✦ What Is Left of the GrandfatheringNarrow moat
Text (TXT) — the future bets
The price rise that lifted recurring revenue 7,6% in a quarter has only reached the monthly payers.
The single largest driver of Text's reported numbers this year is a price increase working its way through the installed base in stages.
Text raised LiveChat prices for new customers on the Team and Business plans in September 2025. In March 2026 it began telling customers still on older price lists that the change was coming. From April 2026 those customers began moving: monthly payers were transferred during the June quarter, and customers on annual plans transfer at the end of the period they have already paid for1.
The effect on the reported metric was immediate. Monthly recurring revenue rose 7,6% quarter on quarter to 7,46 million dollars, and the chief executive attributed the growth mainly to the end of price grandfathering2.
So a meaningful part of the increase still lies ahead, spread across the coming twelve months as annual subscriptions come up for renewal. On the current plan ladder the affected tiers are the two middle ones — 49 and 79 dollars a seat billed annually3 — which is where the bulk of a professional support team sits.
What comes with it is the customer response, and that has been deferred by exactly the same mechanism. An annual customer cannot leave until renewal.
Text's own base rate for departures is 4% of LiveChat customers a month4. The question is whether the repriced cohort leaves faster than that.
The measure is net: recurring revenue in the quarters after migration completes. Text publishes operating metrics including recurring revenue and payments received after each quarter ends5, so the arithmetic will be visible within a year.
Monthly payers were repriced in the June quarter and annual payers migrate as subscriptions expire, so a meaningful part of the increase is still ahead - along with the customer response to it.
Prices on LiveChat's Team and Business plans rose in September 2025; existing customers began migrating in April 2026, with monthly payers moved in the June quarter and annual payers moving as subscriptions expire. So a meaningful part of the increase is still ahead - and so is the customer response, deferred by the same billing structure. Text's base rate for departures is 4% of LiveChat customers a month.
Source: Text Group results for Q1 of the 2026/27 financial year ↗- ReportedFrom April 2026 those customers began moving: monthly payers were transferred during the June quarter, and customers on annual plans transfer at the end of the period they have already paid for.Text Group results for the first quarter of the 2026/27 financial year, published 28 August 2026 (revenue of PLN 83,20m, down 1,9% year on year and up 4,1% on the previous quarter; net profit PLN 29,11m down 6,2%; operating profit PLN 31,36m down 11,0%; EBITDA PLN 38,56m down 7,4%; revenue in US dollars of 22,61m up 2,1%; MRR of USD 7,46m at 30 June 2026, up 4,0% year on year and 7,6% on the previous quarter, giving ARR of USD 89,52m against the USD 100m goal, with the chief executive attributing the growth largely to the completion of price grandfathering for LiveChat customers; a record PLN 77,2m of deferred revenue and net operating cash flow up 22,2% to PLN 41,5m on a high share of annual payments; margins of 69,6% gross, 37,7% operating, 46,4% EBITDA and 35,0% net; SOC 2 Type 2 attestation in May 2026; the new visual identity and Go-To-Market start in May 2026; purchase of the livechat.ai domain and a seventh US patent in June 2026; a Klaviyo integration and Google Cloud Marketplace listing in July; a MarTech Breakthrough award and an official ChatGPT marketplace listing in August; and the annual general meeting of 6 August 2026 allocating PLN 109,7m to dividends, PLN 4,26 per share) — Q1 2026/27 · publ. 28 August 2026 · source ↗
- ReportedMonthly recurring revenue rose 7,6% quarter on quarter to 7,46 million dollars, and the chief executive attributed the growth mainly to the end of price grandfathering.Text Group results for the first quarter of the 2026/27 financial year, published 28 August 2026 (revenue of PLN 83,20m, down 1,9% year on year and up 4,1% on the previous quarter; net profit PLN 29,11m down 6,2%; operating profit PLN 31,36m down 11,0%; EBITDA PLN 38,56m down 7,4%; revenue in US dollars of 22,61m up 2,1%; MRR of USD 7,46m at 30 June 2026, up 4,0% year on year and 7,6% on the previous quarter, giving ARR of USD 89,52m against the USD 100m goal, with the chief executive attributing the growth largely to the completion of price grandfathering for LiveChat customers; a record PLN 77,2m of deferred revenue and net operating cash flow up 22,2% to PLN 41,5m on a high share of annual payments; margins of 69,6% gross, 37,7% operating, 46,4% EBITDA and 35,0% net; SOC 2 Type 2 attestation in May 2026; the new visual identity and Go-To-Market start in May 2026; purchase of the livechat.ai domain and a seventh US patent in June 2026; a Klaviyo integration and Google Cloud Marketplace listing in July; a MarTech Breakthrough award and an official ChatGPT marketplace listing in August; and the annual general meeting of 6 August 2026 allocating PLN 109,7m to dividends, PLN 4,26 per share) — Q1 2026/27 · publ. 28 August 2026 · source ↗
- ReportedOn the current plan ladder the affected tiers are the two middle ones - 49 and 79 dollars a seat billed annually - which is where the bulk of a professional support team sits.Text Group Management Board report for 2025/26, margins, costs and cash (gross profit margin on sales of 67,6%, operating margin 38,6% and net margin 35,4%; cloud infrastructure costs rising, the migration completing in July 2025 after more than a year of duplicated cost, and completion not translating into cost reductions because of price increases regardless of provider and a deliberately expanded scope of purchased services; increased consulting, legal and public relations costs; fourth-quarter costs falling on cloud optimisation; a warning that more intensive use of artificial intelligence may cause further cost increases and that rising AI costs should press hardest on competitors offering free or freemium products; operating cash flow of PLN 161,6m and PLN 62,8m of cash; and a dividend policy of allocating the highest possible part of profit to shareholders) — FY2025/26 · publ. June 2026 · source ↗
- ReportedText's own base rate for departures is 4% of LiveChat customers a month.Text Group Management Board report for 2025/26, key performance indicators (monthly recurring revenue of USD 6,93m at 31 March 2026, down 2,7% year on year and 0,7% on December, giving annual recurring revenue of USD 83,12m; revenue in US dollars of 88,2m against 88,6m, down 0,5%; payments received of USD 87,9m, down 0,7%; Q4 dollar revenue of 22,56m, the highest since Q2 2024/25; a LiveChat customer churn rate of 4% on a monthly basis with net MRR churn described as significantly lower; LiveChat at 83,7% of group revenue with ChatBot 8,7% and HelpDesk with KnowledgeBase 7,5%; and an average USD/PLN translation rate 8,0% lower than the prior period) — FY2025/26 · publ. June 2026 · source ↗
- ReportedText publishes operating metrics including recurring revenue and payments received after each quarter ends, so the arithmetic will be visible within a year.Text Group Management Board report for 2025/26, key performance indicators (monthly recurring revenue of USD 6,93m at 31 March 2026, down 2,7% year on year and 0,7% on December, giving annual recurring revenue of USD 83,12m; revenue in US dollars of 88,2m against 88,6m, down 0,5%; payments received of USD 87,9m, down 0,7%; Q4 dollar revenue of 22,56m, the highest since Q2 2024/25; a LiveChat customer churn rate of 4% on a monthly basis with net MRR churn described as significantly lower; LiveChat at 83,7% of group revenue with ChatBot 8,7% and HelpDesk with KnowledgeBase 7,5%; and an average USD/PLN translation rate 8,0% lower than the prior period) — FY2025/26 · publ. June 2026 · source ↗