Hello everyone and thank you all for joining us during the Lytham Partners Spring 2026 Investor Conference. My name is Adam Lowensteiner. I'm Vice President at Lytham Partners, and today, Tracy Cho, Interim CEO of Tinybeans, along with Rebecca White, Chief Financial Officer and Executive Director, will be taking us through a brief slide presentation. Tinybeans trades under the ticker symbol of TNY on the Australian Securities Exchange, and TNYYF in the U.S. Let's get started. Tracy and Becca, welcome. I will turn the floor over to you both for your presentation.
Thanks, Adam. I'm delighted to be presenting Tinybeans' Q3 FY 2026 results today as Interim CEO. This has been a genuinely transformational quarter, the first EBITDA-positive quarter in Tinybeans history, and Rebecca and I are excited to take you through how we got there and where we are headed next. Before we get into the results, a quick disclaimer. As with any forward-looking statements, and there are a few in here, actual results may differ. All dollars referenced are in USD unless stated otherwise. With that noted, let's get started. For those of you who are new to Tinybeans, the key things you need to know are: we are the only privacy-first portfolio of memory platforms, purpose-built for families. We serve millions of families worldwide. We provide a private, secure place to curate, protect, and preserve the moments that matter most.
We currently operate two distinct platforms, Tinybeans and Keepsake, and together they form the foundation of our mission: to build a trusted portfolio of privacy-first platforms that empower families to hold onto the moments they don't want to forget, now and for generations to come. With that, I'll hand it over to Rebecca to take us through the numbers for our most recent quarter.
Thanks, Tracy. The last quarter has been, by every measure, a significant quarter for Tinybeans. First, and most importantly, we delivered an EBITDA profit of $8,000 against a loss of $328,000 in the prior corresponding period. This impressive result has been driven by the uplift in revenue for the quarter of 86% year-on-year, along with the early operating synergies realized following the acquisition of Keepsake. E-commerce revenue is up 678% year-on-year, driven primarily by the Keepsake acquisition and ongoing optimization across our photo book range. Subscription revenue is up 87% year-on-year, now representing 81% of total revenues. This shift in revenue mix is exactly what we've been working towards, a durable, high-quality revenue base that compounds over time. We finished up with cash at quarter end of $1.95 million.
With the business now sustainable, this provides us with a strong cash runway and capacity to strategically invest in product development and brand. The combined group now stands at around 95,000 paid subscribers across Tinybeans and Keepsake, a significant uplift in scale that we believe creates a strong foundation for growth and monetization. Underpinning all of this are product and platform advancements, including AI-powered journaling and a refined global growth strategy, which Tracy will run through in more detail later on. Looking at the chart on the left, the revenue trajectory speaks for itself. In Q3 of FY 2025, we were just under $1 million in total revenue. Fast-forward to today, and we've nearly doubled that to $1.79 million. The Keepsake acquisition has been the primary catalyst, bringing scale that would've taken considerably longer for us to build organically. This slide really captures the inflection point.
Five consecutive quarters of narrowing losses, culminating in a positive EBITDA result this quarter. Three drivers are behind that. First, the high margin revenue uplift post-acquisition, that 86% revenue growth I just walked through. Second, real operating synergies from integrating administrative and marketing functions and consolidating the key technology platforms. These are synergies that we underwrote at the time of the Keepsake acquisition, and they're now flowing through to the numbers. Third, ongoing cost discipline following a cost-out exercise we completed early in Q3. I want to be clear about what this number means and what it doesn't. $8,000 of EBITDA profit is, in absolute terms, a small number, but what it represents is a structural shift in the operating model. We're no longer burning cash to operate this business, and the Q3 operating cash inflows of $324,000 confirm that.
On that note, I'll hand back to Tracy now to take you through our operational performance and the outlook for the business.
Thanks, Becca. What does this quarter actually represent? For me, it's validation. Validation that the subscription-led model works, that the Keepsake acquisition was the right strategic move, and that the cost discipline we put in place earlier in the quarter is already showing up in the results. Beyond the EBITDA and revenue numbers we've already touched on, what gives me particular confidence is the quality of the underlying business. Across financials, subscriber metrics, and product, it was a strong quarter on every front. Now I'll walk you through some of the operational areas in more detail. We'll start with our subscriber base. Across both platforms, we now have approximately 95,000 paid subscribers. The headline metric here for me, however, is retention. Tinybeans sitting at 95%, which is incredibly strong by industry standards.
This reflects the stickiness of our subscriber base and the recent work the team has done on renewal communications. Once we get families into the app, they stick around. On customer acquisition cost or CAC, we're well below industry benchmarks for both platforms, which is an opportunity for us moving forward. ARPU has softened slightly on both products versus last quarter. That's largely a timing effect. Q2 benefited from Black Friday and Christmas e-commerce spike. The comparison isn't quite apples to apples. Subscriber performance remains strong across the group. As you all know, we're at an inflection point across the tech industry, where AI is rapidly moving from a differentiator to a baseline expectation.
For consumer apps, it will very soon be table stakes, and the companies that are embedding it thoughtfully into their product experience now will be the ones best positioned for when that shift fully arrives. For Tinybeans, AI isn't about bolting on a feature for the sake of a fancy headline. It's about solving real problems that the families using our apps actually care about. The number one feature parents tell us that they would pay for is photos that are organized and searchable. That's exactly what our AI photo organization work addresses with automated content tagging and smart album creation currently in development. For Keepsake, we've already launched AI-powered journaling prompts, personalized by each child's age and developmental stage. The early cohort data is encouraging, with improvements in engagement and increased content creation beyond the zero to two age range.
