Hello and welcome to Catapult's fiscal year 2022 results. We are sharing this pre-recording today, and we will follow this with a live conference call tomorrow morning in Australia. I'm delighted to have with me Hayden Stockdale, Catapult's Chief Financial Officer. Hayden will cover our P&L in more depth, while I will share a set of metrics today that I believe show how Catapult has reached an exciting and incredible new inflection point. Now, before we dive into the numbers, I know there are a lot of new people listening in who are new to the Catapult story. I want to share a little bit of a background on what we're sort of passionately pursuing here at Catapult. We believe we will be the technology company that unleashes the potential of every league, athlete, and team on Earth.
We see ourselves doing this by building the leading data and analytics platform for sports performance. Now, we see this platform coming together by cutting-edge technology that exists currently in the market. At the heart of that platform is our athlete monitoring system. This is what you will hear being referred to as a performance and health vertical today. This system is a system of elite wearable solutions that help teams track athlete performance to optimize development, manage injury risk, and expedite return to play. Now, that system is coupled with a software and analytics solution, which encompasses two areas. A video analysis system, what we consider here as tactics and coaching, and our athlete management system. The best way to think about this is that it's an end-to-end platform designed for efficient analysis and communication of key insights, live and post-match.
We believe these two core solutions will come together to generate new insights that will become predictive and prescriptive in nature, changing the way sports performance is managed and the way athletes are developed. Now, alongside these two great solutions, at Catapult, we also have a media and services arm, where we support leagues and conferences with content licensing, asset management, and broadcast enhancement services. Now, this technology that currently exists in the market is already being utilized by the very best teams and leagues in the globe. We have over 3,400 elite teams across 40 different sports in over 100 countries. These include champions of basketball, American football, European soccer, and Australian football. This also includes some of the most demanding leagues across the planet.
We are leading in this space, and we're building the technology that will change the way the game is played. Now let's talk about our fiscal year 2022 results. I couldn't be more excited to say that Catapult has finally reached this major inflection point, something I've been pursuing for the last two years since joining the company. First, our SaaS move is complete. Subscriptions today account for 92% of total revenue. For our core business of elite wearables, so pro P&H, subscriptions now account for 98% of all revenue. What this means is that the drag on total revenue growth from the switch moving away from capital sales into subscriptions is completely behind us today. Another magnitude of change as we've moved into full subscription has been how our base has developed.
Our pro customer base that is now under contract has grown by 16.3%, and we've been able to lift the average ACV of our pro customers by 4.2% in the last fiscal year. It's a phenomenal achievement in just two years since starting this journey to move into a SaaS business model. Another inflection point, and we knew that we needed to change our core growth engine of wearable solutions back into high gear. I am delighted to announce that our ACV growth in our wearable solutions today has grown to 32% and climbed from 16% growth rate from FY 2020. With the Americas, our core region, growing this past year at 51%.
Subscription revenue in this market, or rather this vertical for us, also now started to hit and follow our ACV growth, and it grew at 31%, and that was coupled with ACV churn of 3.5%. Our core growth business is back at high growth again. The third, and probably the most important inflection point of our company, is that after years of promising the ability to integrate wearable data with video analysis, in just seven months after acquiring SBG. We've been able to integrate the core solution MatchTracker with our core wearable solution Vector well ahead of plan time. Now, the key region, and rather the only region to benefit from this integration was APAC, because we launched it at the end of fiscal year 2022.
During its key selling season, we saw ACV growth in our video analysis in APAC at 29.7%. We were able to sign amazing marquee deals across the globe just based on what they were seeing even before we brought it to market. The fact that these three components are coming together really is shaping a completely new future for Catapult as we go forward, and we'll dive into this in a minute. Let's talk about each of these inflection points and why I believe they're so important to the future of our business. As I mentioned, we now have 92% of our revenue that is contracted and recurring. That's an incredible transition from just two years ago, where only 72% of our revenue was contracted and recurring.
