Maggie Beer Holdings Posts $76.3M Sales with $1.4M EBITDA Loss in FY25
Maggie Beer Holdings reported a $24.3 million statutory loss for FY25 but showed promising sales growth and significant cost savings as it restructures for profitability.
- Group sales rose to $76.3 million, up $2.7 million year-on-year
- EBITDA loss narrowed to $1.4 million despite a statutory loss of $24.3 million
- Sale of Paris Creek Farms eliminates $2 million in trading losses for FY26
- Cost-out program delivered $1.8 million in annualised savings in H2 FY25
- No debt as of June 30, 2025, with $10 million finance facility secured
A Year of Transition
Maggie Beer Holdings Limited (ASX – MBH) has unveiled its financial results for the fiscal year ending June 30, 2025, revealing a company in the midst of a significant turnaround. While the group posted a statutory loss of $24.3 million, largely driven by impairments and one-off restructuring costs, underlying operational improvements suggest a path toward renewed profitability.
The company’s total sales climbed to $76.3 million, marking a $2.7 million increase over the previous year. This growth was supported by a 5% rise in the Hamper & Gifts division and a 2% increase in Maggie Beer Products, together contributing an additional $2.8 million in revenue. These gains, modest but meaningful, indicate that the core business units are stabilizing and responding well to strategic initiatives.
Restructuring and Cost Discipline
A key highlight of the year was the implementation of a streamlined organisational structure aimed at reducing corporate overheads and sharpening divisional focus. The company’s ongoing cost-out program delivered $1.8 million in annualised savings in the second half of FY25, with further reductions of $1.7 to $2.2 million budgeted for FY26. These measures are critical as Maggie Beer Holdings seeks to improve its cash flow and operational efficiency.
Perhaps most notably, the sale of Paris Creek Farms, a non-performing asset, is expected to eliminate over $2 million in trading losses and cashflow drag in the coming year. This divestment is a cornerstone of the turnaround strategy, allowing the group to redirect resources toward its more profitable segments.
Financial Position and Outlook
As of June 30, 2025, Maggie Beer Holdings reported zero debt and secured a $10 million finance facility with National Australia Bank, ensuring adequate liquidity and working capital for FY26. Despite a slight dip in gross margin to 47.4% due to increased input costs and competitive pressures, inventory levels were reduced by 13.5%, reflecting tighter operational control.
Chair Mark Lindh expressed cautious optimism, noting that the company is well positioned for a strong first half in FY26, particularly with the Christmas trading season approaching. While no formal guidance has been provided, the board’s confidence is underpinned by completed restructuring, ongoing cost savings, and investments in ecommerce platforms designed to drive profitable growth.
Investors will be watching closely to see if these strategic moves translate into sustained financial health and market competitiveness in the months ahead.
Bottom Line?
Maggie Beer Holdings’ FY25 results mark a pivotal step in its turnaround, but the real test lies in delivering profitable growth in FY26.
Questions in the middle?
- How will the sale of Paris Creek Farms impact cash flow and profitability in FY26?
- Can the company sustain and build on the cost savings achieved in FY25?
- What effect will increased competition and input costs have on margins going forward?
