Flydoo Technology posts FY25/26 loss of HK$11.59 million as revenue drops 16.9% on travel demand setbacks

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Flydoo Technology Holding Limited (FLYDOO TECH-NEW, 08069) reported a consolidated net loss of HK$11.59 million for the year ended 31 March 2026, widening sharply from the HK$1.28 million loss recorded a year earlier.

Revenue from continuing operations declined 16.89% year-on-year to HK$310.72 million, primarily reflecting a 17.77% slide in package-tour sales to HK$301.74 million. Gross profit contracted 24.12% to HK$51.92 million, trimming the gross margin to 16.71% from 18.31% in FY24/25. Management cited weakened outbound travel sentiment—triggered by Japan-related safety rumours, shifting preferences towards Mainland China, and geopolitical uncertainties—as the key drag on performance.

Segment performance • Travel Related Products and Services revenue fell to HK$304.64 million (FY24/25: HK$371.12 million), delivering gross profit of HK$45.76 million. • Ancillary travel products generated HK$2.76 million, down 27.91%. • The Money Lending Business, launched during the year, contributed HK$0.40 million in interest income. • Other Business Ancillary income rose to HK$5.69 million (FY24/25: HK$2.61 million). • Retail Operations were discontinued on 17 March 2025; no revenue was recorded versus HK$17.45 million in the prior period.

Cost profile Total cost of sales decreased 15.27% to HK$258.81 million, yet selling and administrative expenses remained sizeable at HK$28.62 million and HK$34.43 million, respectively. Impairments and depreciation charges totalled HK$5.37 million. Share of loss from the 50%-owned joint venture shrank to HK$0.07 million versus HK$4.32 million a year earlier.

Balance-sheet highlights • Cash and cash equivalents: HK$61.27 million (31 March 2025: HK$71.50 million) • Net current assets: HK$38.18 million; current ratio: 1.6× • Net assets: HK$44.36 million (31 March 2025: HK$51.83 million) • Gearing (amounts due to non-controlling shareholders/total assets): 0.4% (31 March 2025: 1.9%)

Capital moves On 22 August 2025, Flydoo issued 136.12 million new shares at HK$0.0306 each, raising net proceeds of approximately HK$4.00 million, earmarked mainly for school-tour marketing. Post-year-end, shareholders approved a 20-for-1 share consolidation on 4 May 2026.

Dividend The board recommended no final dividend (FY24/25: nil).

Outlook Management will focus on strengthening travel-product diversification, expanding the nascent money-lending arm, and controlling costs to restore profitability amid evolving travel market conditions.

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