If you look at the chart on the right, what you'll notice is that in our core elite wearables business, that number was actually lower. It was 65% in fiscal year 2020 and actually 62% in fiscal year 2019. We've been able to bring that number up to 98%. Again, what it means is that the drag on total revenue growth is now completely behind us. The other component, as I mentioned, is that this shift into SaaS has created a stronger customer base and an improved average ACV. What you'll see here in this chart is that our Pro customers that are under contract and contributing to ACV has grown 16.3%, and our total ACV customers have grown 13.5%.
The average ACV of our Pro customers is now $24,200, up 4.2% in the last fiscal year. While we saw churn in legacy capital customers, these customers continue to be in our pipeline, and we anticipate recapturing them over the coming year under multi-year subscription deals. Now, the second inflection point that makes us very excited is that core growth business, our wearables elite business. In our P&H Pro, our ACV this past year was up 32%. More importantly is that subscription revenue has now aligned with ACV growth, and that means that as we grow ACV, we anticipate subscription to be in line with it.
Now, why we continue to be incredibly excited to return this market vertical back into high growth gear is if you look at the chart on the left, we know this market is incredibly attractive. There are 20,000 professional teams across the globe. We only have about a 10% market penetration, so about 2,000 teams. We know now that this market is an established subscription model. It is a model that accepts high growth because we're delivering high growth. The customers in this market are very attractive from a value perspective and a churn perspective. We anticipate that the average customer provides 20,000 average ACV at an average churn of 3.5%.
Given our global footprint across 40 sports and 100 countries, we anticipate the ability to continue to grow and accelerate our growth in this market to land new customer logos. We'll continue. Now, on the next slide is why we really get excited about creating a new growth engine. Because given our leadership in our wearables vertical, we know that it provides the perfect launchpad for us to expand our T&C solution, our video analysis solution. The fact that we've been able to integrate both of these solutions, we've created a unique market proposition that is poised to achieve growth. As I mentioned, the only regions who benefit from this integration in the past fiscal year was APAC, and very quickly, we saw growth rates accelerating to nearly 30%. Now, this market is even more attractive for us. It has also 20,000 teams.
Our market penetration there is under 2.5%. We know we have over 1,850 teams that we could cross-sell video into, given our leadership in wearables. We know it's also an established subscription model. It has improved unit economics, with gross margins of over 90%. Now, the really exciting part is that the average ACV per customer in this solution vertical is 2x that of our wearable solution, with an average churn rate of 1.5%. Given our high growth indicators and our unique technology being brought to market today, we believe we have found a second major growth engine for Catapult.
Why we get excited by all of this is that a few months back, we did an investor day presentation where we said we had a strong strategy to reach over $400 million of ACV. What we're seeing today is that strategy kick in. We have returned our core business, pro P&H, into high growth gear. That was one element of us getting to that $400 million. We have created now a secondary growth engine with video, and that was our expansion strategy. We are seeing the benefit of moving our customers into a subscription model and being able to bring them new solutions that are based on algorithmic insights that will allow us to expand the ACV per customer. That was the third component to our growth strategy.
Finally, we're also seeing the ability and the muscle in the company to integrate inorganic acquisitions. A little bit later, I'll share that our mass market opportunity is starting to show some very bright lights. These four components are coming extremely well together to indicate that our ability to reach $400 million in ACV is very attainable. Let's talk about how these metrics are all coming together from a company-wide perspective. Across the company, our SaaS metrics are converging incredibly strong. We were able to deliver 23% ACV growth on a constant currency basis. Again, that was driven by our core business growing at 32%, our video analysis business growing at 6.5%. Again, this excluded the key selling season in Northern Hemisphere for the new integrated products we've brought to market.
