My Food Bag Group (MFB) H2 2025 earnings summary

Executive summary

• FY25 revenue was NZD 162.1 million, with EBITDA of NZD 16.1 million and NPAT up 5% to NZD 6.3 million, reflecting margin improvements and operational efficiencies.

• Free cash flow more than doubled to NZD 7.6 million, supporting debt reduction and dividend payments.

• Operational improvements included enhanced customer offerings, a new shop for one-off purchases, expanded dietary plans, and a redesigned digital experience.

• Employee engagement and retention improved, with turnover at an all-time low of 18% and industry recognition for workplace culture.

• Active customers increased slightly to 57,000, with higher retention and a shift toward more loyal segments.

Financial highlights

• H2 FY25 revenue increased 5% year-over-year (normalized), with full-year revenue stable at NZD 162.1 million.

• Contribution margin rose to 23.3%, and gross margin improved to 49.3% year-over-year.

• Net debt reduced by NZD 4.9 million to NZD 6.9 million, with total debt facilities at NZD 20 million.

• Free cash flow increased to NZD 7.6 million from NZD 3.5 million in FY24.

• Total FY25 dividend declared at 1.5 cents per share, yielding 11.1% and representing 58% of NPAT.

Outlook and guidance

• FY26 strategy focuses on brand strength, affordability, convenience, personalization, and new customer segments, with continued investment in health/wellness and digital enhancements.

• Early FY26 trading shows continued demand growth despite inflationary pressures; cost management remains a priority.

• Board expects to maintain dividend payments in FY26.

• Expansion of the Shop channel aims to reach non-subscription customers.

• Confident in maintaining leadership in meal kits and expanding in the online food market.