PaySauce Half Year Result and Interim Report

FINANCIAL RESULTS FOR THE HALF YEAR TO THE END OF SEPTEMBER 2025
PaySauce is poised for an acceleration
in growth
Lower Hutt, New Zealand – 10 November 2025

Software-as-a-Service fintech PaySauce (NZX: PYS) today announces consistent
growth in revenue and solid earnings and cash flow continue to support the
company’s strategy to take a payroll solution tailored to the needs of
micro-businesses to the world.

This strong domestic foundation has enabled continued reinvestment into the
business and the launch at the end of September of a pilot in Australia, a market of
around 700,000 micro-businesses that remains largely underserved.

The launch marks a major milestone for the company opening the door to a new
market while reinforcing our core business. As we enter Australia, we will be going
hard — learning from the market, refining our approach, and building a playbook
for broader international expansion.

PaySauce notes that the increased likelihood of further OCR cuts will push the
achievement of the target of $10 million ARR into the first quarter of FY27.


1H 2026 FINANCIAL HIGHLIGHTS:
● Recurring revenue rises 5% to 4.5 million, supported by a strong 15% rise in
processing fee income to $3.5 million; period end ARR of $9.2 million
● Interest income falls to $967k (down 21% on 1H 2025) following Reserve
Bank cuts to wholesale interest rates and despite an 18% increase in funds
held for customers to $43 million
● Total customer lifetime value rises 20% to $60.5 million following a
reduction in customer churn and reduced costs to serve
● EBTDA rose 42% to $779k lifted by revenue growth and efficiency gains
1
● Net profit before tax more than doubles to $302k


Chair Shelley Ruha said: “The past six months have marked a watershed period in
PaySauce’s evolution. Building on two years of focused innovation and
development, we brought our Global Payroll Platform into production with the
launch of our payroll pilot in Victoria, Australia.

1
EBTDA is a non-GAAP measure of financial performance. It is defined and reconciled to net
profit before tax on page 15 of the company’s report released to the NZX today.

“PaySauce is now on the threshold of a new phase of growth. The pilot in Australia
is but the first step. We are initially focused on the Australian dairy sector, its more
than 4,000 dairy farms and its workforce of 46,000 people.

“Longer term we see significant potential to provide payroll to Australia’s more
than 700,000 micro businesses that remain poorly served by the existing payroll
providers. It is an exciting time for the company.”

CEO and Co-founder Asantha Wijeyeratne said: “We have maintained strong
momentum in our core New Zealand business, delivering robust customer growth
and a significant uplift in total customer lifetime value.

“We also reached a major technical milestone, deploying our Global Payroll
Platform through our Australian pilot. These achievements have required close
collaboration across business development, technology, and customer support, as
well as the cooperation and enthusiasm of our Australian pilot’s customers.

“I am immensely proud of what the team has accomplished. It reflects the
strength of our execution, the commitment of our people, and the trust of our
customers who continue to grow with us.”

FINANCIAL PERFORMANCE
Recurring revenue for the six months to 30 September 2025 (1H 2026) rose 5% to
$4.5 million. A strong 15% rise in processing fee income to $3.5 million was diluted
by a 21% decline in interest income to $967k from $1.2 million in 1H 2025. The
reduction in interest income follows the Reserve Bank’s reduction in the Official
Cash Rate (OCR) and the market’s perception of further future cuts, incorporated
into wholesale interest rates. The float of funds held on behalf of customers rose
18% to $43 million from $36 million at the same time a year ago.

Annualised Recurring Revenue (ARR) at the end of the period was $9.2 million, up
6% on the $8.5 million achieved at the end of 1H 2025. The result was lifted by a 9%
increase in total customers to 8,506 from 7,821 in 1H 2025 as our strong base of loyal
customers and partners drives new referrals. Average Monthly Revenue Per User
(ARPU) fell 3% - a fall that again reflects the reduction in interest income.

These metrics coupled with reduced churn and reduced costs to serve per
customer have lifted the value of our customer base by 20% to $60.5 million over
the same period a year ago - a clear demonstration of the value we are continuing
to create for shareholders.

Earnings Before Tax Depreciation and Amortisation (EBTDA) rose 42% to $779k
from $548k as we benefitted from revenue and efficiency gains and tight

management costs. Notably, gross margins were stable at a robust 78%, while
general and administration costs fell 21% to $1.6 million from $1.9 million in 1H 2026.

Capitalised research and development costs increased from $0.79 million to $0.96
million as we focused our development effort into building our Australian product.
Net profit before tax more than doubled to $302k from $148k in the same period a
year ago.

CASHFLOW AND FUNDING
The New Zealand business continues to generate positive free cash flow, funding
both the two-year development of the Global Payroll Platform and its
commercialisation via the Australian pilot.

Operating cashflow before movements in funds due to customers and the IRD
was flat year on year at $1.1 million for 1H 2026, with free cash flow of $33k, down
$166k from $199k in 1H 2025. We ended the period with cash reserves (excluding
funds held on behalf of customers) of $272k and undrawn banking facilities of
$350k, providing the company with flexibility to support its next phase of growth.

OUTLOOK
PaySauce is well positioned to extend its record for growth. While lower wholesale
interest rates continue to mask the strong underlying performance of the business
in the short term, they support new business formation, increased employment
and over time growth in total customers.

Meanwhile, with the current monetary easing cycle beginning to bottom out, we
expect interest income to begin to level out and grow in line with the growth of
our New Zealand business.

In any event processing-fee revenue remains the primary driver of shareholder
value and this will be supported by an expanding customer base especially in the
new financial year (FY27) when we expect momentum in our Australian business
will begin to build.

Ruha said: “Despite the increasing likelihood of further OCR cuts pushing
achievement of our target of $10 million ARR into the first quarter of FY27, we
remain confident in our strategy and disciplined in execution as we enter this next
phase, supported by a long-awaited expected turnaround in New Zealand
business confidence..”

PaySauce is holding an investor and media briefing today at 10.00am. To
participate please email investor@paysauce.com to receive the conference call
link.

Released for and on behalf of PaySauce by PaySauce CFO Jaime Monaghan

ENDS

ABOUT PAYSAUCE
PaySauce is a SaaS fintech platform delivering digital payroll solutions across 14
jurisdictions in Asia-Pacific. The technology enables small employers to digitally
onboard, pay and manage employees from any device. The platform includes
rosters, mobile timesheets, payroll calculations, banking integration, automated
payments, PAYE filing, labour costing, and automated general ledger entries. The
PayNow feature enables customers’ employees to access the pay they’ve earned
before payday, providing a free alternative to payday lenders. www.paysauce.com

CONTACT

Jaime Monaghan
CFO PaySauce
+64 22 5246366
Please direct any investment queries to investor@paysauce.com

---

Results announcement
(for Equity Security issuer/Equity and
Debt Security issuer)
Updated as at March 2025

Results for announcement to the market
Name of issuer
PaySauce Limited
Reporting Period
6 months to 30 September 2025
Previous Reporting Period
12 months to 31 March 2025
Currency
New Zealand Dollar
Amount (000s) Percentage change
Revenue from continuing
operations
$4,476 -2%
Total Revenue $4,476 -2%
Net profit/(loss) from
continuing operations
$227 +224%
Total net profit/(loss) $227 +224%
Interim/Final Dividend
Amount per Quoted Equity
Security
It is not proposed to pay dividends
Imputed amount per Quoted
Equity Security
Not applicable
Record Date
Not applicable
Dividend Payment Date
Not applicable
Current period Prior comparable
period
Net tangible assets per
Quoted Equity Security
-$0.00449592 -$0.00383985
A brief explanation of any of
the figures above necessary
to enable the figures to be
understood
The result includes the consolidated operations of PaySauce Ltd’s wholly
owned subsidiaries PaySauce Operations Limited, PaySauce Pty Limited
and Right Remuneration Limited (together, ‘the Group’ or ‘PaySauce’). As
a software company, the assets on the Balance Sheet are intangible.
Please refer to the Interim Report and Financial Statements.
Authority for this announcement
Name of person authorised to
make this announcement
Jaime Monaghan
Contact person for this
announcement
Jaime Monaghan
Contact phone number
+64 225246366
Contact email address
investor@paysauce.com

Date of release through MAP 10/11/2025
Unaudited financial statements accompany this announcement.

