Biome Australia (BIO) H1 2025 earnings summary

Executive summary

• Achieved maiden net profit for H1 FY2025: $96,228 (excluding R&D rebate) or $433,395 (including R&D rebate), reversing a prior year loss of $1.525m.

• Record H1 FY2025 sales revenue of $8.86m, up 47% year-over-year from $6.02m in H1 FY2024; FY24 sales reached $13.01m, an 80% increase year-over-year.

• Over 6,000 Australian distribution points, covering about 50% of the addressable market, with plans to expand to 8,000.

• Maintained number one growth spot in the vitamins and practitioner-only pharmacy category for over four years.

• International expansion progressing in the UK, Ireland, EU, and Canada, with strong early results and successful launches.

Financial highlights

• Gross margin improved to 61% for H1 FY2025, up from 60.2% in the prior year period, with a target to reach mid-60%.

• EBITDA positive for four consecutive quarters; H1 FY25 EBITDA was $351,765 (excluding R&D rebate and share-based payments), up 89% sequentially from Q1 to Q2.

• Cash and cash equivalents at $2.59m as of 31 December 2024; net assets increased to $4.53m.

• Inventory levels optimized at AUD 2.5–3 million, supporting higher stock turns and growth.

• Retail scan sales for the two largest pharmacy groups grew over 80% for the 12 months to December 31, 2024.

Outlook and guidance

• Vision 27 strategic plan targets cumulative revenue of $75–$85m for FY25–FY27, a 350% increase over the previous three years.

• Plans to expand Australian distribution from 6,000 to 8,000 points and increase international market penetration, especially in Europe and North America.

• New product launches planned for both Activated Probiotics and the new Activated Therapeutics brand in late FY2025.

• Tracking ahead of schedule on distribution and sales, with a historical CAGR over 70% for the last three years.

• Directors believe there are reasonable grounds for the company to pay its debts as they become due.