• FY25 saw a strong second half with record sales in Q4
• Commissioning of fish oil extraction facility in Ecuador successful
• Melody Dairies recorded first full year of profit, a significant milestone

Clover Corporation Limited had a strong FY25, with the year seeing a tale of two halves. The first half reflected steady demand levels experienced through the second half of FY24, with revenue of $37.6m. The second half saw a strong uplift, with sales of $48.4m driven by improved orders from the company's Human Nutrition customers. The final quarter in particular saw $4m in orders brought forward as customers worked to meet demand for new product launches. This turnaround demonstrates the resilience of Clover's business and the value of its diversification strategy. The combination of stronger sales, improved gross margins, and disciplined cost management allowed the company to strengthen its balance sheet and continue reducing debt through the year. In Ecuador, the commissioning of Clover's fish oil extraction facility has been successful, producing excellent-quality crude oil and delivering secure supply and cost benefits. There remains significant room to further improve throughput, with cost and yield benefits to contribute to further improvement in gross margin. At Melody Dairies, the company recorded its first full year of profit, a significant milestone driven by better planning, longer production runs of new products and consistent dryer uptime. While the facility is now operating close to capacity, further efficiency gains and margin improvements are expected as product mix continues to evolve. At Clover's Australian refinery in Melbourne, operations continued to perform reliably, ensuring a consistent supply of quality oils. The return to normalised sales in FY25, combined with strong manufacturing performance, placed the company in a solid position to continue reducing debt. Clover continues to drive growth by expediting the commercialisation of innovative products, with its new distributor model progressing well and expanding reach across North America, Asia, and Europe. FY26 will be an important year to demonstrate the benefits of this approach, not just through sales growth, but through new product launches and customer and market diversification. The CholineXcel project remains one of Clover's most promising innovation programs, with patent applications progressing and customer research and development trials progressing positively. The company is exploring a range of solutions, including joint ventures or outright purchase of an additional dryer, to support expected demand. Clover's encapsulated powders and Gelphorm products continue to advance through customer trials in high-value nutraceutical markets, representing meaningful medium-term growth potential. The company is also progressing regulatory approval for Premneo in Australia/New Zealand and Europe.

Clover expects revenues for 1H FY26 to exceed those for the same period in the prior year.