Greenfern Industries (GFI) H1 2025 earnings summary

Executive summary

• Revenue for the six months ended 30 September 2024 was NZ$244,438, up 105% year-over-year, driven by a shift to medicinal cannabis flower production and initial sales from the new cultivation facility.

• Net loss attributable to shareholders was NZ$654,461, similar to the prior period, with major expenses in salaries, bad debt provisions, insurance, depreciation, and compliance.

• The company remains in a growth phase, reliant on capital raising to fund operations and expansion, with recent and planned share offerings to raise up to NZ$700,000.

• No dividends were declared or paid for the period.

Financial highlights

• Gross profit increased to NZ$103,917 from NZ$87,756 year-over-year, despite higher cost of sales.

• Operating loss was NZ$575,705, up from NZ$532,245 in the prior year.

• Cash and cash equivalents at period end were NZ$24,074, down from NZ$185,808 at March 2024.

• Net assets as at 30 September 2024 were NZ$1.38 million.

• Basic and diluted loss per share was NZ$(0.0056), compared to NZ$(0.0054) year-over-year.

Outlook and guidance

• Focus remains on medicinal cannabis production for export, with a reset of cultivation processes and genetics to target European and Australian markets.

• Production is forecast at 50kg every 12 weeks from early February 2025, with offtake agreements under negotiation.

• Continued development of a market-ready soluble hemp protein isolate, with scalability trials and IP protection underway.

• Ongoing capital raising is critical to fund operations and growth initiatives.