AoFrio (AOF) H1 2025 earnings summary

Executive summary

• H1-25 revenue grew 12.2% year-over-year to $43.0m, driven by strong Q1 and motor and fan segment growth, though Q2 was impacted by US tariff uncertainty and macroeconomic headwinds.

• Motor and fan segment revenue surged 28.4% year-over-year, while IoT revenue was flat; Americas, especially North America, led growth.

• Significant progress on strategic initiatives, including SaaS platform modernization, new product launches (AoFrio iQ, SCS800 controller), and entry into food retail.

• First significant food retail SaaS contract secured, validating diversification and recurring revenue strategy.

Financial highlights

• H1-25 revenue: $43.0m (+12.2% year-over-year); gross profit: $12.7m (+10.5% year-over-year); gross margin: 29.6% (down 0.4pp year-over-year).

• EBITDA: $0.7m (down from $1.1m in H1-24) due to one-off and expansion costs; EBIT: -$1.0m; net loss: -$1.8m (vs. -$1.0m in H1-24).

• Q1-25 revenue surged 43.9% year-over-year, while Q2-25 revenue declined 11.9% due to tariff-related trade issues.

• Operating expenses rose to $11.9m (+$1.4m year-over-year), mainly from staff and development investments.

• Cash at 30 June 2025: $2.0m; net operating cash outflow: -$0.9m; trade finance facility borrowings: $8.9m (out of $10m).

Outlook and guidance

• FY25 revenue and EBITDA now expected at the lower end of $85m–$95m and $3.5m–$4.0m guidance due to US tariff impacts and macroeconomic conditions.

• Full-year revenue and EBITDA still forecast above FY24, but growth funding remains a challenge and investments are being delayed.