Noumi (NOU) H1 2025 earnings summary

Executive summary

• Adjusted operating EBITDA rose 19% to $27.5m, driven by strong Plant-based Milks performance and strategic execution.

• Net loss after tax widened to $82.1m, impacted by a $50.0m non-cash impairment in Dairy & Nutritionals and a $36.3m fair value adjustment on convertible notes.

• Plant-based Milks segment achieved record revenue and earnings, with Milklab sales up 6.7% and export sales up 26.6%.

• Working capital management improved operating cash flow, with cash at bank of $26.5m and an undrawn $10m facility.

• Material uncertainty remains regarding going concern due to litigation and convertible note liabilities.

Financial highlights

• Net revenue increased 0.9% to $299.3m, with Plant-based Milks revenue up 6.6% to $93.2m and Dairy & Nutritionals revenue down 1.5% to $206.1m.

• Adjusted operating EBITDA rose 19% to $27.5m; Plant-based Milks EBITDA up 9.2% to $25.3m; Dairy & Nutritionals EBITDA more than doubled to $4.6m.

• Net cash from operations improved to $40.1m, with trade receivables down $17m year-over-year.

• Cash and cash equivalents increased to $26.5m from $14.6m at 30 June 2024.

• Statutory net loss after tax: $82.1m, reflecting non-cash impairment and convertible note fair value charges.

Outlook and guidance

• Focus on executing strategy across products, channels, and geographies for H2 FY25.

• Continued investment in Milklab brand growth domestically and internationally, with positive outlook for Plant-based Milks.

• Dairy & Nutritionals to focus on domestic execution and monitor global dairy industry developments.

• Sufficient liquidity for at least 12 months is expected, supported by $26.5m cash and $10m undrawn facility.

• Macroeconomic uncertainty and evolving consumer preferences acknowledged, but progress remains positive.