Our prosumer business also had an ACV growth of nearly 300%. The average customer duration, which shows us that our ability to keep our customers utilizing our solutions for long, actually has increased once again to 5.8 years. Probably the most incredible number in our company-wide SaaS metrics is that our ACV churn has dropped by 38% to 3.4%. In 20 years of operating a subscription business, I have never seen an annual churn this low. Now, another important muscle for us in terms of a SaaS business is how well are we doing in cross-selling new solutions into our existing customer base? We were quite pleased to see that multi-vertical customers grew by 27% this past year. We anticipate this will continue to accelerate given the integration of video and wearables.
Actually, this number, and I'll share a little bit more about it later, when you normalize it to account for products that we're no longer supporting, we actually grew multi-vertical customers by 50%. Now, another major reason why we wanted to shift our business into a SaaS model was that in the long run, we wanted to see it improve our gross margin. This past year, our gross margin has expanded to 74.5% given the increased proportion of our subscription revenue. We anticipate with the increased sales of video that our gross margin will continue to improve into the next year. While contribution margin declined, it's done so in line with our planned investment in sales, product, and operations because we wanted to accelerate ACV growth.
What we've seen in FY 2022 is that we've had the ability to accelerate that ACV growth in line with our planned investment. Now, probably the most exciting aspect of our fiscal year 2022 presentation is that for the last 18 months, we've been talking about our input SaaS metrics. Today, we're excited to say that those metrics are starting to drive top-line growth. Subscription revenue grew 29%, and that's up from 3.3% in fiscal year 2021. Our total revenue has accelerated to 14.4%, and that's up from a decline of 7.4% in FY 2021 as the proportion of subscription revenue continue to now offset the cessation of capital sales.
Sorry, total revenue was up to $78 million on a constant currency basis, and we crossed a major milestone with our licensing business, which delivered over $10 million of revenue. The year-over-year movements in the underlying EBITDA, free cash, and R&D were in line with our planned investments in sales, products, and operations, as I mentioned, to accelerate our ACV growth. One very positive sign is that despite these significant investments, we continue to create positive operating cash flow that is positive. We are confident we can modify our capital investment at any time in order to generate positive free cash. Now, why I mentioned that the input metric is now driving the lagging metric could really be seen in this chart here. You can see from the last three years, our ACV growth has steadily gone up.
If you look at the chart on the right, just focused on wearables business, we went from having $22 million of subscription revenue in FY 2020 to now having $35 million, and we're already at $40 million of ACV today. We anticipate that indicator, that leading indicator, will continue to drive this lagging indicator of revenue now.
As they've caught up to each other, we're very excited that the lag component is pretty much over. You can see also in this chart that subscription revenue today is now more than replacing our capital revenue. Just on the second half of FY 2022, our subscription revenue was already higher than our total revenue in the second half of fiscal year 2021. Again, the drag in total revenue from the switch being behind us.
Anticipate that our total revenue growth will now closely track growth in our subscription revenue. Let's talk about where this growth is coming from. At Catapult, there's really four business that are driving subscription revenue. There's our wearables business, our P&H Pro. There's our video analysis business, our T&C. There's our management business, and then there is our prosumer business.
Across the board, our ACV grew 23% on a constant currency basis, again, driven primarily by that growth in P&H, up 32%. We talked a little bit about video. Management stayed flat as we have focused on really on the integration of wearables and video. We're gonna dive into each one of them and see what's happening. Within our wearables business, we had a really strong global growth, 32% across the globe.
More impressive was that in our core region, we saw a 51% growth of ACV, driven by new customers and upsell to existing university customers. We also saw incredible strong growth in APAC, where our ACV was actually up 30% from upsells of major customers in the region. While EMEA growth lagged, primarily in the second half of the year, impacted by regional issues that we saw in Southern Europe and Eastern Europe.
Our issues in Southern Europe were staff-related, which we have addressed, and we have now a full staff for sales in that region. Eastern Europe was primarily driven by the Ukraine and Russia conflict. Now, we anticipate that this will continue on to FY 2023, but we believe that it will be made up through the rest of the EMEA region.
