MYECO Group (ASX:MCO) Announces FY25 Half Year Results
Financial Performance
MYECO Group reported a 24.6% increase in group sales for H1 FY25, reaching $7.716 million. Gross profit rose by 63.0% to $1.775 million, with gross margin improving to 23.0%. Employment-related expenses grew by 17.2%, while marketing and distribution expenses increased by 22.1%. The company recorded a net loss after tax of $2.681 million, a 12.0% improvement compared to the prior period.
Operational Highlights
The company’s MyEco® branded product sales surged by 111.9% to $2.6 million in H1 FY25, expanding into over 2,400 Australian stores, including major retailers like Woolworths and Coles, and launching in 76 Ritchie’s stores. Council and waste management sales increased by 28.7% to $2.1 million, while resin sales declined by 18.9% due to volatile market conditions in LATAM.
Strategic Repositioning
MYECO Group underwent a strategic rebranding from SECOS Group to MyEco® Group in November 2024 to better align with its mission and enhance brand recognition. The company is focusing on making MyEco® branded products central to its growth strategy, securing new global distributors, and expanding product offerings across various sales channels.
Future Outlook
The company anticipates continued growth in H2 FY25, driven by increased FOGO program orders and expanding global distribution. MYECO Group plans to further develop its sustainable products and enhance margins through a refined sales strategy and cost-effective manufacturing. The strategic repositioning aims to support accelerated sales growth and achieve positive EBITDA in the medium term.
Motley Fool contributor Abbie Stokes has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended MyEco Group Ltd. 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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