IFBH (6603) H1 2026 earnings summary

Executive summary

• Revenue for H1 2026 declined 46.7% year-over-year to US$50.4 million, mainly due to supply shortages, weak consumer sentiment, and channel restructuring.

• Gross profit dropped 54.2% to US$14.6 million, with gross margin falling to 28.9% from 33.7% due to higher procurement costs and a shift in sales mix toward lower-margin products.

• Net profit after tax decreased 69.4% to US$4.6 million, with net margin at 9.1% versus 15.9% a year earlier.

• Mainland China remained the largest market, though its revenue contribution declined to 85.6% as international markets saw strong growth.

• International expansion delivered strong growth in Taiwan (+31.3%), USA (+133.2%), Philippines (+496.6%), and Laos (+454.4%).

Financial highlights

• Revenue: US$50.4 million (down 46.7% YoY).

• Gross profit: US$14.6 million (down 54.2% YoY); gross margin: 28.9% (down 4.8pp YoY).

• Net profit: US$4.6 million (down 69.4% YoY); net margin: 9.1%.

• EPS: 1.7 US cents (down from 6.7 US cents YoY).

• Cash at banks: US$162.6 million as of 30 June 2026.

• No interim dividend declared for the period.

• Selling and distribution expenses dropped 25.9% to US$2.5 million, but as a percentage of revenue rose to 4.9%.

• Marketing expenses surged 72.2% to US$6.1 million, reflecting increased campaigns and new market entries.

• Administrative expenses decreased 31.9% to US$4.1 million, mainly due to absence of prior year listing costs.

Outlook and guidance

• The Greater China RTD soft drink market is projected to grow at a 6.4% CAGR to US$201.3 billion by 2030.

• Coconut water segment expected to grow at a 13.4% CAGR to US$2.45 billion by 2030.

• The Group plans to expand sourcing, invest in product innovation, deepen China market penetration, and pursue strategic partnerships and acquisitions.

• Management remains optimistic about long-term growth, leveraging Thai heritage, health trends, and product innovation.