Now, as I mentioned, the potential to have a new growth engine is really incredible. APAC being the only region to benefit from the integration of our solution in late FY 2022, was able to very quickly deliver 30% of growth in ACV. We also saw exciting momentum across regions, even before their key selling season.
We were able to sign marquee deals with NASCAR, Eintracht Frankfurt, VfB Stuttgart, the German Football Association, incredibly before they were expected to come in. We believe, given this integration of wearables and video, that we are very well positioned in EMEA with our soccer and rugby integration for FY 2023. We anticipate that we will also see acceleration in North America, with further integration coming out for American football, basketball, ice hockey, and ultimately baseball.
Quite exciting to see that not only we have our core engine going, but now we have a second engine beginning to hum. The next slide, I think, tells a story why we're very excited to have two products that are at top of their game. Cross-selling is becoming a key capability inside Catapult, and that bodes well for the growth of video products. In FY 2022, we saw a strong acceleration in cross-selling, growing over 27% in the past twelve months. Now, what's even more impressive is that growth in that multi-vertical customer was actually 50% when normalizing for run-off products, such as Vision, which is our old video product.
24% of this new multi-vertical customers were completely new to Catapult, and that's up from 15% in fiscal year 2021, which truly emphasizes that our strategy of broadening an integrated solution is really having an impact, even with new customers coming in. Our land and expand strategy is working. 69% of our cross-selling came from the addition of a video product into a wearable customer, and that's up from 34% in FY 2021.
Now, another aspect that has made us feel very bullish here at Catapult is that we're also succeeding in expanding ACV as we've integrated these solutions. The average ACV per Pro customer grew 4.2%, and 28% of that organic growth was movement in new customers.
A more impressive 71% was net upsell and cross-selling to current customers that had a lifetime duration of greater than two years. What this means is that as we land new logos and they get familiar with one product, what we're seeing is the ability to go back within just a short amount of time and add them to other areas of our platform. Quite exciting.
We don't talk a lot about our ability to move to mass market with our prosumer offering, because we've been focused on really sort of getting that business restarted, and back on track. In late first half of FY 2021, we launched Catapult One, and this was a subscription-only offering for prosumer teams and consumers. It was designed to replace two older solutions, PLAYR and PlayerTek.
In the past fiscal year, our ACV, the leading indicator again for future subscription revenue growth in this market segment, was up over 300%. Now, like our Pro segment, the switch here from going to subscription away from capital deals will have a negative impact in short-term recognized revenue. Just in FY 2022, our subscription revenue was actually up 97%. While our FY 2022 capital revenue declined 60%, we're very excited to see how quickly subscription revenue is being able to replace lost capital revenue in this business. The growth rate has really impressed us.
Now, it's early days still, and we're still working through some of the issues in terms of finding long-term growth, but the fact that we've been able to hit such a high growth rate again goes back to that strategy that allows us to take what we've built for the elite market and make it available to the mass market.
Now, one of the very interesting things is just how sticky our products are. As I mentioned, I've been working in subscription for a long time. I've never seen an ACV churn at 3.4%. The annual ACV churn has improved by 38%. If you actually exclude customers lost to run-off products, our ACV churn was even lower. It was at 2.7%.
An incredible metric is to say that for our customers in North America, that ACV churn was even lower at 1.7%. I think this reflects incredibly strong on Catapult's customer engagement and how deeply embedded we are into the daily workflows of their system. Our products continue to be solutions that generate long-term cash.
Our gross margin has continued to expand for the third year in a row, and we anticipate actually this gross margin to continue to increase with a proportion of subscription revenue and the improvement of gross margins of video products coming in. Again, while I mentioned contribution margin were lower in FY 2022, but they've been very consistent with the additional investment that we've put in to continue to accelerate ACV growth. The fact that we're seeing that acceleration is very pleasing to see.
Now, before I hand off to Hayden to cover some of the P&L components of the presentation, I want to talk just a little bit about some key highlights because we had so many this past fiscal year. As a company, we continue to win major multi-year deals. I already touched on a few, but these also included deals with the National Rugby League and our partnership with Champion Data and the AFL.
