Revenue for the period rose by 9% y-o-y to $34.3 million mainly due to the renewable energy segment which saw a “significant boost” from a new contract secured in March 2024 with a major food manufacturer. The contract alone contributed $2.79 million to revenue through the sale of spent grain. Other factors, which contributed to the renewable energy segments’ revenue included ecoWise’s ISO-tank heating revenue, which rose by $128,000; as well as other revenue streams including the sale of used bulk bags, scrap items and drying of orange peels, which rose by $218,000.
Gross profit increased by 10% y-o-y to $5.5 million with gross profit margin increasing by 0.08 percentage points y-o-y to 16.17%.
Other income surged by 53% y-o-y to $1.4 million mainly thanks to a gain on disposal of $955,000 of assets held for sale. Other items included an $84,000 gain from the reversal of provision for reinstatement of leased properties, $80,000 from profit sharing in a joint project, as well as $65,000 in government credits. The higher other income was also due to a $70,000 gain from the derecognition of lease liabilities, $51,000 gain from disposal of fixed assets, $22,000 from stock revaluation gain and other gains of $11,000. These were primarily offset by a $23,000 currency exchange loss and allowance for doubtful debts of $86,000.
Profit from continuing operations stood at $589,000, reversing from a loss of $1.3 million last year. Profit from discontinued operations stood at $935,000. The gains relate to the disposal of Hivern and its subsidiary, Changyi Enersave Biomass to Energy Co., Ltd.; ecoWise Solutions and its subsidiary, Chongqing ecoWise Investment Management Co., Ltd.; and ecoWise RubberTech Pte. Ltd. and its subsidiary, Chongqing eco-CTIG, Rubber Technology Co., Ltd.
The disposal of ecoWise Solutions and ecoWise RubberTech were completed on April 30.
Shares in ecoWise closed 0.1 cents higher or 5% up at 2.1 cents on June 27. The company’s shares resumed trading on the Catalist board in April this year after being suspended for almost four years.
