Earnings release
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ASX Listing Rules Appendix 4C (01/12/19) Page 1 + See chapter 19 of the ASX Listing Rules for defined terms. Bubs Australia Limited ACN 060 094 742 23-29 Nina Link, Dandenong South VIC 3175 Australia 1800 2827 2878 (1800 BUBS AUST) info@bubsaustralia.com APPENDIX 4C CASHFLOW STATEMENT, QUARTERLY ACTIVITES REPORT & FULL YEAR GUIDANCE Bubs delivers revenue growth and positive cash flow and EBITDA for FY25 28 July 2025, Melbourne: Bubs Australia Limited (ASX: BUB ) (“Bubs ” or “ the Company”) is pleased to announce its unaudited financial results for the quarter ending 30 June 2025 (Q4 FY25). Group Highlights • Bubs achieved FY25 full year net revenue3 of $102.5m, up 29% on FY24 ($79.7m), and Q4 FY25 net revenue of $27.8m versus Q4 FY24 ($23.9m). • Bubs achieved a FY25 full year gross profit margin of 47.2% down 1.4% on FY24 (48.6%) and Q4 gross profit margin of 46.7% versus FY24 Q4 (48.6%). • Bubs expects to achieve FY25 full year EBITDA1 of $5.5m-$6m2 versus a loss of $19.8m. • in FY24, and Q4 FY25 EBITDA 1 of $4.31m2 versus a $9.9m EBITDA 1 loss in the prior corresponding period. This reflects improved trading as well as recognising $3.6m from the Alice & Willis settlement. • Bubs achieved FY25 full year positive operating cash flow of $5.0m and has $17.4m in total cash and cash equivalents plus $10.0m in undrawn debt facilities available as at 30 June 2025. • Bubs formally lodged its New Infant Formula Submission (NIFS) with the US Federal Drug Administration (FDA) in June and expects formal notification from the FDA on permanent access by the end of the calendar year. Bubs’ CFO Naomi Verloop commented: “With our continued revenue growth and our focus on working capital discipline, cost-out initiatives, and a reduction in one-off expenses, we achieved positive operating cash flow, for the 3 rd consecutive quarter, of $5.45m and were cash flow positive for the full year. We increased gross margins from 30.0% in FY23 to 47.2% in FY25. Regional Highlights USA On a full year basis, the US has been our best performing market in FY25 with 52% YOY growth, achieving $53m in revenues for FY25 by capitalising on the growing premium IMF segment. China On a full year basis China performed very well, with 22% YOY net revenue3 growth driven by strong CBEC sales of Goat IMF and Supreme IMF and Bubs’ successful expansion into the O2O channel, where Bubs is now stocked in 1276 stores. Australia On a full year basis underlying net revenue3 grew +8% YOY to $19.8m excluding non-recurring items by being the dominant player in a growing goat IMF segment. Rest of World On a full year basis, Rest of World markets performed extremely well with 44% YOY net revenue3 growth driven by Vietnam and Japan. Cash Position For personal use only
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ASX Listing Rules Appendix 4C (01/12/19) Page 2 + See chapter 19 of the ASX Listing Rules for defined terms. Bubs Australia Limited ACN 060 094 742 23-29 Nina Link, Dandenong South VIC 3175 Australia 1800 2827 2878 (1800 BUBS AUST) info@bubsaustralia.com Bubs held $17.4m in cash reserves as at 30 June 2025, with a further $10.0m of headroom on its bank facilities, totalling $27.4m of available cash liquidity. ASX Additional Information Pursuant to ASX Listing Rule 4.7C.1, and as outlined in the Appendix 4C, the Company advises it spent $10.3m on product manufacturing and operating costs, $ 4.8m on administration and corporate costs , $3.9m on staff costs, and $1.9m on advertising and marketing. Details of the business activities are found within this report. Pursuant to ASX LR4.7C.3, the Company advises that payments of $447k were made to Key Management Personnel and $ 98k was paid for Directors’ remuneration, including $6k paid in superannuation contributions. These payments are included in item 1.2. Footnotes 1 Earnings before interest, tax, depreciation and amortisation 2 This figure has not been subject to audit or review 3 Net revenue represents the revenue recognised after trading terms, trade spend and promotional support Note: the figures and statements in this announcement have not been audited This release is approved by the Board of Directors END MEDIA & SHAREHOLDING INQUIRIES Joanna McCarthy joanna.mccarthy@me.com T 0412 162 152 investors@bubsaustralia.com www.investor.bubsaustralia.com ABOUT BUBS AUSTRALIA LIMITED (ASX: BUB) Founded in 2006 in Australia, Bubs’ purpose is to grow happy, healthy families through clean nutrition. Bubs ® A2 Beta-Casein Protein, Bubs Organic ® Grass-fed, and Easy -Digest Goat Milk Infant Formula, along with Bubs Organic ® baby food range, cater for all feeding occasions and stages of a child’s development during their first 1,000 days of life. Bubs® products are widely sold in major supermarkets and pharmacies throughout Australia, as well as exported to ten markets across China, Southeast Asia, the Middle East, and USA. https://www.bubsaustralia.com/ For personal use only
