Table of Contents
What changed
Revenue fell 26.3% to NZ$9.2m from NZ$12.4m as the pandemic continued to suppress booking activity, though travel booking volumes rose 157% off a very low base. The cash-operating result deteriorated: EBITDAF loss widened 76% to NZ$11.8m from NZ$6.7m. Despite that, PBT loss narrowed 47.8% to NZ$15.2m and NPAT loss narrowed 48.4% to NZ$15.2m, pointing to materially lower depreciation, amortisation and other below-EBITDAF charges in FY21 versus FY20 (roughly NZ$3.3m in FY21 against around NZ$22.3m in FY20). Operating cash outflow improved to NZ$9.8m from NZ$18.0m. Cash climbed to NZ$52.3m from NZ$34.9m against gross borrowings of just NZ$0.1m, leaving an implied net cash position of NZ$52.3m. Total equity fell 13.3% to NZ$88.9m on the loss.
What matters
- Operating losses are deeper, not shallower. The cleaner operating read — EBITDAF — widened by NZ$5.1m, and PBT is only cleaner because FY20 carried substantially larger non-cash charges. Tax distortion is negligible (the effective rate was 0% in FY21 and 1.2% in FY20), so PBT and NPAT tell the same story.
- Cash runway has strengthened despite widening losses. Cash rose NZ$17.4m year on year even as operations and capex consumed NZ$17.1m of pre-lease free cash flow, implying financing inflows have materially extended runway. Net cash sits at roughly 4.4x the current EBITDAF loss, which is the key balance-sheet read.
- Capex intensity has risen sharply on a smaller revenue base. Capitalised development and PP&E of NZ$7.3m represents 80.0% of revenue, up from 62.7%, indicating continued investment in Northern Hemisphere expansion rather than a retrenchment to match demand.
Expectations
No quantitative guidance or forward-work target was disclosed in the supplied materials, and there are no stated medium-term targets to judge the result against. On shape, HY21 contributed 55.3% of FY21 revenue and 56.8% of the full-year EBITDAF loss, so the second half was slightly smaller on revenue but modestly less loss-making on EBITDAF (implied H2 EBITDAF loss of NZ$5.1m versus NZ$6.7m in H1). The release's claim of an 81% increase "to $9.2m from $5.1m" appears to compare FY21 total to HY21 and is not a like-for-like prior-year comparison; on a clean FY21-versus-FY20 basis operating revenue declined 26.3%.
Quality of result
The headline PBT and NPAT improvement is largely balance-sheet-assisted rather than earnings-driven: the underlying cash-operating result (EBITDAF) deteriorated, and the PBT gain is explained by a roughly NZ$19m drop in non-cash charges below EBITDAF between FY20 and FY21. Receivable days improved to 76.8 from 83.8, so working capital is not flattering the cash result. However, cash conversion on an EBITDAF basis weakened materially — OCF/EBITDAF fell to 83.2% from 269.3% in FY20 (where EBITDAF was only modestly negative against a much larger cash outflow, a different distortion) — and pre-lease free cash flow remained a NZ$17.1m outflow. The durable read is that the business is still burning cash at a rate well above its current revenue base, funded by a strong cash balance.
Unresolved
- What drove the NZ$17.4m increase in cash against a pre-lease FCF outflow of NZ$17.1m and a NZ$13.6m decline in equity — the supplied excerpts do not clearly reconcile the financing inflow.
- Why the release quotes an FY20 EBITDAF loss of NZ$6.7m when prior-year commentary cited a NZ$22.3m loss, and which comparison is on a like-for-like basis.
- Segment-level margin and Northern Hemisphere progression, given that capex intensity rose to 80% of revenue but no regional revenue split was provided.
- No ARPB trajectory beyond the stated NZ$7.38 versus NZ$8.76, no customer concentration, and no full non-GAAP reconciliation were supplied.
This briefing cannot assess valuation, NTA-based metrics, or forward earnings trajectory because no NTA per share, guidance, or forward-work disclosure was provided in the supplied materials.
Key metrics
| Metric | FY21 | FY20 | Change |
|---|---|---|---|
| Revenue | $9.2m | $12.4m | -26.3% ↓ |
| EBITDA | −$11.8b | — | — |
| Net profit after tax | −$15.2m | −$29.4m | +48.4% ↑ |
| Net cash inflow from operating activities | −$9.8m | −$18.0m | +45.6% ↑ |
| Profit before tax | −$15.2m | −$29.0m | +47.8% ↑ |
| Cash and cash equivalents | $52.3m | $34.9m | +49.9% ↑ |
| Total assets | $98.6m | $111.3m | -11.4% ↓ |
Analytical metrics
| Metric | FY21 | FY20 | Context |
|---|---|---|---|
| OCF / EBITDA (cash conversion) | 83.2% | 269.3% | deteriorated |
| FCF pre-lease | −$17.1m | −$25.8m | +$8.7m |
| FCF / NPAT | 113.1% | 87.9% | complementary conversion metric |
| Capex % revenue | 80.0% | 62.7% | — |
| Capex | $7.3m | −$7.8m | +$15.1m |
| Debtor days | 76.8 | 83.8 | -7.0 days |
| Trade debtors | $1.9m | $2.9m | −$0.9m |
| Net debt | −$52.3m | −$34.8m | −$17.5m |
| Net debt / EBITDA | -4.40x | -5.20x | Strengthening |
| Gross borrowings | $0.1m | $0.1m | −$0.0m |
| ROE (annualised) | -17.1% | -28.7% | Strengthening |
| HY21 share of FY21 revenue | 55.3% | — | Other half was 44.7% |
| HY21 share of FY21 EBITDA | 56.8% | — | Other half was 43.2% |
| HY21 share of FY21 NPAT | 66.7% | — | Other half was 33.3% |
| Profit from continuing operations | −$15.2m | −$29.4m | +$14.2m |
This analysis was generated using Annolyse, an AI-powered tool that analyses NZX 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.