Candy Club (CLB) H2 2024 earnings summary

Executive summary

• Report covers the six-month period from 1 January 2024 to 30 June 2024, following a change in financial year to align with a proposed acquisition target.

• No trading activity occurred during the period; focus was on assessing new project opportunities and preparing for ASX re-quotation.

• Entered into a binding agreement to acquire Scalare Partners Pty Ltd, subject to shareholder and regulatory approvals.

Financial highlights

• Revenue from ordinary activities was $0, down 100% from the previous period.

• Net loss after tax was $66,811, compared to a profit of $987,202 in the year ended 31 December 2023 (which included a $1.2 million gain on debt forgiveness).

• Basic and diluted loss per share was (0.07) cents, compared to earnings of 1.68 cents per share in the prior year.

• Net tangible assets per share were (0.20) cents, improved from (8.60) cents at 31 December 2023.

• Cash and cash equivalents at period end were $685.

Outlook and guidance

• Company is seeking to complete a capital raise of $4–8 million and readmission to the ASX, contingent on the Scalare Partners acquisition.

• A letter of financial support from the majority shareholder provides assurance for at least 12 months post-report.