Youfoodz talks of tailwinds ahead but it’s red ink for now
Youfoodz has had a year of strong growth but still delivered a bottom line loss of $3.5 million.
The company, which is in the middle of an agreed takeover by HelloFresh, ended the year with EBITDA profit of $1 million, an improvement on the loss of $2.8 million last year. Its bottom line loss was also an improvement on last year’s $6.4 million loss.
However, gross revenue was up 18.8 per cent which the company said was driven by its business-to-consumer channel, which had a revenue increase of almost 35 per cent. That was offset by a decline in its business-to-business channel of 4.4 per cent.
It said the fall in its B2B channel was caused by uncertainty from lockdowns and potential risk of wastage.
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Chief executive Lance Giles said the growth experienced over the past year had been pleasing.
“Looking ahead we continue to see significant tail winds for the ready-made meal sector in Australia with Youfoodz playing a leading role in driving ongoing product innovation, customer service and growth,” Giles said.
Following the end of the reporting period, Youfoodz said trading in July was in line with expectations with its consumer and business channels experiencing strong order volumes despite lockdowns in several states.
