PBT swung to $2.3m profit on Apples-led 12.3% revenue growth

Revenue grew 12.3% to $920.6m, sitting at the upper edge of the four-period historical range (mean 5.5%) and well above the prior comparable.

Cash performance moved with the P&L. Operating cash flow swung from -$13.1m to +$18.7m, and pre-lease free cash flow reached $12.0m versus a -$27.8m four-period average. Net debt was effectively flat at $240.1m, but gross borrowings of $314.6m have been reclassified almost entirely to current ($295.1m current versus $19.5m non-current, a flip from $111.2m / $181.9m a year earlier).

NPAT attributable to the parent remained negative at -$1.1m (versus -$21.4m, +94.9%). Group profit after tax was actually $1.7m, with non-controlling interests absorbing the difference.

• The segment booked $675.3m of revenue (73.3% of group) and a result of $47.3m, almost double the $23.8m prior. T&G Fresh also turned positive ($3.7m vs -$11.3m), but VentureFruit (-$7.2m) and Other (-$25.7m) deepened their losses, with combined non-Apples / non-Fresh losses widening to roughly $32.9m. The group's profitability sits on one segment.

• Total assets reached an unprecedented $1.3b, $68.6m above the four-period mean of $1.2b. Trade debtors grew 14.9% to $272.2m, faster than the 12.3% revenue lift, and operating working capital expanded by $36.2m. Inventory days fell to 32.8 (below the historical range of 32.9–53.3 days), which helped cash but raises the question of whether the destock continues into H2.

• The borrowings reclassification is the largest unexplained item. Almost all of T&G's debt is now current. With $74.5m of cash on hand against $295.1m of current loans, the refinancing or facility-renewal posture in the next twelve months becomes the dominant balance-sheet question, regardless of the improving P&L.

Seasonality context shows HY24 produced 60.3% of FY24 revenue and 133.6% of FY24 NPAT, meaning the second half historically takes profit lower, not higher — Apples is an H1-weighted business. On that pattern, the strong HY25 first-half result does not annualise cleanly.

The release does not provide guidance on H2 margin shape, refinancing intentions, or capex run-rate. The next material disclosures will need to address the current-borrowings position and whether the loss-making segments stabilise.

The effective tax rate normalised to 25.4% from -126.7%, so PBT growth of +127.7% is the cleanest measure of operating improvement. Pre-lease FCF of $12.0m is the strongest reading in the supplied historical baseline (mean -$27.8m), supported by both the OCF swing and a 40.7% reduction in capex to $6.7m (0.7% of revenue versus a prior 1.4%).

Two qualifications matter. First, the cash improvement was net of a $36.2m operating working-capital build, so reported OCF understates the underlying receivables pressure. Second, the capex step-down to 0.7% of revenue is lower than the prior comparable; if H2 normalises capex, the headline FCF figure will compress materially. Earnings quality at the operating line is real, but capital-allocation timing and a single-segment dependency limit how far this result can be extrapolated.

This briefing cannot assess refinancing terms, banking covenants, dividend policy, or segment-level outlook because none were disclosed in the supplied materials.