Table of Contents
What changed
Blis returned to profitability after two loss-making years. Revenue rose 12.6% to $11.5m, PBT swung from a $1.4m loss to a $0.7m surplus (+151.6%), and NPAT moved from -$1.4m to +$0.6m (+147.9%). EBITDA of $0.8m was disclosed for FY24 but the prior-year equivalent was not provided in comparable form, limiting clean year-on-year margin work. Operating cash inflow improved almost tenfold to $1.1m from $0.1m. The balance sheet strengthened modestly: cash held flat at $4.3m, borrowings remained nil, total liabilities fell 26.8% to $1.4m, and equity rose 6.0% to $11.5m. No dividend was declared, consistent with the prior year.
What matters
- The swing to profit was entirely a second-half event. HY24 posted a $0.7m loss on $4.8m revenue (41.4% of the full year), meaning H2 carried an implied $6.7m revenue and a $1.3m NPAT. The full-year result therefore depends on whether the H2 run-rate is a durable inflection or a concentrated catch-up.
- Cash quality improved sharply and supports the P&L. OCF of $1.1m exceeded NPAT of $0.6m (OCF/EBITDA 132%), and receivable days tightened from 51.6 to 41.0 while inventory days fell from 26.2 to 22.8. Working-capital release, rather than deterioration, helped the cash figure.
- Capital position remains defensive. Net cash of $4.3m against $1.4m total liabilities and nil debt leaves the group well-funded for the B2B royalty strategy, but with ROE still only 5.6% the equity base is not yet being worked hard.
Expectations
Management states the $0.6m profit was "in line with guidance", but no numeric forward-work, royalty pipeline, or revenue target is provided in the supplied materials, so the release cannot be benchmarked against a disclosed trajectory. The seasonality signal is meaningful: HY24 contributed only 41.4% of full-year revenue and was loss-making, implying FY25 phasing risk if H1 weakness recurs. On annualisation, FY24 is the anchor; no run-rate-to-target gap can be calculated.
Quality of result
Mixed but skewed positive. The earnings improvement is supported by cash — OCF growth of $0.9m actually exceeded the NPAT uplift of $2.0m in direction but not scale, and working-capital days moved in the right direction, so the result is not debtor-inflated. The tax line does not distort the read: effective tax was only 7.2%, leaving PBT growth of 151.6% very close to NPAT growth of 147.9%. Offsetting this, the profit is small in absolute terms ($0.6m), it is concentrated in H2, and EBITDA lacks a reconciliation from statutory profit and a prior-year comparable, so operating leverage between the halves cannot be confirmed. No non-recurring items were flagged, which is itself an assumption worth watching.
Unresolved
- Why H2 was so much stronger than H1 — royalty timing, a step-change in licensed BLIS K12/BLIS M18 sales, or one-off contract recognition — is not quantified.
- Gross margin, capex, and free cash flow are not disclosed, so conversion of profit into distributable cash cannot be tested.
- Customer and geographic concentration in the B2B royalty book is not disclosed, which matters when total revenue is only $11.5m.
- No forward revenue or royalty target, and no FY25 guidance shape, is provided.
This briefing cannot assess underlying gross margin, segment economics, or the durability of the second-half revenue step-up because the supplied materials do not disclose gross profit, segment detail, or forward-work indicators.
Key metrics
| Metric | FY24 | FY23 | Change |
|---|---|---|---|
| Revenue | $11.5m | $10.2m | +12.6% ↑ |
| EBITDA | $0.8m | — | — |
| Net profit after tax | $0.6m | −$1.4m | +147.9% ↑ |
| Net cash inflow from operating activities | $1.1m | $0.1m | +895.3% ↑ |
| Declared dividend per share | 0.0c | 0.0c | flat |
| Profit before tax | $0.7m | −$1.4m | +151.6% ↑ |
| Total assets | $12.9m | $12.8m | +1.0% ↑ |
Reference: annolyse.ai/briefings/blt-fy24
Analytical metrics
| Metric | FY24 | FY23 | Context |
|---|---|---|---|
| Effective tax rate | 7.2% | n/m (loss period) | prior loss period |
| OCF / EBITDA (cash conversion) | 132.0% | — | stable |
| Debtor days | 41.0 | 51.6 | -10.6 days |
| Inventory days | 22.8 | 26.2 | -3.4 days |
| Trade debtors | $1.3m | $1.4m | −$0.2m |
| Net debt | −$4.3m | −$4.3m | +$0.0m |
| Net debt / EBITDA | -5.35x | — | Flat |
| Gross borrowings | $0.0m | $0.0m | +$0.0m |
| Payout ratio vs NPAT | 0.0% | — | — |
| ROE (annualised) | 5.6% | -12.5% | Strengthening |
| HY24 share of FY24 revenue | 41.4% | — | Other half was 58.6% |
| HY24 share of FY24 NPAT | -103.7% | — | Other half was 203.7% |
| Profit from continuing operations | $0.6m | −$1.4m | +$2.0m |
Reference: annolyse.ai/briefings/blt-fy24
This analysis was generated using Annolyse, an AI-powered tool that analyses NZX/ASX company announcements. The analysis is based on available company filings and standard Annolyse calculations. This is general information only and does not constitute financial advice. The analysis may contain errors. Always read the original company filings and consult a licensed financial adviser before making investment decisions.