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Gale Pacific Limited (ASX:GAP)

ALERT: Price-sensitive ASX Announcement for GAP
Current share price for GAP : $0.082 -0.012 (-12.77%)+
Announcement
Release
28 Jan 2026 9:32AM
Price at Release
$0.094
Full Release
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Summary
Gale Pacific Limited has released its Quarterly Activity Report and Appendix 4C Cash Flow Report for the quarter ending December 31, 2025. During this period, the company demonstrated significant operational improvements and strategic progress, achieving an EBITDA of $4.4 million for Q2 FY26 and $5.7 million for H1 FY26. Despite a 9% decrease in year-on-year revenue due to challenging trading conditions in the US and a slow start to the Australian retail season, the company reported a positive operating cash flow of $15.3 million for the quarter and significantly improved its net cash position to $1.7 million. Key trends included enhanced retail margins in Australia and resilience in US retail margins, supported by a new sales team in Thailand and reduced operating overheads. The company is advancing in its strategic focus with digital strategy initiatives and diversification of its manufacturing footprint outside China. Looking ahead, Gale Pacific remains cautiously optimistic, focusing on productivity and efficiency improvements.
Key Points
  • Quarterly Activity Report and Appendix 4C Cash Flow Report released for Q2 FY26.
  • Achieved EBITDA of $4.4 million for Q2 and $5.7 million for H1 FY26.
  • Positive operating cash flow of $15.3 million in Q2, with improved net cash position of $1.7 million.
  • Revenue declined by 9% year-on-year due to tough US trading conditions and slow Australian retail season start.
  • Australian retail margins improved by 3.8%, US retail margins remained resilient.
  • Established new sales team in Thailand and reduced overheads by $3.8 million or 12%.
  • Progress in digital strategy and diversification of manufacturing footprint.
  • Focus on productivity, efficiency, and strategic execution going forward.
IMPORTANT NOTE: This information is autogenerated and has not been reviewed for accuracy or completeness. You should refer to the full announcement here for further information.