An A$8 million tax benefit propelled Little Green Pharma into profitability for the 12 months to March, with its chief executive characterising the year as one of "strong growth, resilience and opportunity".
In its FY25 results released this morning, the company posted an after-tax profit of $3.3m, a sharp turnaround from the $8.15m loss recorded the prior year.
Revenue rose 43% to nearly $37m, and adjusted EBITDA came in at $2.9m, compared to a $1.6m loss in FY24.
LGP shares gained 5% in morning trade, reaching 11c.
Stripped of the $8.11m income tax benefit, however, LGP recorded a $4.7m loss — still a 41% improvement on the FY24 result.
The company also fell short of repeating its positive operating cash flow from the year prior, posting a $917,000 deficit instead.
Total expenditure rose from $35.5m to $42.6m, driven largely by raw material costs that doubled over the period.
Flower continued to dominate the product mix, accounting for 63% of total revenue.
Flower sales grew by nearly 50% to $23.2m, oil revenue climbed 26% to $10.9m, and vape sales rose 66% to $1.1m.
On a regional basis, Australian sales reached $30m, up from $22.4m, while European revenue more than doubled to $6.7m.
In the company's annual report, CEO Paul Long said the results were achieved amid "significant regulatory change and intense competition".
"FY2025 has been a year of strong growth, resilience and opportunity for Little Green Pharma," he said. "Our strategy of vertical integration and one-stop-shop supply continues to underpin our success, enabling us to deliver high-quality products efficiently and at scale."
Long said the "highly competitive" markets in Australia and Europe were set for consolidation over the next six to 12 months, with LGP "exceptionally well-positioned" to emerge "as an industry leader".
While LGP delivered a positive EBITDA result, "many of our peers are entering administration or exiting the market", he said.
"Our acquisition of our Danish asset and more recently of Health House serves as a model for how we will approach future opportunities and demonstrates our capability to execute successful acquisitions," he said.
