IDT Australia (ASX:IDT) reported a narrowing of its losses for the half-year ended Dec. 31, 2025.
The company’s focus on high-margin core verticals—API Manufacturing, Specialty Orals, and Advanced Therapies—delivered a 20.3% surge in ordinary revenue, reaching $8.4 million compared to $7 million in the previous corresponding period.
The revenue growth, combined with aggressive cost-containment measures, has drastically improved the company’s bottom line.
EBITDA improved by $2.3 million, rising from a loss of $2.7 million in H1FY25 to a modest loss of just $436,000.
The trajectory highlights a major shift toward profitability, supported by a 14.2% reduction in operating expenses—saving $1.1 million through better resource allocation and early-stage automation.
Under new leadership, the company has doubled its forecasted annualised cost savings target to $2 million, citing further efficiencies expected from digitisation and manufacturing optimisation.
While total revenue dipped slightly to $9.8 million due to a planned reduction in low-margin "disbursements," the underlying shift toward higher-value pharmaceutical production suggests a leaner, more resilient business model.
At the time of reporting, IDT Australia’s share price was $0.052.