Biome Australia (BIO) Investor Update summary

FY 2025 performance highlights

• Achieved $18.4 million in revenue for FY 2025, with six consecutive quarters of positive EBITDA and expectation to report net profit for the year.

• Distribution points expanded from 100 to over 6,000 in Australia, with strong same-store sales growth above 50% in key pharmacy partners.

• Maintained gross margin above 60%, up from low 50% at IPO, by focusing on premium pricing and professional recommendations.

• Record sales in June ($2 million+) and Q4 ($5 million+), with over $2.5 million already achieved in the first month of Q1 FY 2026.

• Inventory holding managed with a target of $2.5–$3 million at cost, supported by a line of credit to balance timing and growth.

Product and clinical innovation

• Expanded product range from 9 to 18 targeted probiotics, including best-sellers for mental health, bone density, gut health, infant colic, dermatology, cholesterol, and female health.

• Launched new brand, Activated Therapeutics, with four flagship products addressing perimenopausal symptoms, reflux, gut repair, and GLP-1 medication support.

• Developed proprietary strain Lactobacillus plantarum BMB18, with strong initial clinical results and new trials planned for gastrointestinal and other health areas.

• Co-prescribing initiatives with pharmacies for products like Biome Cholesterol are underway, with strong uptake and ongoing corporate programs.

Strategic growth and international expansion

• Vision 2027 targets at least $75 million cumulative sales over FY 2025–FY 2027, with distribution points expected to grow from 5,000 to 8,000.

• International markets grew 69% and secured new distribution deals in Canada, Ireland, and New Zealand, with scalable entry model focused on health professionals.

• Onshoring of finishing manufacturing planned to reduce inventory lead times from 6–8 months to 2–3 months, improving working capital efficiency.

• U.S. market entry under consideration after proving success in Canada; no immediate plans but open to low-risk test launches.