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ASX Listing Rules Appendix 4C (01/12/19) Page 3 + See chapter 19 of the ASX Listing Rules for defined terms. Bubs Australia Limited ACN 060 094 742 23-29 Nina Link, Dandenong South VIC 3175 Australia 1800 2827 2878 (1800 BUBS AUST) info@bubsaustralia.com Appendix 4C Quarterly cash flow report for entities subject to Listing Rule 4.7B Name of entity BUBS AUSTRALIA LIMITED (ASX: BUB) ABN Quarter ended (“current quarter”) 63 060 094 742 30 June 2025 Consolidated statement of cash flows Current quarter $A’000 Year to date $A’000 1. Cash flows from operating activities 26,637 104,103 1.1 Receipts from customers 1.2 Payments for (a) research and development (79) (1,206) (b) product manufacturing and operating costs (10,316) (57,265) (c) advertising and marketing (1,938) (12,062) (d) leased assets (253) (807) (e) staff costs (3,875) (15,497) (f) administration and corporate costs (4,796) (12,153) 1.3 Dividends received (see note 3) - - 1.4 Interest received 76 342 1.5 Interest and other costs of finance paid (11) (427) 1.6 Income taxes paid - - 1.7 Government grants and tax incentives - - 1.8 Other (provide details if material) - - 1.9 Net cash from / (used in) operating activities 5,445 5,028 2. Cash flows from investing activities - - 2.1 Payments to acquire: (a) entities (b) businesses - - (c) property, plant and equipment 5 (86) For personal use only
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ASX Listing Rules Appendix 4C (01/12/19) Page 4 + See chapter 19 of the ASX Listing Rules for defined terms. Bubs Australia Limited ACN 060 094 742 23-29 Nina Link, Dandenong South VIC 3175 Australia 1800 2827 2878 (1800 BUBS AUST) info@bubsaustralia.com Consolidated statement of cash flows Current quarter $A’000 Year to date $A’000 (d) investments - - (e) intellectual property - - (f) other non-current assets - - 2.2 Proceeds from disposal of: - - (a) entities (b) businesses - - (c) property, plant and equipment - - (d) investments - - (e) intellectual property - - (f) other non-current assets (31) (35) 2.3 Cash flows from loans to other entities - - 2.4 Dividends received (see note 3) - - 2.5 Other (provide details if material) - - 2.6 Net cash from / (used in) investing activities (26) (121) 3. Cash flows from financing activities - - 3.1 Proceeds from issues of equity securities (excluding convertible debt securities) 3.2 Proceeds from issue of convertible debt securities - - 3.3 Proceeds from exercise of options - - 3.4 Transaction costs related to issues of equity securities or convertible debt securities - - 3.5 Proceeds from borrowings - 3,165 3.6 Repayment of borrowings (5,442) (8,169) 3.7 Transaction costs related to loans and borrowings - - 3.8 Dividends paid - - 3.9 Other (provide details if material) - - 3.10 Net cash from / (used in) financing activities (5,442) (5,004) For personal use only
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ASX Listing Rules Appendix 4C (01/12/19) Page 5 + See chapter 19 of the ASX Listing Rules for defined terms. Bubs Australia Limited ACN 060 094 742 23-29 Nina Link, Dandenong South VIC 3175 Australia 1800 2827 2878 (1800 BUBS AUST) info@bubsaustralia.com Consolidated statement of cash flows Current quarter $A’000 Year to date $A’000 4. Net increase / (decrease) in cash and cash equivalents for the period 17,449 17,523 4.1 Cash and cash equivalents at beginning of period 4.2 Net cash from / (used in) operating activities (item 1.9 above) 5,445 5,028 4.3 Net cash from / (used in) investing activities (item 2.6 above) (26) (121) 4.4 Net cash from / (used in) financing activities (item 3.10 above) (5,442) (5,004) 4.5 Effect of movement in exchange rates on cash held - - 4.6 Cash and cash equivalents at end of period 17,426 17,426 5. Reconciliation of cash and cash equivalents at the end of the quarter (as shown in the consolidated statement of cash flows) to the related items in the accounts Current quarter $A’000 Previous quarter $A’000 5.1 Bank balances 16,090 16,117 5.2 Call deposits - - 5.3 Bank overdrafts - - 5.4 Other (Term deposits) 1,336 1,332 5.5 Cash and cash equivalents at end of quarter (should equal item 4.6 above) 17,426 17,449 6. Payments to related parties of the entity and their associates Current quarter $A'000 6.1 Aggregate amount of payments to related parties and their associates included in item 1 98 6.2 Aggregate amount of payments to related parties and their associates included in item 2 - Note: if any amounts are shown in items 6.1 or 6.2, your quarterly activity report must include a description of, and an explanation for, such payments Pursuant to ASX LR4.7C.3, the Company advises that payments of $ 447, 129 were made to Key Management Personnel and $98 k was paid for Directors’ remuneration, including $5.9k paid in superannuation contributions. These payments are included in item 1.2. For personal use only
