2 ASX 200 growth shares I'm close to buying next

One of these stocks could be one of the next investments I make.

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Key points

  • Two promising growth stocks to watch within the ASX 200 Index are Breville and TechnologyOne.  
  • Despite current challenges with US tariffs, Breville Group plans to move its manufacturing. It has unlocked expansion into China, the Middle East, and South Korea to continue revenue and profit growth.
  • TechnologyOne boasts strong customer retention and is leveraging its extensive R&D investment to drive future revenue growth and profitability, positioning itself for long-term expansion despite a high valuation.

I love investing in S&P/ASX 200 Index (ASX: XJO) growth shares that could become a lot bigger in the coming years.

It's typically earnings growth that sends a share price higher, and both the stocks I'm going to highlight are expected to deliver significant profit growth in the medium-to-long term.

They have already achieved so much, but I'm optimistic the ASX 200 growth shares below can become a lot bigger.

Breville Group Ltd (ASX: BRG)

Breville is best known for making and selling coffee machines under the Breville brand. But, it also sells other Breville small kitchen appliances, and it has different coffee machine brands, including Sage, Lelit, and Baratza. Plus, it has a coffee bean brand called Beanz.

As the chart below shows, the Breville share price is 20% lower than it was in January 2025, making it significantly cheaper.

The US tariff situation is a challenge for its US sales, so it's looking to move its manufacturing to different markets, such as Mexico.

Aside from that headwind, we shouldn't forget that Breville delivered pleasing numbers in FY25, with 10.9% revenue growth, 14.1% earnings per share (EPS) growth, and 12.1% growth of the dividend per share. It's a good sign when a business can grow profits faster than revenue.

After likely headwinds in FY26, I'm optimistic the business can continue growing following its launch in China and the Middle East, as well as its expansion in South Korea. Those are compelling markets for the business.

I think this ASX 200 growth share is one to watch, and I'm considering an investment in the near future because of the potential for long-term profit growth.

TechnologyOne Ltd (ASX: TNE)

TechnologyOne develops enterprise resource planning (ERP) software for clients such as councils, universities, and businesses. In other words, it provides mission-critical software, enabling these entities to deliver their operations.

While I view this business as a growth play, I'd also say its earnings are defensive because it has a very low customer churn rate. They need the software to operate, even in an economic downturn.

A key driver of its growth is the ability to achieve a net revenue retention rate (NRR) of 115%. That means its revenue from existing clients rises 15% in the next year. This growth rate would lead to a doubling of revenue over five years. It's able to achieve this thanks to its significant investment in research and development (R&D) each year to improve the software.

As a technology business, it's able to achieve rising profit margins thanks to operating leverage. It's expecting higher profit margins in the future, and it continues to expand geographically, which I think bodes well for future bottom-line growth.

This ASX 200 growth share is not cheap, but I'm thinking about buying some shares. If the price-earnings (P/E) ratio improves in the future, I'd definitely consider increasing my position further.

Motley Fool contributor Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Technology One. The Motley Fool Australia has recommended Technology One. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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