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BrilliA Reports Positive Operating Cash Flow and Cost Reduction for the Six Months Ended September 30, 2025

businesswire.com

BrilliA Reports Positive Operating Cash Flow and Cost Reduction for the Six Months Ended September 30, 2025 SINGAPORE--( BUSINESS WIRE)--BrilliA Inc. (NYSE American: BRIA) (“BrilliA” or “the Company”), a comprehensive one-stop service and solution provider for ladies’ intimate apparel brands worldwide, today announced its financial results for the six months ended September 30, 2025.

Comments from Kendrew Hartanto, Chief Executive Officer of BrilliA

“BrilliA operated in a challenging global trade environment during the first six months ended September 30. The introduction of new tariff measures affecting exports to the United States created uncertainty across the apparel supply chain. In response, we maintained pricing discipline and made the strategic decision not to accept orders that would have required the Company to absorb the full tariff burden. While this impacted near-term revenue, we believe it was the right decision to protect margins and long-term shareholder value.”

“Despite these headwinds, we reduced costs of goods sold and continued to improve cost efficiency across our operations. Our focus on disciplined inventory management, manufacturing efficiency, and supply chain optimization enabled us to deliver positive cash flow and strengthen our financial position during the period.”

“Looking ahead, we remain focused on expanding our B2B export business selectively in North America while increasing our presence in other international markets. At the same time, we are accelerating our branding strategy, including the continued development of our DIANA lingerie brand and potential brand acquisitions and licensing opportunities. We are also excited about the opportunity to diversify our revenue streams and improve production capacity utilization across Asia through our collaboration with Ai Sakura, which is enabling us to enter Japan’s higher-margin athleisure market in the second half of 2026. While U.S. tariff-related effects and macroeconomic uncertainty will continue to weigh on our performance in the near-term, we believe the combination of these initiatives will position BrilliA to return to growth and expand our revenue across Indonesia, Malaysia, Singapore, and the broader ASEAN region.”

Six Months Ended September 30, 2025 Results

BrilliA reported revenue of $24.6 million, compared to $27.4 million in the same period of 2024, a decrease of 10.3%. The revenue decline was primarily due to a 13.5% drop in North American export sales, or approximately $3.2 million. This was partially offset by growth in the Asia-Pacific region, which increased by about $0.4 million. The revenue performance was impacted by disruption to global garment trade flows arising from the introduction of broad-based U.S. tariff measures in April 2025, including a reciprocal tariff on goods of Indonesian origin, which materially affected buyer confidence, order timing, and pricing dynamics across the industry during the period. As a company that engages Indonesian contract manufacturers to produce goods for sale to customers in the United States, BrilliA was directly exposed to these pressures.

Despite the revenue headwinds, the Company generated positive operating cash flow of $2.1 million, a significant turnaround from the $0.2 million cash outflow recorded in the same period of 2024. This improvement was supported by a 9.1% reduction in cost of goods sold, reflecting BrilliA’s continued focus on manufacturing efficiency and cost discipline.

Gross profit margin was 14.3%, compared to 15.4% in the prior year period, with compression reflecting the broader pricing environment. Net income was $41 thousand, compared to $1.1 million in the prior year period, with the variance primarily driven by gross profit decline and increases in other operating expenses.

Cash and cash equivalents at September 30, 2025 were approximately $6.6 million, compared with approximately $7.7 million at March 31, 2025. The movement reflects the payment of a $3.3 million dividend during the period. Total assets at September 30, 2025 were $31.1 million, an increase of 9.5% compared to $28.4 million at March 31, 2025. The Company maintained a current ratio of 1.93x, reflecting a sound liquidity position.

About BrilliA

BrilliA is a comprehensive one-stop service and solution provider for over 30 ladies' intimate apparel brands worldwide, managing sourcing, design, prototyping, supply chain, logistics, and quality control. The Company works with major international companies, including Fruit of the Loom, Hanes Brands Inc., and H&M.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of U.S. federal securities laws. These statements include, but are not limited to, statements regarding BrilliA’s business strategy, market opportunities, future performance, and operational outlook. These forward-looking statements are subject to various risks and uncertainties that could cause actual results to differ materially from those expressed or implied, including, but not limited to, global economic conditions, supply chain disruptions, customer demand, pricing pressures, and other factors described in the Company’s filings with the U.S. Securities and Exchange Commission (SEC). BrilliA undertakes no obligation to update any forward-looking statements to reflect events or circumstances after the date of this press release, except as required by applicable law. BrilliA does not guarantee future results and undertakes no obligation to update these statements, except as required by law. Investors are encouraged to review BrilliA’s filings with the U.S. Securities and Exchange Commission (SEC) for additional risk factors.

