Noel Gifts International (543) H1 2025 earnings summary

Executive summary

• H1 FY2025 continuing-operations loss narrowed to $1.083m from $1.377m YoY; lower revenue was partly offset by improved gross margin and higher other operating income.

• Cash and bank balances were $22.596m at 31 Dec 2024, after $12.297m in dividend payments and $6.955m net operating cash outflow.

Financial highlights

• Revenue fell 5.4% YoY to $5.820m; gross profit declined 2.7% to $3.025m, while gross margin rose to 52% from 50.5%.

• Other operating income increased to $807k from $218k, mainly due to a $479k rise in fixed-deposit interest income.

• Administrative expenses rose 7.7% to $3.365m; distribution costs fell 7.7% to $1.309m, while trade-receivable loss allowance increased to $51k from $24k.

• Net loss attributable to owners was $1.083m versus $1.189m; prior-period discontinued operations contributed $168k profit. H1 FY2025 basic and diluted continuing-operations EPS was (1.06) cents.

Outlook and guidance

• A government contract worth $7.6m for supply and distribution of gift packs is expected to contribute to FY2025 and FY2026 results.

• Opportunities to invest in property and other sectors are being explored.