• Revenues from ordinary activities down 55% to $3.4 million
• Gross margin improved to 47%, up 10 percentage points
• Operating expenditure reduced by 31% to $3.2 million

X2M Connect Limited reported a 55% decline in revenues from ordinary activities to $3.4 million for the first half of FY25, reflecting a softer market in South Korea and the company's strategy to exit low-margin hardware-only sales. However, the company saw improvements in key operational metrics, including a 10 percentage point increase in gross margin to 47%, a 31% reduction in operating expenditure to $3.2 million, and a 5% growth in connected devices to 544,910. The South Korea segment continued to be profitable, delivering positive EBITDA of $0.1 million. The company also acquired 7 new enterprise and government customers, bringing the total customer base to 80, an increase of 10% on the previous corresponding period. While revenue was down, the company's focus on cash management, higher margin revenues, and strong cost control resulted in an 18% improvement in adjusted EBITDA loss to $1.4 million and a 3% reduction in loss after tax to $3.2 million.

The company did not provide any high-importance, price-sensitive forward-looking financial metrics.

The company did not provide any forward-looking outlook statements.