---

1
2026
Interim
Report
Australia
is on.

23
Content
04 / Highlights & Australia
06 / Leadership messages
10 / Performance (SaaS metrics)
16 / Financial statements
36 / Company directory
The strengths of our New Zealand operations -
consistent growth in revenue and solid earnings
and cash flow - have supported the company’s
strategy to take a payroll solution tailored to
the needs of micro-businesses to the world. This
strong domestic foundation has enabled continued
reinvestment into the business and funded launch
into Australia, a market of around 700,000 micro-
businesses that remains largely underserved.
At the centre of these efforts has been the
development of our Global Payroll Platform -
a two-year project that has transformed our
platform, creating new opportunities to scale and
further strengthening our reputation for delivering
the simplest, most accessible payroll solution for
micro-businesses.
The design, build of the new platform and the
launch of a pilot in Victoria mark a major milestone
in the commercialisation of this technology,
opening the door to a new market while reinforcing
our core business. As we enter Australia, we will
be going hard - learning from the market, refining
our approach, and building a playbook for broader
international expansion.

45
$
7.3
m
$
1.9
m
Highlights
4
$
779
k
$
9.2
m
Annualised Recurring Revenue (ARR)
6% YoY increase
15% YoY increase
20% YoY decrease
Processing Fees
Interest
Net Profit Before Tax
$154k YoY increase
$
302
k
Australia
Australia presents a total
addressable market of over
700,000 micro-businesses.
These businesses face a
significant and growing
compliance burden, particularly
concerning the Fair Work Act,
complex award interpretations,
and superannuation rules.
Currently, many operators rely on inefficient, fragmented
processes, using multiple applications for rostering,
timesheets, payroll calculations, and payments. This
manual data transfer is time-consuming and error-
prone, creating a clear and urgent need for a simplified,
integrated solution. Our initial focus is the Victorian
dairy sector, an industry we understand deeply, before
expanding to other sectors like trades and hospitality.
Our solution is a single, integrated platform providing
end-to-end payroll. Powered by our flexible Global Payroll
Platform, our product seamlessly handles rostering,
timesheets, complex award calculations, STP tax filing
(Single Touch Payroll), and integrated payments via NPP
(New Payments Platform)
$
33
k
Positive Free Cashflow
$166k YoY decrease
We’ve funded the development of the
Global Payroll Platform and the pilot
Australian payroll product over the last
couple of years with cash generated
from our strong New Zealand business.
This development enables expansion
into a vast and underserved segment:
the Australian micro-business market.
The power of Global
Payroll Platform
demonstrated
with successful
Australian Pilot
solving the greatest
compliance pain
points
Fair Work Payroll
Awards makes
compliance
mandatory for all
700,000 micro-
businesses in
Australia
Per
customer
$
20
Cost to Serve Per Customer (CTS)
3% YoY decrease
$
60.5
m
Total Customer Lifetime Value (Total LTV)
20% YoY increase
We’ve taken all of the complex pieces of the payroll
process, and combined them into one easy to use
product. There’s nothing new about the individual
problems we’re solving, but when solved together in the
right way in a single product, that is the key to providing a
solution that puts us apart from our competitors. We are
uniquely positioned to fill a clear market gap, offering a
specialised and affordable solution that existing complex
or non-integrated providers fail to serve.
Our go-to-market strategy is disciplined and targeted.
We have launched a successful pilot with Victorian dairy
farmers, validating our product and approach. Key
upcoming milestones include onboarding additional pilot
customers by the end of Q3 and launching commercially
at the Australian Dairy Conference in February, with a goal
of securing our next customer cohort by the end of FY26.
EBTDA
$231k YoY increase

67
“
Shelley Ruha
Independent Director,
Chair
Message from
the Chair
Poised for an
acceleration in
growth
Longer term we see significant potential
to provide payroll to Australia’s more than
700,000 micro businesses that remain poorly
served by the existing payroll providers.
The past six months have marked a watershed period in
PaySauce’s evolution.
Building on two years of focused innovation and
development, we brought our Global Payroll Platform into
production with the launch of our payroll pilot in Victoria,
Australia. This is a significant milestone that opens the
door to new markets. It also stands to strengthen our
core business by offering opportunities to scale and
consolidate our reputation for offering micro businesses
the simplest and most accessible payroll solution.
As the financial results we disclose in this report show,
this achievement is founded on the strengths of the New
Zealand business and continued delivery on our core
strategic objectives for growth, outstanding customer
service and technical leadership to support our ambitions
to scale. It is this consistency and the extent to which our
product resonates with microbusinesses that has allowed
us to fund the design, build, and launch of the new payroll
platform.
PaySauce is now on the threshold of a new phase of
growth. The pilot in Australia is but the first step. We are
initially focused on the Australian dairy sector, its more
than 4,000 dairy farms and its workforce of 46,000
people. Longer term we see significant potential to
provide payroll to Australia’s more than 700,000 micro
businesses that remain poorly served by the existing
payroll providers.
It is an exciting time for the company.
Financial Performance
Recurring revenue for the six months to 30 September
2025 (1H 2026) rose 5% to $4.5 million. A strong 15% rise
in processing fee income to $3.5 million was diluted by
a reduction in interest received on funds held on behalf
of customers following Reserve Bank cuts to wholesale
interest rates. Interest income fell 21% to $967k from $1.2
million in 1H 2025, even as the funds held on behalf of
customers (the ‘float’) rose 18% to $43 million from $36
million at the same time a year ago.
Annualised Recurring Revenue (ARR) at the end of
the period was $9.2 million, up 6% on the $8.7 million
achieved at the end of 1H 2025. The result was lifted by a
9% increase in total customers to 8,506 from 7,821 in 1H
2025 as our strong base of loyal customers and partners
drove new referrals. Average Monthly Revenue Per User
(ARPU) fell 3% with the $7 monthly reduction in interest
income not fully recovered from the $5 increase in
processing fees.
As Asantha sets out in his letter, these metrics coupled
with reduced churn and reduced costs to serve per
customer have lifted the value of our customer base by
20% to $60.5 million over the same period a year ago - a
clear demonstration of the value we are continuing to
create for shareholders.
Earnings Before Tax Depreciation and Amortisation
(EBTDA)
1
rose 42% to $779k from $548k as we benefitted
from revenue and efficiency gains and tight management
of costs. Notably, gross margins were stable at a robust
78%, while general and administration costs fell 21%
to $1.6 million from $1.9 million in 1H 2026. Capitalised
research and development costs increased from $0.79
million to $0.96 million as we focused our development
effort into building our Australian product. Net profit
before tax more than doubled to $302k from $148k in the
same period a year ago.
Cash flow and funding
The New Zealand business continues to generate positive
free cash flow, funding both the two year development
of the Global Payroll Platform and its commercialisation
via the Australian pilot. Operating cash flow before
movements in funds due to customers and the IRD was
flat year on year at $1.1 million for 1H25, with free cash flow
of $33k, down $166k from $199k in 1H25. We ended the
period with cash reserves (excluding funds held on behalf
of customers) of $272k and undrawn banking facilities of
$350k, providing the company with flexibility to support
its next phase of growth.
1. EBTDA is a non-GAAP measure of financial performance. It is defined
and reconciled to net profit before tax on page 15 of this report.
“
In any event processing-fee revenue remains the primary
driver of shareholder value and this will be supported
by an expanding customer base especially in the new
financial year (FY27) when we expect momentum in our
Australian business will begin to build.
Despite the increasing likelihood of further OCR cuts
pushing achievement of our target of $10 million ARR
into the first quarter of FY27, we remain confident in our
strategy and disciplined in execution as we enter this
next phase, supported by a long-awaited expected
turnaround in New Zealand business confidence.
We thank our shareholders, customers and partners
for their continued support, and our team for their
commitment to making PaySauce a trusted payroll
partner to micro-businesses.
Shelley Ruha
Independent Director, Chair
Governance
In August 2025, independent director Mike O’Donnell
resigned to take up a senior role in Los Angeles. Mike
served on the Board for five years and made a significant
contribution to PaySauce’s growth journey. The Board
maintains an appropriate balance of independence
and expertise and will consider the timing of any new
appointment as our Australian operations expand.
Outlook
PaySauce is well positioned to extend its record for
growth.While lower wholesale interest rates continue to
mask the strong underlying performance of the business,
the economic stimulus supports new business formation,
increased employment and over time growth in total
customers.
Meanwhile, with the current monetary easing cycle
beginning to bottom out, we expect interest income to
begin to level out and grow in line with the growth of our
New Zealand business.
LEADERSHIP MESSAGES

