Xamble Group Limited (ASX:XGL) Reports Q3 2024 Business Update
CEO Appointment and Structural Transformation
Xamble Group Limited (ASX:XGL) appointed Jason Thoe as Chief Executive Officer, marking a pivotal shift in its operational strategy. The new management team aims to consolidate the brand and enhance resource efficiency for future growth. This restructuring aligns with a renewed focus on high-growth Southeast Asian markets, especially in influencer marketing and social commerce.
Closure of Unprofitable Operations
The company has strategically decided to close its unprofitable Taiwan operations, which are not aligned with Xamble’s growth vision. This decision follows a substantial revenue decline of 74% in Q3 CY2024, adversely impacting overall performance.
Financial Highlights
For the nine-month period ending September 30, 2024, Xamble reported a 12% decline in revenue to A$7.158 million. Operating expenses were also reduced, resulting in a Group EBITDA of A$1.336 million, marking a 40% improvement year-on-year. Despite challenges, the SME segment showed strong revenue growth with an 81% increase in Q3 compared to the previous year.
Future Outlook
Xamble Group’s outlook remains positive as it strengthens operational capabilities and focuses on expanding its SME business. The full acquisition of Xamble Technologies is expected to enhance the development of key platforms like Xamble Creators and the Xamble Social Wallet. CEO Jason Thoe commented, “I am excited to join Xamble at this pivotal moment in its growth journey,” emphasizing the company’s commitment to delivering value through innovation in influencer marketing.
Motley Fool contributor Kiarra Jackson has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
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