Chrysos Corporation reported a robust 46% revenue increase to A$66.1 million for FY25 but faced a significant net loss of A$8.2 million, reflecting rising costs and operational challenges.
- 46% revenue growth driven by PhotonAssay™ Max Units deployment
- Net loss widened to A$8.2 million despite higher sales
- No dividends declared for the financial year
- Significant increase in depreciation and finance costs
- Expansion with new subsidiaries in New Zealand, Namibia, and Mexico
Revenue Growth Amid Rising Losses
Chrysos Corporation Limited has released its preliminary final report for the year ended 30 June 2025, revealing a 46% jump in revenue to A$66.1 million. This growth was primarily fueled by the continued deployment of its PhotonAssay™ Max Units, a core technology in its analytical instruments portfolio. However, despite the top-line improvement, the company recorded a net loss after tax of A$8.2 million, a significant deterioration from the prior year’s loss of A$704,000.
Cost Pressures and Financial Performance
The widening loss was influenced by increased expenses across multiple categories, including a notable rise in depreciation and amortisation charges, which climbed to over A$15 million. Finance costs also escalated, reflecting higher interest expenses and foreign exchange impacts. While operating cash flow improved substantially, investing activities saw heavy outflows, particularly in property, plant, and equipment acquisitions, underscoring ongoing capital investment in growth.
Operational Expansion and Geographic Reach
During the year, Chrysos expanded its global footprint by incorporating new wholly owned subsidiaries in New Zealand, Namibia, and Mexico, signaling a strategic push into key international markets. Conversely, it deregistered its Tanzanian subsidiary, indicating a possible realignment of operations. The company’s segment reporting showed balanced revenue contributions from APAC, EMEA, and Americas regions, with APAC and EMEA leading in revenue generation.
Shareholder Returns and Equity Position
No dividends were declared for the year, reflecting the company’s focus on reinvestment and managing its financial position amid losses. Net tangible asset backing per share remained stable at A$1.63, and total equity was steady at approximately A$198 million. The financial statements were audited with no qualifications, providing assurance on the reported figures.
Looking Ahead
Chrysos noted that both revenue and EBITDA were within its guidance range, suggesting that while profitability remains elusive, operational targets are being met. The company’s continued investment in PhotonAssay™ technology and international expansion positions it for potential future growth, though cost management will be critical to turning around losses.
Bottom Line?
Chrysos’ strong revenue growth masks ongoing profitability challenges as it invests heavily in global expansion and technology deployment.
Questions in the middle?
- What specific factors contributed most to the sharp increase in depreciation and finance costs?
- How will Chrysos manage cash flow and costs to return to profitability?
- What are the strategic priorities for the new subsidiaries in New Zealand, Namibia, and Mexico?