89
“
“
Total Customer LTV
Sep 22Sep 23Mar 23Mar 25Sep 24Mar 24Sep 25
$80 M
$40 M
$60 M
$20 M
$0 M
Total Customer LTV
Asantha
Wijeyeratne
CEO, Co-founder
Message from
the CEO
Strong execution
and a committed
team
The first half of FY26 has been a period of considerable
achievement for PaySauce. Together, we have delivered
on the key pillars of our strategy - loving our customers,
driving growth, and building for scale.
We have maintained strong momentum in our core New
Zealand business, delivering robust customer growth
and a significant uplift in total customer lifetime value. We
also reached a major technical milestone, deploying our
Global Payroll Platform through our Australian pilot, the
culmination of 2 years of intense development effort.
These achievements have required close collaboration
across business development, technology, and customer
support, as well as the cooperation and enthusiasm of our
Australian pilot’s customers.
I am immensely proud of what the team has accomplished.
It reflects the strength of our execution, the commitment
of our people, and the trust of our customers who continue
to grow with us.
Australian Pilot
The launch of our Australian pilot in Victoria marked a
major milestone for PaySauce. In September, our first
Australian customer successfully completed their initial
pay runs using the Global Payroll Platform - a powerful
demonstration of the platform’s capability and the
simplicity of our integrated payroll solution.
The pilot has now expanded to more customers and
without exception, participants are reporting meaningful
time savings - reducing their payroll process from hours
to minutes - and enjoying the peace of mind that comes
from a system offering assurance on compliance with
Australian employment conditions while seamlessly
managing payments.
The purpose of the pilot is to validate our product in a live
operating environment, refine the user experience, and
confirm that our solution fully addresses the compliance
and workflow challenges faced by Australia’s micro-
businesses. It is also designed to test the scalability of
our technology stack and build early momentum in this
important new market. Success will be measured not only
by transaction volume, but also by customer satisfaction,
accuracy, and time saved.
I would like to extend my sincere thanks to our pilot
customers for their cooperation and enthusiasm. Their
feedback is helping us shape a product that stands to
deliver genuine value to micro-business owners across
Australia - and, in time, to other international markets.
New Zealand Business
Our success in Australia has been underpinned by our
New Zealand business as our key SaaS metrics for the
half-year demonstrate.
Net customers are up 9% to 8,506. Our customer
acquisition cost (CAC) was stable at $577, and the monthly
recurring revenue per customer is down 3% to $90,
reflecting lower interest income.
The monthly cost to serve each customer is down slightly
at $20 from $21 in 1H 25. Our investment in an expanded
self-service help centre has empowered customers to
resolve common issues independently, reducing support
ticket volume while improving response times. We've
restructured our support teams into dedicated proactive
and reactive functions. Improvements to new customer
training sessions have equipped our customers with
deeper product knowledge, reducing their dependency
on ongoing support interventions. Internally, new support
tooling is streamlining our team's workflows and improving
response efficiency. We are preparing to launch AI-
powered support capabilities in early 2026, which will
further enhance our ability to provide instant, accurate
assistance at scale while allowing our team to focus
on complex, high-value customer interactions. These
improvements position us to serve our growing customer
base more effectively while maintaining operational
efficiency.
This excellent customer service contributed to the 12%
reduction in average monthly churn to 0.98% from 1.1% in
1H 25. This reduced churn has lifted customer lifetime value
by 10% to $7,109 per customer. Combined with the growth
in customers, the value of our customer base is up by 20%
to $60.5 million on 1H 25 and up 9.4% on the $55.3 million
in March 2025.
These outcomes reflect our focused marketing activity,
together with the activity in the accounting-partner
channel. We’ve seen increasing growth from the direct-
to-customer sales function and will be continuing to
increase activity in this space to drive growth through new
small businesses across New Zealand. We will deepen
our relationship with some key accounting partners,
and continue to market to micro-businesses directly,
demonstrating our deep understanding of the real
challenges they face.
This refined approach to the market will also underpin our
expansion into Australia as we look to provide a mobile first
option for small businesses.
LEADERSHIP MESSAGES
Our Pilot in September was successful. Employees
were paid via our software that successfully
calculated their wage, validated it against the
pastoral award, completed their Superannuation
payment and filing, completed their ATO payment
and filing and shifted funds into their account.
Technology
Our technology efforts during the half were dominated
by the deployment of our new payroll platform into
Australia. Standing up a workable solution in such a
complex regulatory environment was no small task.
Australia’s intricate system of awards and agreements
presented both technical and operational challenges,
requiring deep domain knowledge to be configured
within the platform.
I am delighted with what our team has achieved.
The fact that we now have Australian customers
running live, compliant payrolls through PaySauce is a
significant accomplishment. It underscores the depth
of our technical capability and the commitment of our
people to delivering solutions that make payroll and
compliance effortless for small employers.
Looking beyond our near-term $10m ARR target,
we are excited about what lies ahead for PaySauce.
The Australian pilot and the upcoming commercial
launch are key milestones in our long-term growth
strategy and will, over time, become important
drivers of shareholder value. While customer growth
in Australia will remain modest for the rest of this
financial year, we are targeting the business to make
a meaningful contribution in the next. In New Zealand,
our focus remains on maintaining strong execution and
disciplined investment to support continued customer
growth. The combination of a proven business model,
a scalable technology platform, and an engaged team
gives us great confidence in the company’s future.
I thank the PaySauce team for their efforts and I look
forward to providing a further update in the new year
as we continue to deliver on our strategy and build on
this momentum.
With my warm regards,
Asantha Wijeyeratne
CEO, Co-founder

1011
PERFORMANCE fiSAAS METRICSflPERFORMANCE (SAAS METRICS)
CAC
$
577
Flat YOY
New customer
joins PaySauce
Customer acquisition
cost (CAC)
$577 per customer
Customer
receives support
Cost to serve (CTS)
(Monthly): $20 per
customer
Customer stays
with PaySauce
Customer lifetime
Average monthly
churn of 0.98%
CTS
$
20
2% YOY
Customer
Lifetime
8.5
yrs
13% YOY
Customer Lifetime Journey
The business results and SaaS metrics reported in the following sections provide an overview of the performance of the business in a format that
we believe is useful for readers to assess the performance of PaySauce as a SaaS business and should be read alongside the consolidated financial
statements and the related notes in this report.
Non-Generally Accepted Accounting Principles (Non-GAAP) measures have been included and should not be viewed in isolation, nor considered
as substitutes for measures reported in accordance with New Zealand Equivalents to International Financial Reporting Standards (NZ IFRS).
Customer Acquisition
Sep 2025Sep 2024YOY Change
CAC per addition577575Flat
New customers9361,035(10%)
Customer acquisition costs ($000s)540596(9%)
Percentage of Recurring Revenue
12%14%
(2 pp)
How and why do we monitor customer acquisition? PaySauce monitors the cost of acquiring new customers as an
efficiency metric. The customer acquisition cost (CAC) divides the total cost of acquisition across the new customers for
the period. Customer acquisition is more efficient the lower the CAC per new customer metric.
Recurring Revenue
Sep 2025Sep 2024YOY Change
ARR at end of period ($000s)9,1558,6576%
Processing Fees7,2876,334
15%
Interest1,8682,323(20%)
Recurring revenue for the period - Total ($000s)4,4674,255
5%
Processing Fees3,5003,035
15%
Interest9671,220(21%)
ARPU (monthly) at end of period ($)9092(3%)
Processing Fees72676%
Interest1825
(26%)
FTEs4547
(4%)
Revenue per FTE ($000s)9997
2%
Processing Fees786420%
Interest2126
(17%)
Other-7
(97%)
How and why do we monitor recurring revenue? PaySauce monitors the recurring revenue received from customers
as a grow th metric. As a SaaS company, the revenue repeats via subscriptions and interest earned on customer funds.
Annualised Recurring Revenue (ARR) takes the most recent month’s recurring revenue and multiplies it by twelve.
From the perspective of a single customer, PaySauce looks at Average Revenue per User (ARPU), which is derived
by dividing the total recurring revenue by the number of customers in a period. PaySauce measures this metric on a
monthly basis - the higher the ARPU, the more value received from each customer.
Customer pays
a monthly
subscription
Recurring revenue
(Monthly): $90 per
customer
ARPU
$
90
3%

