Integrated Research Limited (IREHF) AI Stock Analysis

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Integrated Research Limited

(Other OTC:IREHF)

Rating:―N/A

Action:N/A

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Positive Factors

Conservative balance sheetVery low leverage limits interest and refinancing pressure, while substantial equity and stable assets provide resilience during operating volatility. This financial flexibility can help Integrated Research preserve strategic options and fund required investment without relying heavily on additional borrowing.

Negative Factors

Sharp revenue contractionA material revenue decline weakens the company’s scale economics and reduces the base from which future growth can compound. If sustained, lower sales can constrain investment, diminish operating leverage, and make it harder for the business to restore prior profitability levels.

Integrated Research Limited (IREHF) vs. SPDR S&P 500 ETF (SPY)

Market Cap: $36.48M
Dividend Yield: ―
Average Volume (3M): ―
Price to Earnings (P/E): 40.3
Beta (1Y): 0.30
Revenue Growth: -11.15%
EPS Growth: -89.51%
Country: US
Employees: 138
Sector: Technology
Sector Strength: 61
Industry: Software - Application

Integrated Research Limited Business Overview & Revenue Model

Company Description

Integrated Research Limited (IRI.AX), an Australian company founded in North Sydney in 1988, specializes in developing, deploying, and selling computer software for managing critical IT systems. Their solutions address business-critical computing, un...

Integrated Research Limited Earnings Call Summary

Earnings Call Date:Feb 25, 2026(Q2-2026)|% Change Since:6.94%|Next Earnings Date:Feb 24, 2027

Earnings Call SentimentNeutral

The call presents a mixed picture: meaningful near-term financial headwinds driven by a large one-off expected credit loss and continued churn in core product lines caused profitability to turn negative and pro forma revenue to decline. Offsetting this, IR has a strong cash position (no debt), improved operating cash flow, important product launches (Iris, Elevate), a significant deployment with a top-10 U.S. bank, and a clear product-led growth roadmap including an IR Labs MVP planned for calendar 2026. Management expects higher investment in H2 to fund growth. Overall, strategic product progress and balance-sheet strength are positives, while earnings, renewals volatility and near-term expense increases are material negatives — yielding a balanced outlook.

Positive Updates

Statutory Revenue and Pro Forma Revenue

Statutory revenue for H1 FY26 was $28.3M, slightly down 2% versus PCP. Pro forma revenue (underlying measure smoothing license fees) was $34.4M, down 6% versus PCP with term-based contracts down 4% and services down 2%.

Negative Updates

Large Expected Credit Loss and Impact on Earnings

A $4.8M expected credit loss (principally related to a single reseller client) was recorded in G&A, driving the company to an operating EBITDA loss of $3.1M and a net after-tax loss of $1.5M versus PCP profits of $4.6M for both measures.

Company Guidance

Management reiterated that H1 FY26 results were at the upper end of the guidance range issued 14 Nov 2025 and provided clear near‑term guidance around investment and timing: statutory revenue was $28.3m (down 2% PCP) and pro forma revenue $34.4m (down 6% PCP), license fees were up 4%, EBITDA was a loss of $3.1m (vs. EBITDA profit $4.6m PCP), net after‑tax loss $1.5m (vs. $4.6m profit PCP), and an expected credit loss charge of $4.8m materially impacted earnings; operating expenses excluding that charge were $26.5m (down 4%), with product & technology +14% and S&M -9%. They flagged H2 FY26 expense increases to accelerate the product‑led growth program, plan an IR Labs AI MVP in CY‑26 and Iris rollouts to Transact and Infrastructure toward the end of FY26, and expect subscription fees flat or down ~3% PCP; cash of $43.6m (up $3m, +8%), operating cash flow $5.5m (vs. $0.5m PCP), net assets $95.7m (down 5%), no debt and NTA/share $0.53 (down 7%) were cited as funding headroom to execute the plan.

Integrated Research Limited Peers Comparison

Overall Rating

UnderperformOutperform

Sector (61)

Financial Indicators

IREHF against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AU:CXZ	76Outperform	AUD 17.67M	5.35	28.96%	―	4.70%	6.82%
Sector *	61Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
AU:HSN	58Neutral	AUD 739.84M	15.39	12.46%	2.70%	-1.53%	10.09%
AU:AR9	51Neutral	AUD 36.28M	-2.26	-80.59%	―	119.88%	-118.99%
AU:DUB	51Neutral	AUD 18.99M	-2.33	-86.45%	―	-16.88%	82.25%
AU:PRO	44Neutral	AUD 5.56M	-0.70	168.57%	―	-15.34%	-19.32%

* Technology Sector Average

Performance Comparison

IREHF and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
IREHF	Integrated Research Limited	0.18	0.01	6.94%
AU:HSN	Hansen Technologies Limited	3.71	-2.13	-36.47%
AU:CXZ	Connexion Telematics Limited	0.02	-0.00	-7.69%
AU:AR9	archTIS Ltd.	0.08	-0.01	-11.58%
AU:PRO	Prophecy International Holdings Ltd	0.07	-0.11	-61.67%
AU:DUB	Dubber Corporation Limited	0.01	-0.01	-50.00%

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Integrated Research Limited AI Stock Analysis