Experience (EXP) H1 2025 earnings summary

Executive summary

• Achieved the strongest first half financial result since FY19, with revenue up 9% to $67.9 million and underlying EBITDA up as much as 50% to $10.6 million, driven by improved trading, site efficiencies, and cost management.

• Net profit after tax reached $1.4 million, reversing a $1.3 million loss in the prior year.

• All business units, including Skydiving and Adventure Experiences, posted improved performances, benefiting from inbound market recovery and resilient domestic demand.

• Management remains focused on maximizing opportunities, operational improvements, and enhancing free cash flow performance.

Financial highlights

• Revenue grew 9% year-over-year to $67.9 million; underlying EBITDA rose up to 50% to $10.6 million; statutory EBITDA $9.9 million.

• Net profit after tax was $1.4 million, up from a $1.3 million loss year-over-year; basic EPS 0.19 cents.

• Cash and cash equivalents increased to $10.7 million, with net debt reduced to $6.8 million as of 31 Dec 2024.

• Operating cash flows increased to $9.4 million, up 34% year-over-year; free cash flow up 139% to $4.4 million.

• Gross margin improved to 41% from 38% year-over-year.

Outlook and guidance

• Management expects continued momentum for the remainder of FY2025, supported by inbound tourism recovery and resilient domestic demand, though at a more gradual pace.

• January 2025 saw record post-COVID monthly unaudited underlying EBITDA of $3.7 million, up from $2.8 million in the prior year.

• No specific earnings or free cash flow guidance provided; $40 million EBITDA target delayed by at least 12 months due to slower inbound recovery.

• Key sensitivities remain inbound tourism recovery, especially from China, and domestic market conditions.