YOY
Processing
fees
$72
6%

YOY
Interest
$18
26%

YOY
Made
up of
At 30 September 2025
Total customer
lifetime value
(Total LTV)
$
60.5m
20
% YOY
Customer
lifetime value
(LTV)
$7,109 per
customer
LTV
$
7,109
LTV : CAC
12:1
15% YOY
10% YOY

1213
PERFORMANCE fiSAAS METRICSflPERFORMANCE fiSAAS METRICSfl
Cost to Serve
Sep 2025Sep 2024YOY Change
Recurring revenue ($000s)4,4674,2555%
Less cost to serve ($000s)
(995)(947)5%
Gross margin ($000s)
3,4723,308
5%
Gross margin %
78%78%-
CTS per customer (monthly) at end of period ($)2021
(3%)
How and why do we monitor cost to serve? PaySauce monitors the cost of servicing customers as an efficiency metric. This
includes software hosting costs as well as customer support costs. The cost to serve per customer (CTS) divides the total
cost to ser ve by the total number of customers for the period. PaySauce measures this metric on a monthly basis - the lower
the CTS, the more efficient PaySauce is at servicing customers, and the higher the gross margin.
Customer Lifetime Value
Sep 2025Sep 2024YOY Change
Customers at end of period8,5067,8219%
Average monthly churn rate (%)0.981.11(12%)
Churned customers6345829%
LTV per customer at end of period ($)7,1096,45110%
Total LTV at end of period ($m)60.550.520%
LTV:CAC ratio at end of period12 : 111 : 19%
How and why do we monitor customer lifetime? PaySauce monitors how long we expect customers to remain by looking
at the proportion of customers who stop processing pays through PaySauce. Customers who don’t process pays are
considered churned customers, and the proportion of those, relative to the remaining customers, is the churn rate. The
lower the churn rate, the higher the derived lifetime of each customer and the more value generated from them. The
customer lifetime value is assessed relative to the customer acquisition cost (CAC) to determine the return on investment of
acquiring new customers.
Note - Total LTV is particularly sensitive to churn and assumes these levels will remain consistent over an extended future
period. Using the average churn levels for the last three years (1.08%), Total LTV would be $5.5m (9%) lower.

1415
PERFORMANCE fiSAAS METRICSflPERFORMANCE fiSAAS METRICSfl
Definitions
Recurring revenue is
revenue that is expected
to repeat into the future.
Recurring revenue for
PaySauce consists of:
• Processing Fees - the
monthly or annual
subscription customers
pay for PaySauce payroll
products.
• Interest Income -
interest earned from
funds held on behalf
of New Zealand
PaySauce customers.
As interest earned on
these funds grows
directly in relation to the
number of customers,
this is considered an
additional recurring
revenue stream.
Annualised recurring
revenue (ARR) multiples
the recurring revenue
generated in the last
month of the period by 12
to annualise the current
recurring revenue.
Average Revenue per User
(ARPU) is the total recurring
revenue for the last month
of the period, divided
by the total customers
processing payroll
that month. PaySauce
measures and reports this
metric on a monthly basis.
Cost to serve consists
of customer support
costs and expenses
such as cloud hosting,
maintenance of our
software products, and
bank fees charged per
customer transaction.
Cost to serve per
customer (CTS) is the
total recurring revenue
for the last month of the
period, divided by the total
customers processing
payroll that month.
PaySauce measures and
reports this metric on a
monthly basis.
Gross margin represents
our recurring revenue
less the cost to serve our
customers, and is also
often expressed as a
percentage, where the
gross margin is divided by
the recurring revenue.
Customer acquisition
costs relate to acquiring
and onboarding new
customers. These consist
of sales and marketing
people costs and
expenses such as digital
marketing, events and
sponsorship. These costs
are expensed as incurred
as they do not relate to
any specific customer or
contract for services.
Customer acquisition
cost per customer (CAC)
divides the total customer
acquisition costs by the
new customers for the
period.
Earnings Before Tax,
Depreciation and
Amortisation (EBTDA) is
calculated by adding back
depreciation, amortisation,
asset impairment and
income tax expense to the
amounts reported in the
NZ IFRS-based financial
statements. PaySauce
believes that this measure
provides useful insights to
measure the performance
of PaySauce as a SaaS
business.
EBTDA Margin % is
EBTDA as a percentage
of recurring revenue and
is calculated by dividing
EBTDA by recurring
revenue
Free cash flow is a non-
GAAP financial measure
that has been included
to demonstrate net
cash generated by, and
invested into the business.
PaySauce defines free
cash flow as cash flows
generated from operating
activities less cash flows
used for investing activities
(excluding funds held on
behalf of customers).
Monthly average churn
rate is the 12 month
average of the net
reduction of customers
in a calendar month.
This is expressed as the
percentage of the total
customers at the start of
that month. The estimated
customer lifetime (in
months) is derived using
the inverse of monthly
average churn rate (being
1 divided by the monthly
average churn rate).
Customer lifetime value
(LTV) is a measure of
the gross margin each
customer brings in over the
time they use PaySauce.
LTV is calculated by
multiplying the gross
margin per customer by
the estimated customer
lifetime.
Total customer lifetime
value (Total LTV) is a
measure of the estimated
value of the current
customer base, assuming
that churn, revenue and
cost to serve remain
constant. This measure is
calculated by multiplying
customer LTV by the total
number of customers
LTV : CAC is a measure of
the return on investment of
acquiring a new PaySauce
customer. This measure is
calculated by dividing the
customer LTV by the CAC
per addition.
OCR stands for Official
Cash Rate, and is the
benchmark interest
rate set by the Reserve
Bank of New Zealand
(RBNZ) to influence the
country's interest rates.
The OCR impacts the
interest revenue that
PaySauce generates
on the funds held on
behalf of customers, an
increase in the OCR will
increase in the interest
revenue generated, whilst
a decrease in the OCR
will decrease the interest
revenue generated.
PaySauce SaaS performance


SEP 2025 SEP 2024
$000s$000s
Processing Fees3,5003,035
Processing fee
revenue grew
+ $ 4 6 5 k (+1 5 % ) YoY
Interest Income9671,220
Recurring Revenue4,4674,255
Cost to Serve(995)(947)
Gross Margin3,4723,308
Gross Margin %78%78%
Maintained flat
gross margin
despite OCR cuts
Other Interest Income
37
Other Revenue6303
Total Other Revenue9310
Customer Acquisition(540)(596)
Research & Development(581)(454)
General & Administration(1,570)(1,991)
Interest Expense(11)(29)
Earnings Before Tax, Depreciation and Amortisation 779548
EBTDA grew +$231k
(+ 4 2 % ) YoY
Earnings Before Tax, Depreciation and Amortisation
Margin %
17%13%
Depreciation & Amortisation(456)(379)
Asset Impairment(21)(21)
Net Profit before Tax302148
Net profit before
tax grew +$154k
(+1 0 4 % ) YoY
Income Tax(75)(78)
Net Profit after Tax22770

1617
FINANCIAL STATEMENTSFINANCIAL STATEMENTS
Consolidated Financial
Statements
For the six months ended 30 September 2025
16 Interim Condensed Consolidated Financial Statements
17 Interim Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income
18 Interim Condensed Consolidated Statement of Financial Position
20 Interim Condensed Consolidated Statement of Changes in Equity
22 Interim Condensed Consolidated Statement of Cash Flows
23 Notes to the Interim Condensed Consolidated Financial Statements
36 Company Directory
Interim Condensed Consolidated Statement
of Profit or Loss and Other Comprehensive
Income
For the six months ended 30 September 2025

6 months to
30 Sep 2025
6 months to
30 Sep 2024
Year to
31 Mar 2025
UnauditedUnauditedAudited
Notes$000s
$000s
$000s
Operating revenue 34,476
4,565
8,995
Expenses
Employee expenses
4
(2,394)
(2,679)(5,076)
Other expenses
5
(1,292)
(1,309)
(2,516)
Depreciation and amortisation
6,7
(456)
(379)(817)
Asset impairment
7
(21)
(21)(74)
Finance costs
8
(11)
(29)
(52)
Total expenses
(4,174)
(4,417)
(8,535)
Net profit before income tax
302
148
460
Tax benefit / (expense)(75)(78)221
Net profit for the period
227
70
681
Other comprehensive income

-
-
-
Total comprehensive profit for the period227
70
681
Earnings per shareCentsCentsCents
Basic earnings per share90.16
0.050.48
Diluted earnings per share9
0.160.050.48
The above statement should be read in conjunction with the accompanying notes.