This directly supports both subscriber retention and our e-commerce revenue stream. Importantly, we're delivering these features within our existing product development budget. We're not chasing AI at any cost. We're applying it deliberately in the areas where it will have the greatest impact on engagement, retention, and conversion. Alongside our subscription revenue model, e-commerce is emerging as a really exciting incremental revenue stream. This quarter's 678% year-on-year growth, while partly reflecting the low base from pre-acquisition, demonstrates the genuine potential here. The proposition is elegant in its simplicity. Our users are already building up years of memories inside our platforms. The photo book is a natural extension of that. A premium Keepsake generated directly from the memories a family has already captured. That's a fundamentally different and more compelling offering than anything on a generic photo printing site. From an investor perspective, the margin profile is attractive.
High margin, incremental revenue sitting on top of our existing subscriber base from users we've already acquired. One of the first things I did coming into this role was to go back to the basics and ask who are our users, and what do they actually need? We had two platforms, two user bases, and an important strategic question to answer. Do we consolidate the two? Our internal research gave us a clear answer. The two apps have less than 1% overlap. The audiences have different needs, different behaviors, and different emotional relationships with their products. Trying to serve both with a single product would mean doing neither particularly well. Our strategy is to operate a multi-brand portfolio with each platform optimized for its audience, but with the benefits of running on a shared infrastructure that drives real operational efficiency across the group.
Importantly, the integration playbook we've built through this process is repeatable. As we look at future M&A opportunities, we now have a proven framework for how to bring platforms into the group, realize operational synergies quickly, and keep each brand true to its audience. This slide really gets to the heart of our growth challenge and also our growth opportunity. Our research told us something that fundamentally changes how we approach user acquisition. The average age of a new mom in the U.S. is now 27. That means our core target user is Gen Z, not millennial, and that distinction matters hugely in terms of how we reach them. They are no longer discovering apps through the App Store or Google. They find them through TikTok. They validate on Reddit, and increasingly, they're asking ChatGPT and Claude.
They have higher expectations of product performance from day one, and privacy isn't a feature that they are impressed by. It's a baseline requirement. Our organic growth has stalled, and we're being honest about that, but the opportunity is significant because we already have the product they're looking for. The work to be done now is about closing the gap between what we've built and how we're found. We're doing that across three pillars: shifting discovery towards the channels where Gen Z actually live, repositioning around privacy and emotional value of memories, and continuing to advance the product with AI features that make the experience feel automagical. The asset is already there. The next phrase is making sure the right people find it. This slide is one I feel excited about because the regulatory landscape is moving in our direction in a very meaningful way.
Across the U.S. and globally, we're seeing governments tighten children's data protection, restrict social media access for minors, and hold platforms accountable for how they handle family data. COPPA 2.0 is advancing in the U.S. Last year, the Surgeon General stated loneliness was a public health crisis, and social media platforms are being called out for exacerbating this epidemic. Australia has already legislated social media bans for under 16s, and more countries are following suit. Tinybeans was built 12 years ago with privacy at its core, long before any of this was a requirement. I want to share an email our customer support team recently received. The user said, "I thought you might appreciate a milestone from one of your longtime users. 11 years ago, in the weeks leading up to my daughter's birth, my wife and I created her album. The album has quietly grown up alongside her.
Thousands of moments captured and shared over more than a decade. Today marks something new. She's 11 now and officially old enough and eager enough to start adding her own photos to the very album that began the day she was born. It's a full circle moment. We now get to watch life memories added through her eyes. Your app has become the backdrop to an entire childhood. Thank you for building something that has allowed us to capture this journey, and one we hope will continue to span a generation. While the rest of the industry is navigating a trust crisis, we were already the alternative families are looking for. The tailwind is real, and we intend to make the most of it. That's the opportunity in front of us. Every year, 3.6 million babies are born in the U.S. alone.
Each one of those births represents a family entering what we call the golden window, the moment where daily habits form and emotional investment in preserving memories is at its peak. That's a large, predictable, renewing, addressable market. What makes Tinybeans' opportunity truly compelling is the lifetime value potential. Our product roadmap is being deliberately designed to extend that relationship across every stage, and our unit economics validate the model. A family that joins us at birth doesn't just need us for the first year. They need us through the broader parenting years and ultimately as a permanent family archive. The opportunity isn't just the size of the market, it's the depth of the relationship we can build with each family within it. I want to leave you all with a clear sense of where we're focused and what success looks like for us over the coming months.
We've reached a genuine inflection point. The priority now is on executing against the three pillars we've outlined: discovery, positioning, and product advancements with discipline and focus. We're well-positioned, the team is energized. We're looking forward to updating you on our progress. Thanks so much. Now I'll hand it back to you, Adam.
Thank you, Tracy and Becca, and thank you everyone for watching. If you have any questions or would like to schedule a meeting with Tinybeans, please send me an email at lowensteiner@lythampartners.com. If you'd like to learn more about Lytham Partners, you can visit our website at lythampartners.com or follow us on LinkedIn to stay connected about future events. We hope you enjoy the rest of the conference and have a great day.