We continue to be market leaders. We now account for every NFL team as a client, the majority of the EPL and the Bundesliga. Almost all FBS schools and NCAA are Catapult clients. In FY 2022, through the acquisition of SBG, we now consider probably what is the hottest property in sport today, Formula One, also a client.
In FY 2022, we were able to step into new markets, NASCAR, eSports, even some broadcast testing that we did with Sky Sports and Super League. FY 2022 was a year of innovation. We finally saw the ability to integrate our video analysis with wearables. We were able to extend our video technology into basketball earlier than planned. We brought in unique market metrics for goalies in ice hockey and a baseball suite of performance analytics that really opened up our ability to capture baseball teams here in America. Of course, we introduced Catapult One, a performance subscription-based solution for the mass market. I also think as a management, we've done incredibly well in being good stewards of our cash.
At the end of fiscal year, we had over $26 million of cash in our bank, with a proven ability to generate positive free cash flow and EBITDA. We were fully, and continue to be, fully funded to accelerate our growth across technology, operations, and sales through the successful $45 million equity raise that we did last year. I couldn't be more proud of my team and the SBG team and how well the integration of that acquisition has gone. Not only have we been able to integrate our technology, but we've come together as a team incredibly well. With that, I'm gonna hand it off now to Hayden, who is gonna talk through our P&L in more depth.
Thanks, Will, and a big hello and welcome to everyone. I have to say, it's great to be back in front of our investors again with a really strong set of results. Now, before I kick off, just a reminder to everyone that the numbers we're presenting today are all in US dollars. As Will has pointed out, we do have a great set of financial results for FY 2022, and these really reflect on the continued improvement we're driving in the overall quality of our operations. These results have delivered accelerating momentum in our ACV, churn that continues to exceed all expectations, growth in our customer numbers and average pricing, the switching on of a second growth engine in video, and also the quantum shift in our revenue to now being full subscription from this point forward.
It's this last point, having a full and growing subscription business, that is now starting to deliver top-line growth. You'll see in the P&L statement here that total revenue grew almost $10 million to $77 million in FY 2022. On a constant currency basis, this was $78 million, and it was despite a $6 million drag coming from the switch away from capital. Now, I really want to emphasize this. When you add that $10 million and that $6 million up, we generated an almost $16 million increase in subscription revenue in FY 2022. That's 29% growth. We even managed to build on this further with improved gross margins coming from that subscription base. Gross margins are now almost 75%.
In the past, we've also spoken about our leverage to growth, and this comes through very strongly when you look at our contribution profit. The 14.4% top-line growth converts into 85% contribution profit growth, and that's despite making some significant additional investment in our variable cost base, impacting our contribution margin. At the fixed cost line, we see the result of our planned accelerated growth investment with an approximate $17 million increase in net fixed staff costs, about half of which is non-cash. On a gross basis, fixed staff costs were up $15.4 million, with two-thirds being investment in product and tech, while the remaining third is investment in scaling and the unwind of some COVID cost-saving measures.
As we look further down the P&L, of the $5.5 million in additional other fixed costs, about a quarter of this were one-offs related to the SBG acquisition. A quarter came from the resumption of travel, a quarter from higher recruitment costs as we've added significant headcount, and the remaining quarter from absorbing the SBG cost base and other miscellaneous items. Now, this has all resulted in a modest underlying EBITDA loss of $5.8 million, which was actually slightly ahead of our own expectations. If you think of this $5.8 million in the context of a $16 million subscription revenue increase, you can see how close we really are to generating significant positive cash flow if we want to. On the next slide, you can see how strong and broad-based our revenue growth from pro customers is.
