Pasture Holdings sinks into US$0.8m 1H FY2026 loss as revenue drops 41% and tariffs squeeze margins
Summary:
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Revenue fell 40.6% year on year to US$4.3 million for 1H FY2026, mainly from a contraction in Pharma WDS sales as US tariffs, customs changes and the lapse of a government-linked contract cut shipment volumes.
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Gross profit slumped 64.2% to US$0.7 million, with gross margin sliding from 28.0% to 16.9% as higher cross-border compliance, freight and processing costs were largely absorbed to maintain supply continuity.
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The Group swung from a US$0.5 million profit to a US$0.8 million net loss, despite tighter operating cost control that trimmed administrative expenses to US$1.4 million.
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Operating cash flow turned negative with a US$0.5 million outflow, while inventories rose to US$2.9 million and customer advances pushed current liabilities up to US$4.7 million.
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Management warns near-term uncertainty from economic headwinds and trade disruptions will persist, but is leaning on its diversified footprint and Southeast Asia expansion; no interim dividend was declared as the Group prioritises cash conservation.