BrilliA Inc. and Its Subsidiaries

Unaudited Interim Condensed

Consolidated Statements of Profit or Loss and Other Comprehensive Income

For the Six Months Ended September 30, 2025

Note

Predecessor

One month

from April 1, 2024

to

April 30, 2024

(Unaudited)*

Successor

Five months

from May 1, 2024

to

September 30, 2024

(Unaudited)

Successor

Six months ended

September 30, 2024

(Unaudited)*

Successor

Six months ended

September 30, 2025

(Unaudited)*

USD’000

USD’000

USD’000

USD’000

Revenue

19

4,666

22,758

27,424

24,596

Cost of materials

(2,536

)

(12,554

)

(15,090

)

(13,180

)

Contract manufacturers charges

(1,245

)

(6,870

)

(8,115

)

(7,901

)

Gross profit

885

3,334

4,219

3,515

Other income

20

7

48

55

89

Depreciation of property, plant and equipment

(3

)

(19

)

(23

)

(24

)

Depreciation of right-of-use assets

(38

)

(191

)

(229

)

(205

)

Employee benefit expense

21

(216

)

(1,343

)

(1,559

)

(1,518

)

Other expenses

22

(168

)

(862

)

(1,030

)

(1,593

)

Finance costs

23

(12

)

(56

)

(68

)

(49

)

Net gain on impairment of financial assets

74

74

4

Profit before income taxes

454

985

1,439

219

Income tax expenses

24

(87

)

(220

)

(307

)

(178

)

Profit for the financial period

367

765

1,132

41

Other comprehensive income

Items that may be reclassified subsequently to profit or loss

Gain on foreign currency translation

41

412

Other comprehensive income, net of tax

41

412

Total comprehensive income for the period

1,173

453

Profit attributable to:

Owners of the parent

1,130

41

Non-controlling interest

2

1,132

41

Total comprehensive income attributable to:

Owners of the parent

1,171

453

Non-controlling interest

2

1,173

453

Weighted average number of ordinary shares

basic and diluted

25

25,000,000

25,000,000

Earnings per share attributable to ordinary shareholders

basic and diluted

25

0.047

0.002

The accompanying notes are an integral part of these unaudited interim consolidated financial statements.

BrilliA Inc. and Its Subsidiaries

Unaudited Interim Condensed Consolidated Statements of Financial Position

As of March 31, 2025 and September 30, 2025

Note

As of

March 31,

2025

(Audited)

As of

September 30,

2025

(Unaudited)*

USD’000

USD’000

ASSETS

Non-current assets

Property, plant and equipment, net

4

136

173

Right-of-use assets

5

1,580

1,384

Other investments

6

1,000

1,000

Total non-current assets

2,716

2,557

Current assets

Inventories

7

7,281

7,455

Trade and other receivables

8

10,406

14,140

Amounts due from related parties

9

235

332

Income tax recoverable

67

67

Cash and cash equivalents

10

7,703

6,571

Total current assets

25,692

28,565

Total assets

28,408

31,122

LIABILITIES AND EQUITY

Non-current liabilities

Lease liabilities

11

1,299

1,100

1,299

1,100

Current liabilities

Trade and other payables

12

5,393

11,168

Amount due to a director

13

3

Amount due to a shareholder

14

52

Amount due to a related parties

15

125

Lease liabilities

11

382

394

Income tax payable

3,080

3,258

Total current liabilities

9,035

14,820

Total liabilities

10,334

15,920

Capital and reserves

Share capital

16

13,848

13,848

Merger reserve

17

(5,913

)

(5,913

)

Translation reserve

18

(180

)

232

Retained earning

10,303

7,019

18,058

15,186

Non-controlling interests

16

16

Total shareholders’ equity

18,074

15,202

Total liabilities and equity

28,408

31,122

The accompanying notes are an integral part of these unaudited interim consolidated financial statements.

BrilliA Inc. and Its Subsidiaries

Unaudited Interim Condensed

Consolidated Statements of Cash Flows

For the Six Months Ended September 30, 2024 and 2025

Six months ended

September 30,

2024

(Unaudited)

Six months ended

September 30,

2025

(Unaudited)

USD’000

USD’000

CASH FLOWS FROM OPERATING ACTIVITIES:

Net profit for the financial period

1,439

219

Adjustments to reconcile net profit to net cash used in operating activities:

Depreciation of property, plant and equipment

23

24

Depreciation of right-of-use assets

229

205

Finance cost

68

49

Interest income

(59

)

(70

)

Net gain on impairment of financial assets

(74

)

(4

)

Unrealized gain on foreign currency exchange

(5

)

Changes in operating assets and liabilities:

Inventories

(2,875

)

(174

)

Trade and other receivables

657

(3,827

)

Trade and other payables

403

5,650

Income tax paid

(3

)

Net cash (used in)/from operating activities

(197

)

2,072

Investing activities

Interest income

59

70

Purchase of plant and equipment

(49

)

(61

)

Net cash from investing activities

10

9

Financing activities

Advances/(Repayment) from directors

3

(3

)

Repayments to shareholders

(5

)

(52

)

Dividends paid

(3,325

)

Payments of:

- Principal

(211

)

(190

)

- Interest

(68

)

(49

)

Net cash used in financing activities

(282

)

(3,619

)

Net decrease in cash and cash equivalents

(468

)

(1,538

)

Effects of exchange rate changes

(17

)

406

Cash and bank balances at beginning of the financial period

6,383

7,703

Cash and bank balances at end of the financial period

5,898

6,571