1819
FINANCIAL STATEMENTSFINANCIAL STATEMENTS
Interim Condensed Consolidated Statement
of Financial Position
As at 30 September 2025
Sep 2025Sep 2024Mar 2025
UnauditedUnauditedAudited
Notes$000s$000s$000s
Assets


Current assets
Cash and cash equivalents
14
27262309
Cash and cash equivalents - customer funds
14
18,684
11,824
12,034
Term deposits - customer funds
14
16,850
24,50024,200
Trade receivables

179134181
Other assets

333304343
Total current assets
36,31836,824
37,067
Non‑current assets
Deferred tax assets
1,126
9021,200
Term deposits - customer funds
14
7,450
-
1,700
Property, plant and equipment
6
256290352
Intangible assets
7
4,0402,9863,359
Total non‑current assets
12,8724,178
6,611
Total assets
49,19041,002
43,678
Liabilities
Current liabilities
Trade and other payables617356
522
Funds due to customers and IRD
14
42,98436,32437,935
Employee benefits
438411364
Other liabilities

449427435
Lease liabilities
13672140
Total current liabilities
44,62437,590
39,396
The above statement should be read in conjunction with the accompanying notes.
Interim Condensed Consolidated Statement
of Financial Position
As at 30 September 2025
Sep 2025Sep 2024Mar 2025
UnauditedUnauditedAudited
Notes$000s$000s$000s
Non‑current liabilities
Lease liabilities4869111
Total non‑current liabilities
4869
111
Total liabilities
44,67237,659
39,507
Net assets
4,5183,343
4,171
Equity
Share capital
10
14,33713,87614,159
Reserves
13
100224158
Accumulated losses

(9,919)(10,757)(10,146)
Equity attributable to the owners of the Company
4,5183,343
4,171
The above statement should be read in conjunction with the accompanying notes.
For and on behalf of the Board of Directors, who authorised the issue of these Interim Condensed Consolidated Financial
Statements on 7 November 2025:
Shelley Ruha Jim Sybertsma
Chair Chair of Audit & Risk Committee
7 November 2025 7 November 2025

2021
FINANCIAL STATEMENTSFINANCIAL STATEMENTS
Interim Condensed Consolidated Statement
of Changes in Equity
For the six months ended 30 September 2025

Share‑based
payment reserve
Share
Capital
Accumulated
losses
Total
Unaudited
Notes
$000s$000s
$000s$000s
Balance as at 1 April 2025 158
14,159(10,146)4,171
Comprehensive profit
Net profit for the period--
227227
Other comprehensive income--
--
Total comprehensive profit‑‑
227227
Transactions with owners

Share-based payments, net of tax120-
-120
Share-based payments paid up
10
(178)178--
Total transactions with owners(58)178
‑120
Balance as at 30 September 202510014,337(9,919)4,518

Share‑based
payment reserve
Share
Capital
Accumulated
losses
Total
UnauditedNotes$000s$000s$000s$000s
Balance as at 1 April 2024
21213,659(10,827)3,044
Comprehensive profit
Net profit for the period--
7070
Other comprehensive income
----
Total comprehensive profit
--
7070
Transactions with owners
Share-based payments, net of tax45--45
Share-based payments paid up
10
(33)
33
-
-
Issue of ordinary shares
10
-184-184
Total transactions with owners
12217-229
Balance as at 30 September 2024
22413,876(10,757)3,343
Interim Condensed Consolidated Statement
of Changes in Equity
For the six months ended 30 September 2025
Attributable to equity holders of the Company
Share‑based
payment reserve
Share
Capital
Accumulated
losses
Total
AuditedNotes$000s$000s$000s$000s
Balance as at 1 April 2024 21213,659(10,827)3,044
Comprehensive profit
Net profit for the period--681681
Other comprehensive income----
Total comprehensive profit‑‑681681
Transactions with owners
Share-based payments, net of tax446--446
Share-based payments paid up
10
(500)500--
Total transactions with owners(54)500‑446
Balance as at 31 March 202515814,159(10,146)4,171
The above statement should be read in conjunction with the accompanying notes.

2223
FINANCIAL STATEMENTSFINANCIAL STATEMENTS
Interim Condensed Consolidated Statement
of Cash Flows
For the six months ended 30 September 2025
6 months to
30 Sep 2025
6 months to
30 Sep 2024
Year to
31 Mar 2025


UnauditedUnauditedAudited
Notes$000s$000s$000s
Cash flows from operating activities
Receipts from customers3,2413,1446,136
Interest received1,0311,4422,514
Payments to suppliers and employees(3,179)(3,472)(6,436)
Taxes (paid) / refunded16-(16)
Interest paid on operating leases(11)(9)(32)
Net cash from operating activities before increase
in funds due to customers and IRD
141,098
1,105
2,166
Increase in funds due to customers and IRD
14
5,0492,7154,326
Net cash from / (used in) operating activities126,147
3,820
6,492
Cash flows from / (used in) investing activities
Funds on term deposit1,600200(1,200)
Investment in intangible assets(1,060)(874)(1,629)
Purchases of property, plant and equipment

(5)(31)(35)
Net cash from / (used in) investing activities 535
(705)
(2,864)
Cash flows used in financing activities
Loan repayments

-(650)(650)
Repayments of principal portion of lease liability

(69)(71)(127)
Interest paid on borrowings

-(20)(20)
Net cash used in financing activities (69)
(741)
(797)
Net increase decrease in cash and cash equivalents 6,613
2,374
2,831
Cash and cash equivalents at beginning of the period

12,3439,5129,512
Cash and cash equivalents at end of the period18,956
11,886
12,343
The above statement should be read in conjunction with the accompanying notes.
Notes to the Interim Condensed
Consolidated Financial Statements
For the six months ended 30 September 2025
1. General information
PaySauce Limited (the "Company" or “PaySauce”), is a for-profit limited liability company, domiciled and incorporated in
New Zealand and registered under the Companies Act 1993. The company is an FMC Reporting Entity for the purpose of
the Financial Markets Conduct Act 2013. PaySauce is listed on the New Zealand Stock Exchange (“NZX”) that trades under
the ticker PYS.
PaySauce is a SaaS fintech platform delivering digital payroll solutions across 14 jurisdictions in Asia-Pacific. The
technology enables small employers to digitally onboard, pay and manage employees from any device. The platform
includes rosters, mobile timesheets, payroll calculations, banking integration, automated payments, PAYE filing, labour
costing, and automated general ledger entries. The PayNow feature enables customers’ employees to access the pay
they’ve earned before payday, providing a free alternative to payday lenders.
The interim condensed consolidated financial statements for the Company and its subsidiaries (the "Group") for the
six months ended 30 September 2025 were authorised in accordance with a resolution of the directors for issue on 7
November 2025 and are unaudited.
2. Summary of material accounting policies
a. Basis of preparation
These consolidated financial statements have been prepared:
• in accordance with New Zealand Generally Accepted Accounting Practice (“NZ GAAP”);
• comply with the requirements of the New Zealand Equivalent to International Accounting Standard 34: Interim
Financial Reporting (“NZ IAS 34”);
• on the basis of historical cost;
• in New Zealand dollars (NZD), which is the functional currency of the Group, with all values rounded to the nearest one
thousand dollars ($1,000) unless otherwise stated;
• on the assumption that the Group is a going concern; and they
• should be read in conjunction with the audited consolidated financial statements for the Group as at and for the year
ended 31 March 2025
There are no seasonality or cyclicality influences on the results of the Group.
The unaudited interim condensed consolidated financial statements have been prepared using the same significant
accounting policies and methods of computation as, and should be read in conjunction with, the financial statements and
related notes included in the audited consolidated financial statements for the Group for the year ended 31 March 2025.

