Eden Innovations Ltd reports a $1.43 million half-year profit, reversing prior losses thanks to a $4.45 million property sale and significant debt reduction, while advancing international commercialisation of its concrete and fuel technologies.
- Half-year profit of $1.43 million driven by $4.45 million property sale
- Revenue down 14% to $1.15 million amid lower OptiBlend kit sales
- Debt reduced by 69% through equity conversions and asset sale proceeds
- Strong international orders and trials for EdenCrete® and OptiBlend® products
- New Managing Director appointed to lead global expansion
Financial Turnaround Backed by Asset Sale
Eden Innovations Ltd (ASX: EDE) has reported a notable turnaround in its half-year results ending 31 December 2025, posting a profit after tax of $1.43 million compared to a $3.4 million loss in the prior corresponding period. This improvement was largely driven by a one-off gain of $4.45 million from the sale of a property in Augusta, Georgia, USA.
Despite this positive headline, the company’s revenue declined 14% to $1.15 million, reflecting a drop in sales of its OptiBlend kits, particularly in the US and India markets. Nevertheless, Eden Innovations managed to reduce its loss from ordinary activities by $383,000, aided by lower financing costs and tighter administrative expenses.
Debt Reduction and Capital Restructuring
Significant strides were made in improving the company’s balance sheet. Proceeds from the Georgia property sale were used to repay $4 million of debt owed to iBorrow, slashing that liability by 69%. Further debt reduction was achieved through a $2.2 million convertible note and conversion of shareholder loans into equity, effectively eliminating all company debt post-period.
The company also completed a 20-to-1 share consolidation and raised $4.35 million through a renounceable rights issue, supported by major shareholders including Noble Energy Pty Ltd. These moves have strengthened Eden’s net asset position to $11.36 million from a deficit of $1.94 million six months earlier, and boosted cash reserves to $3.66 million.
Commercial Progress and Market Expansion
Eden’s core products, EdenCrete® and OptiBlend®, continue to gain traction internationally. The company secured its largest EdenCrete®Pz7 order from Holcim Ecuador, a global building materials giant, totaling approximately A$515,000. This follows three years of trials across multiple continents, positioning EdenCrete®Pz7 as a leading nanomaterial concrete additive.
Trials are also underway in India with the Central Road Research Institute, targeting infrastructure and highway markets, and in the US with projects including the Bellview Station and Colorado Department of Transportation’s I-70 Floyd Hill. Meanwhile, OptiBlend® is attracting interest from the growing North American data centre sector and new markets in Africa, the Middle East, and India.
Leadership and Future Outlook
In February 2026, Eden appointed Dr Allan Godsk Larsen as Managing Director, elevating him from Chief Scientist and International Business Manager. His extensive experience is expected to drive the company’s next phase of global growth amid accelerating commercial momentum and organisational restructuring.
While the company’s financial position has improved markedly, the directors note a material uncertainty regarding going concern, contingent on continued sales growth and shareholder support. Eden’s strong pipeline of purchase orders and strategic partnerships provide optimism, but the sustainability of profitability beyond one-off gains remains a key focus.
Bottom Line?
Eden Innovations’ financial recovery and strategic moves set the stage for growth, but sustaining momentum will be critical.
Questions in the middle?
- Can Eden sustain revenue growth beyond one-off property sale gains?
- What impact will the equity dilution from debt conversions have on shareholder value?
- How will the outcomes of ongoing trials in India and the US influence market expansion?