Three ASX Growth Stocks Under the Spotlight: XRO, WTC and 360

These companies delivered strong FY26/Q2 2026 progress with business growth, stronger efficiency, product development and positive outlooks supporting their continued performance.

Xero Limited (ASX: XRO)

On 14 May 2026, announced strong FY26 performance with good growth across its business and improving operating efficiency. Customer additions remained strong, recurring revenue increased and customer value continued to rise. Australia and New Zealand delivered healthy growth, while international markets also performed well. US growth accelerated, supported by new customers and Melio, while UK performance remained positive with customer growth and early benefits from Making Tax Digital.

Xero also outlined progress in AI and product development. JAX expanded through automated bank reconciliation, personalised insights, web search and smart document capture. GenAI feature adoption increased during FY26. XeroForce was announced to help automate finance and accounting tasks, alongside partnerships with Anthropic and OpenAI.

Xero continued its 3x3 strategy across Australia, the UK and US. Melio added bill payment capabilities, while Ultra targeted medium-sized businesses. FY27 expectations indicate continued improvement, with FY28 aspirations focused on faster US growth and stronger overall performance.

WiseTech Global Limited (ASX: WTC) 

On 26 August 2026, announced strong FY26 performance with revenue growth, improved EBITDA and margins. The e2open acquisition, cost efficiencies, AI productivity and CargoWise Value Packs supported progress. Cash flow improved, while net leverage reduced ahead of expectations. CargoWise continued to grow through customer expansion, M&A and its new commercial model.

The company also advanced key strategic initiatives. More than 95% of CargoWise customers moved to Value Packs, while new SME and overall customer signings increased. CargoWise expanded its AI capabilities, with six AI agents available. e2open progressed toward a product-led model, while VerifyWise expanded through FRDM.ai. The new customs agreements were secured in New Zealand.

WTC provided a positive FY27 outlook, expecting continued revenue growth, stronger underlying EBITDA and margin expansion. Growth is expected from Value Pack adoption, agentic AI and new products including VerifyWise. Operating leverage and deleveraging are also expected to continue, although market conditions and global trade may affect performance.

Life360, Inc. (ASX: 360)

Announced better financial performance for Q2 2026 on 10 August 2026. Revenue, subscription income and advertising grew strongly. Profitability and operating cash flow also improved. The company maintained a healthy cash position.

The operating progress was also reported. Paying Circle additions reached a record Q2 level, taking the total to 3.2 million. Monthly active users increased to approximately 102.4 million, returning to the growth path outlined earlier. Average Revenue Per Paying Circle also moved higher, mainly due to greater adoption of higher-priced offerings in selected international markets.

For FY2026, Life360 kept its expected MAU growth range of 17% to 20%. Revenue guidance was increased to $650 million to $685 million, with subscription expectations raised and hardware expectations reduced. Advertising and other revenue ranges remained unchanged. Adjusted EBITDA guidance stayed at $130 million to $140 million and representing an expected margin of approximately 20%.

(Source: Company Report)