Thrive Tribe’s Shrinking Cash and Subsidiary Exit Raise Recovery Concerns
Thrive Tribe Technologies reports a steep 86.9% drop in revenue and a $3.3 million net loss for FY2025, alongside the loss of control over its subsidiary Daily Food Brand Pty Ltd.
- Revenue plummeted 86.9% to $224,046
- Net loss narrowed slightly to $3.3 million
- Subsidiary Daily Food Brand Pty Ltd placed into administration
- Issued capital increased significantly to over 2 billion shares
- Cash reserves declined modestly to $139,258
A Challenging Year for Thrive Tribe
Thrive Tribe Technologies Limited has revealed a dramatic downturn in its financial performance for the year ended 30 June 2025. The company’s revenue from ordinary activities fell sharply by 86.9%, landing at just $224,046, a stark contrast to the previous year. Despite this, the net loss attributable to shareholders improved slightly, narrowing by 7.3% to $3.3 million.
Subsidiary Exit Adds Complexity
Adding to the company’s challenges was the loss of control over its subsidiary, Daily Food Brand Pty Ltd, which was placed into administration in August 2024. This event has been accounted for as a discontinued operation, with the subsidiary contributing a modest profit of $12,707 before its derecognition. The administration of Daily Food Brand marks a significant operational setback for Thrive Tribe, reflecting broader difficulties within its portfolio.
Capital Raising and Cash Position
In response to financial pressures, Thrive Tribe undertook a substantial capital raising during the year, increasing its issued share capital to over 2 billion shares. This infusion of equity was critical in supporting ongoing operations, although cash reserves still declined slightly to $139,258 by year-end. The company’s balance sheet shows a significant reduction in net assets, down to just over $1 million from $2.3 million the previous year, highlighting the strain on its financial foundation.
Outlook and Market Implications
While the preliminary report is unaudited and subject to final adjustments, the figures underscore a period of contraction and restructuring for Thrive Tribe. The absence of dividends and continued losses suggest the company remains focused on stabilizing its operations and exploring new growth avenues. Investors will be watching closely for the forthcoming audited accounts and management commentary to gauge the company’s strategic direction and recovery prospects.
Bottom Line?
Thrive Tribe’s financial squeeze and subsidiary loss set the stage for a critical turnaround phase ahead.
Questions in the middle?
- What strategic plans does Thrive Tribe have to reverse its revenue decline?
- How will the loss of Daily Food Brand impact future earnings and operations?
- What are the prospects for cash flow improvement following the recent capital raise?
