Addvalue Technologies (A31) H1 2025 earnings summary

Executive summary

• 1H2025 revenue rose 23% YoY to US$5.7m; net profit was US$52k, reversing a US$639k loss in 1H2024. EBITDA was US$841k versus US$170k.

• Growth was led by ADR and SPC businesses; the outstanding order book was US$14.5m, with confirmed orders expected to be fulfilled within 12 months.

Financial highlights

• Revenue was US$5.7m, up 23% YoY; gross profit increased 23% to US$2.761m.

• Net profit was US$52k versus a US$639k loss; operating profit was US$52k versus an operating loss of US$639k.

• Selling and distribution expenses rose 48% to US$401k; administrative expenses fell 11% to US$1.573m, and finance expenses declined 22% to US$313k.

• Other operating income increased to US$217k, mainly from government grants; a US$24k gain was recorded on liquidation of a subsidiary.

Outlook and guidance

• Revenue momentum and positive profit and EBITDA are expected to continue over the next 12 months; FY2025 is expected to outperform FY2024, barring unforeseen circumstances.

• ADR orders secured since FY start totaled ~US$7.4m; further orders are expected as commercial and defence adoption of software-defined radio technologies grows.

• SPC secured ~US$5m in new orders since FY start, including ~US$1m from two new customers; more IDRS terminal deliveries are expected in H2, with higher recurring airtime revenue anticipated as satellite launches increase.

• Outstanding order book stood at US$14.5m, with confirmed orders expected to be fulfilled within 12 months.