ReadyTech Holdings (ASX:RDY) FCF Margin %: -6.89% (As of Dec. 2025)


ASX:RDY ReadyTech Holdings Ltd ASX:RDY
76 GF Score
Price A$1.55
GF Value A$3.35
Valuation Possible Value Trap
! 6 Warning Signs
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What is ReadyTech Holdings FCF Margin %?

ReadyTech Holdings ASX:RDY -6.91% 76 FCF Margin % is -6.89% as of Dec. 2025. GuruFocus rates ASX:RDY with a GF Score™ of 76/100 and a GF Value™ of A$3.35 (Possible Value Trap). The stock has 6 warning signs investors should review. Among 2,815 Software companies, ReadyTech Holdings ranks worse than 56.87% on this metric.

FCF Margin % is calculated as Free Cash Flow divided by its Revenue. ReadyTech Holdings's Free Cash Flow for the six months ended in Dec. 2025 was A$-4.2 Mil. ReadyTech Holdings's Revenue for the six months ended in Dec. 2025 was A$61.6 Mil. Therefore, ReadyTech Holdings's FCF Margin % for the quarter that ended in Dec. 2025 was -6.89%.

As of today, ReadyTech Holdings's current FCF Yield % is -0.42%.

The historical rank and industry rank for ReadyTech Holdings's FCF Margin % or its related term are showing as below:

ASX:RDY' s FCF Margin % Range Over the Past 10 Years
Min: -5.53   Med: 7.29   Max: 26.71
Current: -0.65


During the past 7 years, the highest FCF Margin % of ReadyTech Holdings was 26.71%. The lowest was -5.53%. And the median was 7.29%.

ASX:RDY's FCF Margin % is ranked worse than
56.87% of 2815 companies
in the Software industry
Industry Median: 2.41 vs ASX:RDY: -0.65


ReadyTech Holdings FCF Margin % Related Terms


ReadyTech Holdings FCF Margin % Historical Data

* Premium members only.

The historical data trend for ReadyTech Holdings's FCF Margin % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

ReadyTech Holdings FCF Margin % Chart

ReadyTech Holdings Annual Data
Trend Jun19 Jun20 Jun21 Jun22 Jun23 Jun24 Jun25
FCF Margin %
Get a 7-Day Free Trial 26.71 5.61 7.29 11.65 3.30

ReadyTech Holdings Semi-Annual Data
Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
FCF Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 8.75 14.33 1.02 5.40 -6.89

ASX:RDY vs CRM, SHOP, UBER: FCF Margin % Comparison

For the Software - Application subindustry, ReadyTech Holdings's FCF Margin %, along with its competitors' market caps and FCF Margin % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


ReadyTech Holdings FCF Margin % vs Software Industry

For the Software industry and Technology sector, ReadyTech Holdings's FCF Margin % distribution charts can be found below:

* The bar in red indicates where ReadyTech Holdings's FCF Margin % falls into.


ASX:RDY
76GF Score
ReadyTech Holdings Ltd ASX:RDY
FCF Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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ReadyTech Holdings FCF Margin % Calculation

FCF margin is the ratio of Free Cash Flow divided by net sales or Revenue, usually presented in percent.

ReadyTech Holdings's FCF Margin for the fiscal year that ended in Jun. 2025 is calculated as

FCF Margin=Free Cash Flow (A: Jun. 2025 )/Revenue (A: Jun. 2025 )
=4.026/121.837
=3.30 %

ReadyTech Holdings's FCF Margin for the quarter that ended in Dec. 2025 is calculated as

FCF Margin=Free Cash Flow (Q: Dec. 2025 )/Revenue (Q: Dec. 2025 )
=-4.245/61.618
=-6.89 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about FCF Margin % →
What does a FCF Margin % of -6.89% mean?
ReadyTech Holdings (ASX:RDY) has a FCF Margin % of -6.89% as of Dec. 2025. Free cash flow margin is the ratio of total free cash flow to net sales. View historical data on ReadyTech Holdings and its competitors. According to the industry distribution chart, ReadyTech Holdings ranks #1601 out of 2815 companies in the Software industry, placing it in the top 56.9%.
Is ReadyTech Holdings' FCF Margin % too high?
ReadyTech Holdings' current FCF Margin % is -6.89%. Based on the distribution chart, ReadyTech Holdings ranks #1601 out of 2815 companies in the Software industry, which is below the industry midpoint. Overall, ReadyTech Holdings has a GF Score™ of 76/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does ReadyTech Holdings' FCF Margin % compare to CRM and SHOP?
According to the Software industry distribution chart, ReadyTech Holdings ranks #1601 out of 2815 companies for FCF Margin %. This places ReadyTech Holdings in the lower half of its industry. The industry median FCF Margin % is 2.41. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good FCF Margin % for a Software company?
The median FCF Margin % among Software companies is 2.41, based on 2,815 companies in the industry. Companies in the top quartile (top 25%) have a FCF Margin % significantly above this median, while those in the bottom quartile fall well below. However, FCF Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high FCF Margin % mean?
A high FCF Margin % can signal that a stock is expensive relative to its fundamentals. Free cash flow margin is the ratio of total free cash flow to net sales. View historical data on ReadyTech Holdings and its competitors. For the Software industry, the median FCF Margin % is 2.41 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. ReadyTech Holdings's current FCF Margin % is -6.89%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is ReadyTech Holdings stock overvalued right now?
Based on GuruFocus' analysis, ReadyTech Holdings (ASX:RDY) is currently considered Possible Value Trap. The stock's GF Value™ is A$3.35, compared to a current price of A$1.55 — trading 53.7% below its estimated fair value. The current FCF Margin % is -6.89%. ReadyTech Holdings' overall GF Score™ is 76/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is FCF Margin % calculated?
FCF Margin % is calculated from a company's financial statements. For ReadyTech Holdings (ASX:RDY), the current FCF Margin % is -6.89% as of Dec. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is ReadyTech Holdings (ASX:RDY) Overvalued in 2026?

Based on GuruFocus' analysis, ReadyTech Holdings stock appears to be undervalued. The current stock price of A$1.55 is trading 53.7% below its estimated GF Value™ of A$3.35. GuruFocus considers ReadyTech Holdings to be Possible Value Trap.

Key valuation signals for ASX:RDY:

  • FCF Margin %: -6.89%
  • GF Value™: A$3.35 vs. price of A$1.55 (53.7% below fair value)
  • GF Score™: 76/100 with 6 warning signs

No single metric tells the full story. See the ASX:RDY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


ReadyTech Holdings Business Description

Address 77 King Street, Level 2, Sydney, NSW, AUS, 2000
ReadyTech Holdings Ltd is a provider of people management software for educators, employers, and facilitators of career transitions. Its products are JR Plus, A2E, HR3, ePayroll, JR Gov, Aussiepay, and others. The company's operating segments include Education and Work pathways, Workforce Solutions, and Government and Justice. It generates maximum revenue from the Government and Justice. The education segment mainly provides products and services to tertiary education providers. Its Workforce segment provides products and services to a mid-sized company across various industries. The Government division provides government and justice case management software as a service solution to local governments, state governments, and justice departments.
76GF Score

Get the complete analysis for ASX:RDY

FCF Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

A$1.55
Price
A$3.35
GF Value