• Revenue down 9.5% to $82.0 million
• Loss after tax of $3.3 million, up 235.8% from prior period
• Operating cash flow strengthened to $15.1 million

Gale Pacific Limited reported a loss after tax of $3,261K for the half-year ended 31 December 2025, compared to a loss of $971K in the prior corresponding period. Revenue for the half was 9.5% lower than the prior year at $82,031K, due to softer U.S. demand and a weather-driven slower start to the Australian peak retail season. Despite the revenue decline, operating performance improved, with H1 EBITDA of $5.3 million exceeding November guidance. This was supported by margin improvement initiatives, reduced overheads, and restructuring benefits in the U.S. business. Australian Retail margin dollars increased 3.8%, and U.S. margins remained resilient despite tariff uncertainty. Operating cash flow strengthened significantly to $15.1 million for the half-year. Net Cash/(Debt) was $1.9 million at period end, reflecting disciplined cost control, effective working-capital management, and the timing of inventory build-up by U.S. customers. Strategic initiatives progressed across the half, especially delivering a streamlined U.S. operating model.