• Record H1 net profit of $1.18m, up 172% vs PCP
• Record H1 EBITDA of $1.47m, 8th consecutive quarter of positive EBITDA
• Record H1 sales revenue of $12.40m, up ~40% vs PCP

Biome Australia Limited (ASX: BIO) has released its Appendix 4D and Half Yearly Report for the half year ended 31 December 2025. The company reported record half-year sales revenue of $12.40m, an increase of 40% compared to the prior corresponding period (PCP). H1 FY26 also delivered record EBITDA of $1.47m (excluding share-based payments and including $0.66m R&D tax incentive rebate; underlying EBITDA $0.81m), marking the company's eighth consecutive quarter of positive EBITDA. Net profit after tax was $1.18m for the half, up 172% on PCP. Gross margin of 61.1% was achieved, and basic earnings per share increased to 0.53 cents (1H25: 0.20 cents). The company generated operating cash inflow of $2.09m (1H25: outflow of $1.12m), a $3.21m turnaround on the prior corresponding period. Cash receipts from customers increased 62% to $13.35m, outpacing revenue growth and reflecting improved collections and working capital management. Borrowings reduced to $1.50m from $2.91m at 30 June 2025. In the Australian pharmacy channel, Activated Probiotics is the #1 probiotic brand by revenue in community pharmacy and #2 overall when including Chemist Warehouse, and the highest growth brand in the category. Biome Daily is on track to become the #1 probiotic product in Australian pharmacy by units. The company is also the #2 ranked brand across total vitamins at Terry White Chemmart and the fastest growing in the category. Internationally, the Canadian market is building momentum following the Fullscript distribution partnership, and the company's partnerships in Ireland and New Zealand continue to develop. The commencement of the BMB18 clinical trial with La Trobe University is a significant milestone for Biome's proprietary IP strategy.

The company expects continued revenue growth and margin expansion in H2 FY26.

Biome is well positioned for a strong H2 FY26, with the cold and flu season historically driving the strongest sales quarter (Q4), and the company entering it with a broader product range, deeper pharmacy penetration across all banners, and its first major above-the-line national advertising campaign. International markets are also building scale simultaneously.