Half of our subscription revenue growth came from Performance and Health. As Will pointed out, we also had Tactics and Coaching emerge as a second growth engine. Topping this off was a very strong result from Media and Engagement, which posted revenue north of $10 million for the first time. Now with the shift away from capital being behind us, we should see the end of the $6.5 million revenue drag here that's come from P&H Capital. On the following slide, we see the impact of our planned accelerated growth program on short-term earnings. Consistent with what you've seen on the previous slides, to the left side of this chart, you can see that EBITDA has risen as a result of accelerating revenue growth and expanding gross margins.
What we also show here is an additional $4.5 million investment in sales and marketing, an additional $7.9 million in product and technology, and a modest $1.6 million in overhead for scaling. Rounding this out is $2.2 million in additional non-cash employee share costs and $4.4 million in some one-off SBG acquisition costs and recruitment, travel, and miscellaneous items. The $8.4 million you see here in underlying EBITDA adjustments is all non-cash SBG purchase consideration that, for accounting purposes, runs through the P&L. On the next cash flow bridge slide, we see one of the hidden strengths actually of the Catapult business, and that's our negative working capital position. That is, our working capital actually helps us finance our growth.
In FY 2022, this has contributed $3 million to our cash position. In the previous year, we have benefited from a $1.7 million COVID grant, which wasn't replicated this year. You'll also see we invested just over $11 million in CapEx, additional CapEx, most of which is to do with the accelerated growth investment strategy, and that's broken down a little further on the next slide in the CapEx table. Here you'll see our CapEx has reached 17% of total revenue, which is in line with our two-year plan for accelerated growth. In the table, you can see that this investment has centered on our key growth engines of P&H, T&C, and our platform, where CapEx for each has approximately doubled. With that, I'll hand back to you, Will.
Thank you, Hayden. Before we talk about outlook, I wanted to just touch a little bit on our growth investment and how that's going. Starting last fiscal year, we embarked on an accelerated growth investment to get our ACV generating at a higher rate. We're halfway through that accelerated investment, and as a reminder for those of you who are new, all of our investments are guided by the Rule of 40. We are making these investments with a variety of range of returns, with technology initiatives returning between one to three years, sales within a year, and operations really designed to support the scaling, and we anticipate modest incremental investment beyond that.
We continue to be very cautious about our approach, and we continue to skew to near-term returns, and we're having plenty of monitoring gates that allows us to pull back investment if we desire or if the macro conditions dictate. I think one of the great things about the position that we're in as a company is that all of our planned organic investment remain fully funded. One of the things that have really made us bullish is that as we've been able to bring new technology from this investment out, whether through beta testing or through the integration we've just done, the feedback from our customers have been incredibly positive. We are delivering the set of solutions that they are looking forward to having in the future.
We are confident that not only our investment is going into the right areas, but that our growth outlook continues to be very positive. Before I talk actually about outlook, just a bit of a recap. Catapult has reached a major inflection point. Our SaaS move is complete. We now have 92% of our revenue that is subscribed and recurring. We are leaders in our wearable athlete monitoring solution, where we've returned this part of our business to high growth, climbing from 16% in FY 2020 to 32% by FY 2022. In our core region in North America, delivering growth of over 51%.
After many years of the long promise of integrating video along with wearables, in just seven months of acquiring SBG, we've been able to actually deliver that and create now what we believe is an exciting new growth engine for the company. Looking ahead, we are confident that our ACV growth will be strong in the short to the medium term, and we expect growth next year to come between 20%-25% with ACV churn in the ranges of 4.5%-6%. We continue to be confident in our ability to generate strong operating cash flow, and we expect operating cash flow to be positive next year in FY 2023. During FY 2022, we have been subject to increasing supply chain challenges and cost inflation, really as much of pretty much every company across the planet.
We expect these to continue at a modest degree throughout the year, impacting some cost and freight, COGS, wages and inventory. We continue to be fully funded for all of our organic planned investment in FY 2023. I couldn't be more pleased with the year we've had here at Catapult. I couldn't be more excited by the opportunity to now have one high growth product and now a second growth engine. With that, I look forward to talking to many of you over the coming weeks. I thank you for listening to the presentation, and I wish you all a very great day.