Koda (BJZ) H2 2024 earnings summary

Executive summary

• FY2024 revenue rose 4.1% to US$45.597m, led by higher US export sales; net loss attributable to owners widened to US$4.522m from US$2.834m.

• Higher gross margin and production utilisation were offset by increased selling, administrative and finance costs, lower other income, and asset-related losses.

Financial highlights

• Gross profit increased 7.3% to US$12.824m; gross margin improved to 28.1% from 27.3%.

• Loss before tax widened to US$4.166m from US$1.969m; net loss was US$4.596m versus US$2.900m, and basic loss per share was 5.44 US cents versus 3.41 cents.

• Other income fell 53.9% to US$1.172m, including lower government grants and no FY2024 fire insurance compensation; selling costs rose 9.5% and administrative expenses 7.9%.

• Other expenses were US$0.916m, including US$0.195m from misappropriation and a US$0.416m fire-related receivable write-off; finance costs rose to US$0.595m.

Outlook and guidance

• US and Europe sales improved in 2H2024, but demand remains uncertain as export retailers work through excess inventories and replenishment cycles remain unpredictable.

• Manage working capital cautiously while improving supply-chain execution and factory utilisation; strategies will be adjusted for a slower, cautious recovery.

• China recovery remains constrained by its real-estate crisis, industrial overcapacity, sluggish domestic demand and cautious discretionary spending.