• Revenue up 2.8% to $86.9 million
• Net profit up 2.0% to $12.7 million
• Dividends declared of 6.8 cents per share
• Continued focus on sustainability and community support

Step One Clothing Limited has released its Appendix 4E and 2025 Annual Report, highlighting a modest performance in a challenging market environment. The company reported a 2.8% increase in revenue to $86.9 million and a 2.0% rise in net profit to $12.7 million for the 2025 financial year. While the financial results fell short of expectations, the company maintained its market position and continued to execute its profitable growth strategy. This strategy focuses on product innovation, customer acquisition, expansion through retail and e-commerce channels, and a commitment to environmental, social and governance (ESG) excellence. The company's sustainability initiatives demonstrated tangible progress, with responsible sourcing, greenhouse gas emissions reporting, and meaningful community partnerships. Despite the headwinds, Step One remains well-positioned for future growth, with a strong balance sheet, proven products, and an adaptable business model. The company plans to refine its promotional strategy, recalibrate pricing and bundling, and increase brand investment to reinforce its performance-grade comfort message across various channels.

For the 2026 financial year, Step One expects to increase brand investment to drive customer acquisition and strengthen its competitive position. The company remains focused on delivering profitable growth over time as market conditions improve.

Step One is well positioned for future growth, with a strong balance sheet, proven products, and an adaptable business model. The company plans to refine its promotional strategy, recalibrate pricing and bundling, and increase brand investment to reinforce its performance-grade comfort message across various channels.