2425
FINANCIAL STATEMENTSFINANCIAL STATEMENTS
3. Operating revenue
6 months to
30 Sep 2025
6 months to
30 Sep 2024
Year to
31 Mar 2025
UnauditedUnauditedAudited
$000s$000s$000s
Revenue from contracts with customers
• Processing fees3,5003,0356,322
• Other services revenue-4271
Revenue from other sources
• Interest income9731,2302,343
• Other revenue3258259
Total operating revenue4,4764,5658,995
4. Employee expenses

6 months to
30 Sep 2025
6 months to
30 Sep 2024
Year to
31 Mar 2025
UnauditedUnauditedAudited
$000s$000s$000s
Employee benefits/entitlements2,0632,3004,315
Employee benefits/entitlements - share based payments273330663
Fringe benefit tax211226
Other employee expenses373772
Total employee expenses2,3942,6795,076
Employee expenses above contain research and development expenditure of $0.560 million for the six months ended
30 September 2025 (2024: $0.380 million).
5. Other expenses

6 months to
30 Sep 2025
6 months to
30 Sep 2024
Year to
31 Mar 2025
UnauditedUnauditedAudited
$000s$000s$000s
Advertising, PR and marketing174214311
Audit fees434282
Communications and subscriptions168159331
Customer and transactional333316691
Other overheads361396678
Infrastructure and security160144343
Travel533880
Total other expenses
1,292
1,3092,516
Other expenses above contain research and development expenditure of $0.080 million for the six months ended 30
September 2025 (2024: $0.070 million).
6. Property, plant and equipment
Unaudited
Right‑of‑
use Asset
(Property)
Office
Equipment
Leasehold
Improvements
Computer
Equipment
Total
6 month period ended
30 September 2025
$000s$000s$000s$000s$000s
Opening net book value
22970‑53352
Additions
---55
Disposals
-(3)--(3)
Depreciation(65)(11)-(22)(98)
Closing net book value
16456‑36256
As at 30 September 2025
Cost
4921314212839
Accumulated depreciation
(328)(75)(4)(176)(583)
Net book value
16456‑36256

2627
FINANCIAL STATEMENTSFINANCIAL STATEMENTS
Unaudited
Right‑of‑
use Asset
(Property)
Office
Equipment
Leasehold
Improvements
Computer
Equipment
Total
6 month period ended
30 September 2024
$000s$000s$000s$000s$000s
Opening net book value
20386280371
Additions
-5-2833
Disposals
-(2)--(2)
Depreciation
(70)(10)(1)(31)(112)
Closing net book value
13379177290
As at 30 September 2024
Cost
3421474245738
Accumulated depreciation
(209)(68)(3)(168)(448)
Net book value
13379177290
Audited
Right‑of‑
use Asset
(Property)
Office
Equipment
Leasehold
Improvements
Computer
Equipment
Total
Year ended 31 March 2025$000s$000s$000s$000s$000s
Opening net book value
203
86280371
Additions
1677-33207
Disposals
-(2)-(2)(4)
Depreciation
(141)(21)(2)(58)
(222)
Closing net book value
22970‑53352
As at 31 March 2025
Cost
4931444236877
Accumulated depreciation
(264)(74)(4)(183)(525)
Net book value
22970‑53352
7. Intangible assets
UnauditedDevelopment in
progress
Computer
Software
Customer
Relationships
Total
6 month period ended 30 September 2025
$000s$000s$000s$000s
Opening net book value
1,4871,790823,359
Additions
101--101
Development costs recognised as an asset
960--960
Development in progress recognised as Software
(1,733)1,733--
Asset impairment
(21)--
(21)
Amortisation
-(323)(36)
(359)
Closing net book value7943,200464,040
As at 30 September 2025
Cost
7945,272354
6,420
Accumulated amortisation-(2,072)(308)(2,380)
Net book value7943,200464,040
UnauditedDevelopment in
progress
Computer
Software
Customer
Relationships
Total
6 month period ended 30 September 2024
$000s$000s$000s$000s
Opening net book value9721,2741532,399
Additions
59--59
Development costs recognised as an asset
815--815
Development in progress recognised as Software
(471)471--
Asset impairment
-(21)-(21)
Amortisation
-(231)(35)
(266)
Closing net book value
1,3751,493118
2,986
As at 30 September 2024
Cost
1,3753,0783544,807
Accumulated amortisation
-(1,585)(236)
(1,821)
Net book value1,3751,4931182,986

2829
FINANCIAL STATEMENTSFINANCIAL STATEMENTS
AuditedDevelopment in
progress
Computer
Software
Customer
Relationships
Total
Year ended 31 March 2025
$000s$000s$000s$000s
Opening net book value9721,2741532,399
Additions
85--85
Development costs recognised as an asset
1,544-- 1,544
Development in progress recognised as Software
(1,061)1,061--
Asset impairment
(53)(21)-(74)
Amortisation
-(524)(71)
(595)
Closing net book value
1,487
1,790823,359
As at 31 March 2025
Cost
1,4873,5393545,380
Accumulated amortisation
-(1,749)(272)
(2,021)
Net book value
1,4871,790823,359
8. Finance Costs

6 months to
30 Sep 2025
6 months to
30 Sep 2024
Year to
31 Mar 2025
UnauditedUnauditedAudited
$000s$000s$000s
Interest paid
-
2020
Finance cost - Interest on lease
119
32
Total finance costs 112952
9. Earnings per share
6 months to
30 Sep 2025
6 months to
30 Sep 2024
Year to
31 Mar 2025
UnauditedUnauditedAudited
Basic earnings per share
Net profit used in calculating earnings per share ($000s)22770681
Weighted average number of ordinary shares for basic earnings per
share143,007,632140,697,531141,956,883
Basic earning per share (cents)0.160.050.48
There are no financial instruments on issue that will dilute the basic earnings per share amounts for the period ended 30
September 2025.
10. Share capital
Unaudited
DateDetailsWeighted Average price
(cents per share)
Number of
Shares
$000s
1 April 2025Opening Balance143,168,82614,159
Issue of shares relating to
employee share schemes0.1801894,996161
Share based payments0.1800111,11220
Cost of share issuance-(3)
30 September 2025Closing Balance144,174,93414,337
Unaudited
DateDetailsWeighted Average price
(cents per share)
Number of
Shares
$000s
1 April 2024Opening Balance140,982,14613,659
Issue of shares relating to
employee share schemes0.2422823,632200
Share based payments0.233785,59020
Cost of share issuance-(3)
30 September 2024Closing Balance141,891,36813,876
AuditedIssue of shares relating to
employee share schemes0.22481,179,529265
Share based payments0.204297,92920
Cost of share issuance-(2)
31 March 2025Closing Balance143,168,82614,159
The disclosure for the movements in the share capital has been restated to more accurately show the weighted average
price of the shares issued during the period, exclusive of the cost of issuance. The disclosure for the six months ended 30
September 2025 has also changed from what was presented in the group financial statements to align the comparative
period disclosures. The change in disclosure does not impact the reporting results of operations, for the categories
presented on the face of the financial statements.

Fully paid up, ordinary shares are classified as equity. Incremental costs directly attributable to the issue of ordinary
shares are recognised as a deduction from equity, net of any tax effects.
Dividends
No dividends were declared or paid during the reporting period (2024: None).

3031
FINANCIAL STATEMENTSFINANCIAL STATEMENTS
11. Key management personnel and related parties
Key management personnel compensation
Key management personnel are defined as those persons having authority and responsibility for planning,
directing and controlling the activities of the Group, directly or indirectly and include the Directors, the
Chief Executive Officer and the Executive Leadership Team.

