

- 2018-10: AUD 10.85 per share

- 2018-11: AUD 11.35 per share

- 2018-12: AUD 11.12 per share

- 2019-01: AUD 11.75 per share

- 2019-02: AUD 12.00 per share

- 2019-03: AUD 13.07 per share

- 2019-04: AUD 14.33 per share

- 2019-05: AUD 13.61 per share

- 2019-06: AUD 13.93 per share

- 2019-07: AUD 14.00 per share

- 2019-08: AUD 12.50 per share

- 2019-09: AUD 11.58 per share

- 2019-10: AUD 12.74 per share

- 2019-11: AUD 13.01 per share

- 2019-12: AUD 13.04 per share

- 2020-01: AUD 14.00 per share

- 2020-02: AUD 11.86 per share

- 2020-03: AUD 10.42 per share

- 2020-04: AUD 11.35 per share

- 2020-05: AUD 11.21 per share

- 2020-06: AUD 10.95 per share

- 2020-07: AUD 10.27 per share

- 2020-08: AUD 10.72 per share

- 2020-09: AUD 9.57 per share

- 2020-10: AUD 9.17 per share

- 2020-11: AUD 10.41 per share

- 2020-12: AUD 10.61 per share

- 2021-01: AUD 10.00 per share

- 2021-02: AUD 9.19 per share

- 2021-03: AUD 9.18 per share

- 2021-04: AUD 10.08 per share

- 2021-05: AUD 10.69 per share

- 2021-06: AUD 12.91 per share

- 2021-07: AUD 14.05 per share

- 2021-08: AUD 14.79 per share

- 2021-09: AUD 11.52 per share

- 2021-10: AUD 12.00 per share

- 2021-11: AUD 12.39 per share

- 2021-12: AUD 12.50 per share

- 2022-01: AUD 11.38 per share

- 2022-02: AUD 10.36 per share

- 2022-03: AUD 11.94 per share

- 2022-04: AUD 11.04 per share

- 2022-05: AUD 10.47 per share

- 2022-06: AUD 11.51 per share

- 2022-07: AUD 11.35 per share

- 2022-08: AUD 11.30 per share

- 2022-09: AUD 8.92 per share

- 2022-10: AUD 10.15 per share

- 2022-11: AUD 9.51 per share

- 2022-12: AUD 9.55 per share

- 2023-01: AUD 9.90 per share

- 2023-02: AUD 9.31 per share

- 2023-03: AUD 9.92 per share

- 2023-04: AUD 10.30 per share

- 2023-05: AUD 10.23 per share

- 2023-06: AUD 10.25 per share

- 2023-07: AUD 10.38 per share

- 2023-08: AUD 6.40 per share

- 2023-09: AUD 5.82 per share

- 2023-10: AUD 4.99 per share

- 2023-11: AUD 7.03 per share

- 2023-12: AUD 8.15 per share

- 2024-01: AUD 8.20 per share

- 2024-02: AUD 7.85 per share

- 2024-03: AUD 8.29 per share

- 2024-04: AUD 8.58 per share

- 2024-05: AUD 8.01 per share

- 2024-06: AUD 8.05 per share

- 2024-07: AUD 10.63 per share

- 2024-08: AUD 9.68 per share

- 2024-09: AUD 9.92 per share

- 2024-10: AUD 9.95 per share

- 2024-11: AUD 9.29 per share

- 2024-12: AUD 9.31 per share

- 2025-01: AUD 9.41 per share

- 2025-02: AUD 7.97 per share

- 2025-03: AUD 8.10 per share

- 2025-04: AUD 7.95 per share

- 2025-05: AUD 8.66 per share

- 2025-06: AUD 8.00 per share

- 2025-07: AUD 7.94 per share

- 2025-08: AUD 8.72 per share

- 2025-09: AUD 8.82 per share

- 2025-10: AUD 8.86 per share

- 2025-11: AUD 9.30 per share

- 2025-12: AUD 8.49 per share

- 2026-01: AUD 8.16 per share

- 2026-02: AUD 7.46 per share

- 2026-03: AUD 6.97 per share

- 2026-04: AUD 6.71 per share

- 2026-05: AUD 6.01 per share

- 2026-06: AUD 6.18 per share

- 2026-07: AUD 6.82 per share

- 2026-08: AUD 5.68 per share

- 2026-09: AUD 5.48 per share

- 2026-10: AUD 5.48 per share

## Annual estimated value (AUD per share)

- FY2016: low AUD 4.30 per share, central AUD 4.88 per share, high AUD 5.65 per share

- FY2017: low AUD 4.42 per share, central AUD 5.01 per share, high AUD 5.80 per share

- FY2018: low AUD 4.78 per share, central AUD 5.42 per share, high AUD 6.27 per share

- FY2019: low AUD 5.08 per share, central AUD 5.76 per share, high AUD 6.67 per share

- FY2020: low AUD 5.02 per share, central AUD 5.68 per share, high AUD 6.55 per share

- FY2021: low AUD 5.28 per share, central AUD 5.97 per share, high AUD 6.89 per share

- FY2022: low AUD 4.98 per share, central AUD 5.63 per share, high AUD 6.50 per share

- FY2023: low AUD 4.25 per share, central AUD 4.81 per share, high AUD 5.55 per share

- FY2024: low AUD 3.90 per share, central AUD 4.40 per share, high AUD 5.07 per share

- FY2025: low AUD 4.32 per share, central AUD 4.88 per share, high AUD 5.64 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

Prior published observations retained from 2026-10-15T06:51:11.218Z where newer inputs omit a numeric field or fiscal period.

## Sources

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.

## Reported holder observations