FY25 Trading Update
| Stock | Lynch Group Holdings Ltd (LGL.ASX) |
|---|---|
| Release Time | 12 Jun 2025, 9:24 a.m. |
| Price Sensitive | Yes |
Lynch Group Holdings Ltd Provides FY25 Trading Update
- Australian operations deliver strong revenue growth, particularly in second half
- China revenue up 16% YTD on FY24, with improved EBITDA
- Group revenue forecast to grow ~7%, EBITDA $42m-$43m
Lynch Group Holdings Limited (ASX:LGL), Australia's leading vertically integrated wholesaler and grower of flowers and potted plants, has provided a trading update for the 12-month period ended 29 June 2025 (FY25). The company's Australian operations continue to deliver strong revenue growth, particularly across the larger second half events. Consumer demand via the Australian supermarket channel remains resilient, with the Mother's Day event in May achieving pleasing revenue growth and high in-store sell through rates. Australian revenue is up 6% to May year-to-date on FY24, with EBITDA margin performance in-line with the prior year. In China, the combination of increased pricing for rose and tulip products, and the concentration of major demand event timing between January and May, have translated to improved revenue and earnings results across the second half. Despite the macroeconomic backdrop of global trade uncertainty across April and May, floral market conditions and underlying consumer demand have steadily improved. The Group's FY25 full year outlook is for group revenue growth of around 7% and group EBITDA in the range of $42m - $43m, excluding Australian farm closure and SAP upgrade costs.
Group revenue growth of around 7% and Group EBITDA in the range of $42m - $43m, excluding Australian farm closure and SAP upgrade costs (FY25)
The forecast result in the second half across both Australia and China is very pleasing. The 2H forecast Australian result includes the impact of lost sales and stock waste of ~$0.8 million to EBITDA for Australian supermarkets related to customer store closures during Cyclone Alfred in March. It also includes the part year benefit of 50 additional SOR stores that were converted in Q4. China demand is slowly recovering, and during the event windows is leading to improved pricing on the prior year.