EBOS Group Reports 7% Revenue Decline, 21% Net Income Drop in FY 2025

EBOS Group reported FY25 revenue of AU$12.3b, down 7.0% YoY, and net income of AU$215.1m, a 21% decline. The profit margin decreased to 1.8% from 2.1% in FY24 due to lower revenue. Revenue is forecast to grow 5.0% p.a. over the next 3 years, compared to a 7.4% growth forecast for the Healthcare industry in New Zealand.

Domino's Pizza Enterprises

Domino's Pizza Enterprises, the largest master franchise operator outside the United States, reported a loss of A$3.7 million in the year ended June 29, marking its first full-year loss since going public two decades ago. The company's stock dropped by 20% in Sydney trading, cutting its market value to A$1.46 billion [1].

The loss was driven by a decline in same-store sales of 0.9% in the first seven weeks of the current financial year, which missed the growth expectations of 3.1% for the first six months. Domino's Pizza Enterprises operates 773 stores in Japan and 435 outlets in France, where it has been significantly impacted by weak performance and store closures [1].

The company's shares were the worst performer in the ASX 200 benchmark index, trading largely flat, as of 0043 GMT. Domino's Pizza Enterprises has been hit hard by ongoing weak performance in Japan and France, with store closures in the latter significantly impacting its bottom line. Waning post-pandemic demand and rising input costs in Japan further squeezed its profit in one of its biggest markets [1].

Domino's Pizza Enterprises has announced a series of cost-cutting measures and operational simplifications to improve profitability. The company will reduce reliance on food coupons and shift away from higher prices to lower prices and fewer tokens to make menu prices more transparent and increase profitability for franchisees [2].

The company's new Executive Chair, 83-year-old billionaire Jack Cowin, said, "We’re moving heaven and earth on the cost side of the business. This isn’t talk." Domino's Pizza Enterprises has more than 3,500 stores globally, from Australia to Europe [2].

Anta Sports

Anta Sports' revenue reached RMB 33.7 billion (~$4.75 billion) in H1 2024, marking a 13.8 per cent year-on-year increase. The Anta segment saw a 13.5 per cent revenue rise to RMB 16.08 billion (~$3.72 billion), while Fila grew by 6.8 per cent to RMB 13.06 billion (~$3.02 billion). Other brands surged 41.8 per cent to RMB 4.60 billion (~$1.06 billion) [2].

Profit attributable to equity shareholders increased by 17.0 per cent year-on-year to RMB 6.16 billion (~$1.43 billion). The margin of profit attributable to equity shareholders increased by 0.5 per cent point year-on-year to 18.3 per cent. The company's operating profit margin maintained at 25.7 per cent, with the Anta segment reaching 21.8 per cent, the Fila segment reaching 28.6 per cent, and all other brands reaching 29.9 per cent. Net operating cash inflow reached RMB 8.50 billion (~$1.97 billion), with free cash inflow of RMB 7.62 billion (~$1.76 billion). As of 30 June 2024, the group held an aggregate amount of cash and cash equivalents, fixed deposits held at banks and pledged deposits of RMB 47.83 billion (~$11.06 billion) [2].

"Although the consumer segment in the first half of the year continued to face numerous uncertainties, the overall trend in the sportswear industry remains stable and positive. The hosting of the Paris Olympic Games has successfully sparked public interest and participation in sports, positively impacting industry demand. The group adheres to the strategy of 'Single-focus, Multi-brand, Globalisation', driving high-quality growth through innovation and further strengthening our three core competitiveness. With our ability and determination to navigate economic cycles, we will advance our global exploration through a unique brand + retail business model, steadily progressing towards becoming a leading sportswear group in the world,” Lai Shixian, executive director & co-CEO of Anta Sports, said [2].

References:
[1] https://www.marketscreener.com/news/australia-s-domino-s-pizza-swings-to-annual-loss-shares-fall-ce7c50d9d18ff727
[2] https://www.fibre2fashion.com/news/textile-news/china-s-anta-sports-revenue-exceeds-4-75-bn-in-h1-fy24-297680-newsdetails.htm