Airtasker Limited (ASX:ART) is an online marketplace for local services, connecting people and businesses who need work done with people who want to work. ART has reported its Q4 FY25 trading update with key RaaS KPIs accelerating from the positive Q3 FY25 trends. Another quarter of positive cash flow was achieved, resulting in a net cash position of $19.1m. International revenue growth accelerated on the back of higher marketing spend (both cash and non-cash), with US Q4 FY25 growth of 755% (up from 399% in Q3 FY25) and UK revenue growth of 105%. Australian marketplace revenue growth was a standout, up 20.7% (up from 10.6% in Q3), driven by growth in booked tasks relative to Q3. The H2 FY25 EBITDA loss incorporating all non-cash media capital was $18.6m ($2.5m loss excluding), lower than RaaS estimates (-$20.3m) due to lower international non-cash spend. Total revenue was in line with our estimates. As marketing moderates in FY26 on a higher revenue base we forecast a lower reported loss in FY26 and an EBITDA profit in FY27 (albeit dependent on where advertising spend settles). That said we have lowered our FY26-FY28 revenue estimates by 6%-9%, and FY27 EBITDA by 40%. Our DCF valuation has been revised to $0.53/share (from $0.64/share) as a result.