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ASX Listing Rules Appendix 4C (01/12/19) Page 6 + See chapter 19 of the ASX Listing Rules for defined terms. Bubs Australia Limited ACN 060 094 742 23-29 Nina Link, Dandenong South VIC 3175 Australia 1800 2827 2878 (1800 BUBS AUST) info@bubsaustralia.com 7. Financing facilities Note: the term “facility’ includes all forms of financing arrangements available to the entity. Add notes as necessary for an understanding of the sources of finance available to the entity. Total facility amount at quarter end $A’000 Amount drawn at quarter end $A’000 7.1 Loan facilities - - 7.2 Credit standby arrangements 10,000 - 7.3 Other (please specify) - - 7.4 Total financing facilities 10,000 - 7.5 Unused financing facilities available at quarter end 10,000 7.6 Include in the box below a description of each facility above, including the lender, interest rate, maturity date and whether it is secured or unsecured. If any additional financing facilities have been entered into or are proposed to be entered into after quarter end, include a note providing details of those facilities as well. NAB Trade Refinance facility 8.62% per annum secured with the maturity date 31 August 2026. 8. Estimated cash available for future operating activities $A’000 8.1 Net cash from / (used in) operating activities (Item 1.9) 5,445 8.2 Cash and cash equivalents at quarter end (Item 4.6) 17,426 8.3 Unused finance facilities available at quarter end (Item 7.5) 10,000 8.4 Total available funding (Item 8.2 + Item 8.3) 27,426 8.5 Estimated quarters of funding available (Item 8.4 divided by Item 8.1) n/a 8.6 If Item 8.5 is less than 2 quarters, please provide answers to the following questions: 1. Does the entity expect that it will continue to have the current level of net operating cash flows for the time being and, if not, why not? Answer: N/A 2. Has the entity taken any steps, or does it propose to take any steps, to raise further cash to fund its operations and, if so, what are those steps and how likely does it believe that they will be successful? Answer: N/A 3. Does the entity expect to be able to continue its operations and to meet its business objectives and, if so, on what basis? Answer: N/A For personal use only
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ASX Listing Rules Appendix 4C (01/12/19) Page 7 + See chapter 19 of the ASX Listing Rules for defined terms. Bubs Australia Limited ACN 060 094 742 23-29 Nina Link, Dandenong South VIC 3175 Australia 1800 2827 2878 (1800 BUBS AUST) info@bubsaustralia.com Compliance statement 1 This statement has been prepared in accordance with accounting standards and policies which comply with Listing Rule 19.11A. 2 This statement gives a true and fair view of the matters disclosed. 28 July 2025 Date: ................................................................................... The Board of Directors Authorised by: ................................................................................... (Name of body or officer authorising release – see note 4) Notes 1. This quarterly cash flow report and the accompanying activity report provide a basis for informing the market about the entity’s activities for the past quarter , how they have been financed and the effect this has had on its cash position. An entity that wishes to disclose additional information over and above the minimum required under the Listing Rules is encouraged to do so. 2. If this quarterly cash flow report has been prepared in accordance with Australian Accounting Standards, the definitions in, and provisions of, AASB 107: Statement of Cash Flows apply to this report. If this quarterly cash flow report has been prepared in accordance with other accounting standards agreed by ASX pursuant to Listing Rule 19.11A, the corresponding equivalent standard applies to this report. 3. Dividends received may be classified either as cash flows from operating activities or cash flows from investing activities, depending on the accounting policy of the entity. 4. If this report has been authorised for release to the market by your board of directors, you can insert here: “By the board”. If it has been authorised for release to the market by a committee of your board of directors, you can insert here: “By the [name of board committee – eg Audit and Risk Committee]”. If it has been authorised for release to the market by a disclosure committee, you can insert here: “By the Disclosure Committee”. 5. If this report has been authorised for release to the market by your board of directors and you wish to hold yourself out as complying with recommendation 4.2 of the ASX Corporate Governance Council’s Corporate Governance Principles and Recommendations, the board should have received a declaration from its CEO and CFO that, in their opinion, the financial records of the entity have been properly maintained, that this report complies with the appropriate accounting standards and gives a true and fair view of the cash flows of the entity , and that their opinion has been formed on the basis of a sound system of risk management and internal control which is operating effectively. For personal use only