The table below summarises remuneration paid to key management personnel.
6 months to
30 Sep 2025
6 months to
30 Sep 2024
Year to
31 Mar 2025
UnauditedUnauditedAudited
$000s$000s$000s
Directors’ fees10995230
Short term employee benefits6359381,434
Share-based payments76136387
Total key management personnel compensation8201,1692,051
Director fees pool
The maximum aggregate amount of remuneration payable in respect of all Directors’ fees is $275,000 per annum. A total
of $213,500 has been allocated to the current directors, with $61,500 remaining unallocated in the pool. Each of the four
non-executive directors receives fees of $45,000 per annum, with a further $27,000 and $6,500 per annum added for
the Chair of the Board and the Chair of the Audit & Risk Committee respectively. The unallocated amount remaining in
the pool enables an additional Director to join the board at a future date. Directors are not included in the company share
schemes and they are not entitled to earn additional payments. There is no requirement for Directors to own shares,
though they may elect to receive PaySauce Ordinary Shares in lieu of Directors fees.
Other remuneration disclosures
Outside of director fees, executive salaries and the employee share scheme - there are no contractual agreements in
relation to other types of remuneration.
Related party transactions and balances
A number of key management personnel, or their related parties, hold positions in other entities that result in them
having control or significant influence over the financial or operating policies of those entities. A number of those entities
subscribe to services provided by the Group. None of the related party transactions are significant to either party.
Outside of these transactions, and the Directors’ fees and short term employee benefits noted above, all other related
party transactions are outlined below:
Sep 2025Sep 2024Mar 2025
Unaudited
UnauditedAudited
Related party transactions during the period
$000s
$000s$000s
Cloud hosting services supplied by entities controlled
by related parties
Catalyst.Net Limited
--20
Catalyst Cloud Limited
-23
Sep 2025Sep 2024
Mar 2025
UnauditedUnaudited
Audited
Related party balances payable at period end
$000s$000s$000s
Directors' Fees
3212
35
Cloud Hosting Services
-1
-

3233
FINANCIAL STATEMENTSFINANCIAL STATEMENTS
12. Reconciliation of net profit after tax to net cash flows from operations
6 months to
30 Sep 2025
6 months to
30 Sep 2024
Year to
31 Mar 2025
UnauditedUnauditedAudited
$000s$000s$000s
Net profit after taxation22770681
Add back non‑cash & non‑operating items:
Depreciation & amortisation456379817
Asset impairments & loss on disposal of fixed assets242174
Share based payments120228445
Other non-cash & non-operating items-9820
Total non‑cash & non‑operating items8277962,037
Movements in working capital:
(Increase) / decrease in Trade and other receivables139(8)
(Increase) / decrease in Other assets84196(63)
Increase in Funds due to customers and IRD5,0492,7154,326
Increase / (decrease) in Trade and other payables95(42)124
Increase in Employee benefits 757832
Increase in Other liabilities163844
Total movements in working capital5,3203,0244,455
Net cash inflow from operating activities6,1473,8206,492
13. Employee Share Scheme (ESS)
The Group entered into a quarterly employee share scheme for the year ended 31 March 2026. The quarterly scheme is
the same as the FY25 scheme outlined in the financial statements for the year ended 31 March 2025, as follows:
An ESS agreement is entered into between each eligible employee and the Company stipulating the value of fully paid
up ordinary shares granted. Shares are issued quarterly, at the end of each quarter, and the number of shares granted is
determined by the volume weighted average share price on each issue date.
New employees may enter the scheme on a quarterly basis as they become eligible, with the benefit pro-rated
accordingly. Equally, employees who leave or become ineligible for the scheme forfeit their right to be issued shares as
part of the ESS agreement.
This equity settled remuneration attracts income tax on the employees. The income tax and other deductibles are
deducted and the net amount of ordinary shares are issued to employees.
Employee share scheme expenses for the six months ended 30 September 2025 are as follows:
Unaudited
To t a l
For the 6 month period to 30 September
2025
$000s
Quarterly ESS expenses273
Legacy ESS & other share-based payments20
Total share-based payment expense293
Unaudited
To t a l
For the 6 month period to 30 September 2024$000s
Quarterly ESS expenses290
Legacy ESS & other share-based payments41
Total share-based payment expense331
AuditedTo t a l
For the year ended 31 March 2025$000s
Quarterly ESS expenses
582
Legacy ESS & other share-based payments
121
Total share-based payment expense
703
.

3435
FINANCIAL STATEMENTSFINANCIAL STATEMENTS
Share‑based payment reserve
The share based payment reserve is used to record the accumulated value of unvested shares and share options that
remain exercisable. Movements in the share based payment reserve for the six months ended 30 September 2025 are as
follows:
Unaudited
DateDetails$000s
1 April 2025Opening Balance
158
Quarterly ESS - expensed103
Quarterly ESS - shares issued(158)
Legacy ESS & other share-based payments - expensed17
Legacy ESS & other share-based payments - shares issued(20)
30 September 2025
Closing Balance100
Unaudited
DateDetails
$000s
1 April 2024
Opening Balance
212
Quarterly ESS - expensed
185
Quarterly ESS - shares issued
(176)
Legacy ESS & other share-based payments - expensed
56
Legacy ESS & other share-based payments - shares issued
(53)
30 September 2024Closing Balance224
Audited
Quarterly ESS - expensed190
Quarterly ESS - shares issued(142)
Legacy ESS & other share-based payments - expensed14
Legacy ESS & other share-based payments - shares issued(128)
31 March 2025Closing Balance158
Share‑based payment liabilities
Liabilities associated with share-based payments are accrued based on the estimated value of the future income tax and
other deductibles for the individuals that will be paid by PaySauce on behalf of each employee when shares are issued.
The accrued liability at balance date was as follows:

Sep 2025
Sep 2024Mar 2025
UnauditedUnauditedAudited
Share‑based payment liabilities
$000s
$000s$000s
Current659182
Total share‑based payment liabilities659182
The employee liabilities in the consolidated statement of financial position also include other employee entitlements
such as accrued leave.
14. Funds due to customers and IRD
As a PAYE intermediary, PaySauce collects funds from clients which are payable to both clients’ employees (as the
employees’ net wages and salaries) and the IRD (as the applicable PAYE, student loan and other IRD liabilities). These
funds are included in PaySauce’s cash and term deposit balances and in accordance with section RP6 of the Income Tax
Act 2007, PaySauce can earn interest on these funds, but the funds must only be used as follows:
• Payment of net salary or wages to employees of PaySauce’s clients.
• Payment of IRD obligations resulting from pays run on PaySauce software to the IRD, including PAYE deductions,
student loan deductions, superannuation contributions and any other amount of tax withheld from a payment of
salary or wages to IRD.
Under the financial reporting standards movements in these funds do not meet the definition of either investing or
financing activities and so must be classified as operating cash flows. However, as stated above the use of these funds is
restricted and they cannot be used to cover other PaySauce expenses, the company has therefore presented operating
cash flows in the Cash Flow Statement as both before and after this movement in funds. The value of restricted funds at
reporting date is represented by funds due to customers and IRD as disclosed in the Statement of Financial Position.
15. Contingencies
As at 30 September 2025 the Group had no contingent liabilities or assets (2024: $nil)
16. Events occurring after the reporting period
No adjusting or significant non-adjusting events have occurred between the reporting date and the date of authorisation.

