Bremworth (BRW) H2 2024 earnings summary

Executive summary

• Reported $4.6 million profit after tax for FY24, down from $10.7 million in FY23, reflecting lower insurance income and revenue impacts from cyclone-related disruptions.

• Completed transition from synthetics to wool carpets and rugs, with new product ranges launched.

• CEO highlights significant transformation, with focus on rebuilding and scaling operations post-cyclone.

Financial highlights

• Net profit after tax fell to $4.6 million from $10.7 million year-over-year.

• Annual revenue declined $9.4 million to $80.3 million due to inventory constraints from cyclone damage.

• Insurance income totaled $26.5 million in FY24, down from $35.5 million in FY23.

• End-of-year cash balance was $31.6 million, down $7.7 million, after investing $8.2 million to rebuild inventory.

Outlook and guidance

• Dividend payments expected to resume by 2026 or sooner, supported by improved operations and structural changes.

• Anticipates sustained growth as supply chain enhancements and yarn-making capacity are restored.

• Plans to expand into export markets, particularly targeting high-volume residential projects in Australia.