3637
FINANCIAL STATEMENTSFINANCIAL STATEMENTS
Investor Calendar
FY26 Year end
31 March 2026
FY26 Annual result announcement
May 2026
Annual Shareholders Meeting
September 2026
FY27 Half year
30 September 2026
FY27 Interim result announcement
November 2026
Company Directory
Directors:
Asantha Wijeyeratne
Gavin Thompson
Jim Sybertsma
Mark Samlal
Shelley Ruha
Registered Office:
85 The Esplanade
Petone, 5012
New Zealand
Website:
www.paysauce.com
Auditor:
Grant Thornton New Zealand Audit Limited
Stock Exchange:
NZX
Share Registrar:
MUFG Corporate Markets
Level 30, PwC Tower, 15 Customs St West,
Auckland CBD,
New Zealand
NZ Company Number:
1719868
NZBN:
9429034458099

38
FINANCIAL STATEMENTS

---

1H 2026 RESULTS
PRESENTATION
SIX MONTHS ENDED SEPTEMBER 2025

The information in this presentation is of a general nature and does not constitute financial product advice, investment advice or any other
recommendation. Nothing in this presentation constitutes legal, financial, tax or other advice.
This presentation should be read in conjunction with, and is subject to PaySauce’s Annual Report, market releases and information
published on PaySauce’s website - www.paysauce.com
This presentation may contain forward-looking statements about PaySauce and the environment in which PaySauce operates, which are
subject to uncertainties and elements outside of PaySauce’s control - PaySauce’s actual results or performance may differ materially from
these statements. PaySauce gives no warranty or representation as to its future financial performance or any future matter.
This presentation may include statements relating to past performance, which should not be regarded as a reliable indicator for future
performance.
This presentation may include information from third parties believed to be reliable; however, no representations or warranties are made as
to the accuracy or completeness of such information.
While reasonable care has been taken in compiling this presentation, none of PaySauce nor its subsidiaries, directors, employees, agents or
advisors (to the maximum extent permitted by law) gives any warranty or representation (express or implied) as to the accuracy,
completeness or reliability of the information contained in it, nor takes any responsibility for it. The information in this presentation has not
been and will not be independently verified or audited.
No person is under any obligation to update this presentation at any time after its release to you or provide you with further information
about PaySauce.
Please refer to the Glossary for definitions of key terms used in this presentation.
All currency amounts are in New Zealand Dollars unless stated otherwise.
DISCLAIMER
2

AGENDA
1. Interim Highlights
2. Financial Results
3. Q&A
Asantha Wijeyeratne
CEO & Co-Founder
Jaime Monaghan
Chief Financial Officer
3

INTERIM
HIGHLIGHTS
Asantha Wijeyeratne
CEO & Co-Founder
4

Increased the value of our existing customer base
Maintained profitability and positive free cash flow
Funded Global Payroll Platform & Australian product from growth in New Zealand
FY26 INTERIM HIGHLIGHTS
EBTDA
Up +$231k YoY
779
$
k
Total LTV
Up +20% YoY
60.5
$
m
ARR
Up +6% YoY
9.2
$
Net Profit before Tax
Up +$154k YoY
302
$
k
m
Strong execution and continued growth
5

GLOBAL PAYROLL PLATFORM
Product foundation set for global aspirations
Our Global Payroll Platform is highly configurable for
multi-jurisdictional payroll - its layered design gives us
the ability to plug-in new payroll rules without
impacting other parts of the code base.
Clear gap in the market with fragmented solutions
from competitors - our competitive advantage comes
through simplifying the complexity - starting with the
well understood Dairy sector to test and inform.
Funded entirely from free cash
flow - our Global Payroll Platform
will power the future of PaySauce
Australia is the first target
jurisdiction with 700,000
underserved micro-businesses
1
6
1.https://www.asbfeo.gov.au/small-business-data-portal/number-small-businesses-australia

FINANCIAL
RESULTS
Jaime Monaghan
Chief Financial Officer
7

1H 261H 25Change 
Total recurring revenue$4.5m$4.3m +5%
Gross margin$3.5m$3.3m +5%
Gross margin percentage77.7%77.7% flat
Net profit before tax (NPBT)$302k$148k+$154k
Earnings before tax, depreciation &
amortisation (EBTDA)
$779k$548k+$231k
Free cash flow+$33k+$199k-$166k
FINANCIAL RESULTS
ARR grew +6% against the prior year as a +15% increase
in ARR from processing fee revenue offset a -20%
decline in ARR from interest revenue.
Gross margin percentage remained flat year on year
with increased efficiency in serving customers
offsetting decreased interest revenue.
EBTDA grew +$231k and NPBT grew +$154k year on year
as revenue growth outpaced increased expenditure.
Maintained positive free cash flow whilst funding
product development. Closing cash position of $272k,
plus a $350k undrawn facility with BNZ.
Maintained revenue and bottom line growth despite adverse conditions
8

Acquisition costs decreased slightly, to offset fewer new
customers - keeping CAC per addition flat.
ARPU whilst bolstered by processing fee growth, decreased
overall as interest revenue fell.
Cost to serve each customer reduced as economies of scale
continue to be realised.
Customer retention increased, increasing the implied
customer lifetime.
Total customer lifetime value increased to $60.5m (up
+20%) as customers increased to 8,506 and customer
lifetime value increased to $7,109 per customer.
CUSTOMER METRICS
Continued to expand customer value
9

OUTLOOK
Strong underlying performance in New Zealand:
Processing fee revenue remains the key driver of shareholder value, with
increases from new and existing customers;
Further declines in interest income are anticipated in line with market
expectations of further drops in the Official Cash Rate (OCR) as the monetary
easing cycle nears the end;
Increased stimulus for new customers to hire staff and invest in future systems.
Opportunities to refine and grow in Australia:
Building momentum for our Australian launch in February;
Australian tax year end is June;
Payday super rules that apply from July 2026 already incorporated.
Poised for an acceleration in growth
10

QUESTIONS
11

Recurring revenue is revenue that is expected to repeat into the future. Recurring revenue for PaySauce consists of:
Processing Fees - the monthly or annual subscription customers pay for PaySauce payroll products.
Interest Income - interest earned from funds held on behalf of New Zealand PaySauce customers. As interest earned on these funds grows directly in relation to the number of customers, this is considered
an additional recurring revenue stream.
Annualised recurring revenue (ARR) multiples the recurring revenue generated in the last month of the period by 12 to annualise the current recurring revenue.
Average Revenue per User (ARPU) is the total recurring revenue for the last month of the period, divided by the total customers processing payroll that month.
Cost to serve consists of customer support costs and expenses such as cloud hosting, maintenance of our software products, and bank fees charged per customer transaction.
Cost to serve per customer (CTS) is the total recurring revenue for the last month of the period, divided by the total customers processing payroll that month.
Gross margin, when discussed as a SaaS term, represents our recurring revenue less the cost to serve our customers, and is also often expressed as a percentage, where the gross margin is divided by the
recurring revenue.
Customer acquisition costs relate to acquiring and onboarding new customers. These consist of sales and marketing people costs and expenses such as digital marketing, events and sponsorship. These costs
are expensed as incurred as they do not relate to any specific customer or contract for services.
Customer acquisition cost per customer (CAC) divides the total customer acquisition costs by the new customers for the period.
Earnings Before Tax, Depreciation and Amortisation (EBTDA) is calculated by adding back depreciation, amortisation, asset impairment and income tax expense to the amounts reported in the NZ IFRS-based
financial statements. PaySauce believes that this measure provides useful insights to measure the performance of PaySauce as a SaaS business.
Free cash flow is a non-GAAP financial measure that has been included to demonstrate net cash generated by, and invested into the business. PaySauce defines free cash flow as cash flows generated from
operating activities less cash flows used for investing activities (excluding funds held on behalf of customers).
Monthly average churn rate is the 12 month average of the net reduction of customers in a calendar month. This is expressed as the percentage of the total customers at the start of that month. The estimated
customer lifetime (in months) is derived using the inverse of monthly average churn rate (being 1 divided by the monthly average churn rate).
Customer lifetime value (LTV) is a measure of the gross margin each customer brings in over the time they use PaySauce. LTV is calculated by multiplying the gross margin per customer by the estimated
customer lifetime.
Total customer lifetime value (Total LTV) is a measure of the estimated value of the current customer base, assuming that churn, revenue and cost to serve remain constant. This measure is calculated by
multiplying customer LTV by the total number of customers.
LTV : CAC is a measure of the return on investment of acquiring a new PaySauce customer. This measure is calculated by dividing the customer LTV by the CAC per addition.
OCR stands for Official Cash Rate, and is the benchmark interest rate set by the Reserve Bank of New Zealand (RBNZ) to influence the country's interest rates. The OCR impacts the interest revenue that PaySauce
generates on the funds held on behalf of customers, an increase in the OCR will increase in the interest revenue generated, whilst a decrease in the OCR will decrease the interest revenue generated.
Note - the terms and metrics above are Non-Generally Accepted Accounting Principles (non-GAAP) measures and should not be viewed in isolation, not considered substitutes for measures reported in accordance
with New Zealand Equivalents to International Financial Reporting Standards (NZ IFRS). Refer to the PaySauce Annual Report for further information.
GLOSSARY
12

THANK YOU!
13