Preliminary Announcement of AFC Group Holdings Limited

AFC GROUP HOLDINGS LIMITED
(Listed on the NZAX: AFC)
Level 15, Tower 2
205 Queen Street
Auckland
Ph: +64 (09) 300-6268

Preliminary Announcement of AFC Group Holdings Limited
Unaudited Financial Results Summary
AFC Group Holdings Limited ("AFC Group") is currently undergoing the audit
process for the financial year ending 31 March 2025. As part of this audit
process, the going concern assessment remains in progress, and the auditor
continues to evaluate key financial and operational factors that may impact its
ability to continue as a going concern. Management is actively addressing the
challenges associated with the concern.
AFC Group reported a revenue of NZ$741 thousand during the financial year,
which was 44% lower than the prior financial year ended 31 March 2024. The
downturn impacted all business segments, with overseas wine sales
experienced the sharpest drop at 62%. The Company produced a net loss of
NZ$185 thousand for this period due to lower revenue. This compares with a
net profit of $54 thousand for the prior comparable period. The majority of
expenses were salaries, sales commissions and depreciation. Consistent with
its dividend policy, AFC Group will not distribute dividends for this period.
As at the end of the financial year, the unaudited net assets were NZ$244
thousand, cash and cash equivalents were NZ$4 thousand, and fixed assets
totalled NZ$1,455 thousand. The market capitalisation was reported as
NZ$3.66 million.
Please refer to the attached Unaudited Annual Results Announcement for the
detailed results.

Outlook
AFC Group is well aware of the high level of uncertainty in the market. Despite
the challenges, the Group has developed a series of actions to navigate through
the current difficulties, achieve future revenue growth and create value for
shareholders:
• AFC Longview Limited (“AFCLV” and “Longview Estate”): AFCLV is
committed to enhancing both productivity and market presence. To
maximize reach and drive sales, AFCLV plans to expand its current
product line to make our wines more accessible to a wider audience. In
addition, the company endeavours to strengthen its overseas sales
channels in order to increase sales in China. To increase domestic
customer engagement, AFCLV has launched targeted email campaigns,
social media promotions and participated in wine exhibitions.
• AFC Biotechnology Manufacture Co Ltd: The company will
strengthen cooperation with its distributors and optimise agency
contracts, while expanding its secondary distribution network to boost
sales.
• AFC Group Holdings Limited: AFC is actively exploring new business
opportunities. Serving as a pivotal link for trade and investment between
New Zealand and China, the AFC has actively involved in international
arenas. We participated in the 7th China International Import Expo and
the "EFOODLINE" global e-commerce platform, promoting our products
and facilitating the entry of SMEs from both countries to access wider
international markets. We remain dedicated to our corporate social
responsibilities and improving communities' welfare in both countries.
On behalf of the Directors of AFC, the Company extends its thanks to the
shareholders for their support of the Company.

Annual Report and Annual Meeting
AFC expects to release our Annual Report before the end of June, and we plan
to hold our Annual Meeting in early September 2025.

On behalf of the Board of Directors


Jenny Liang
CFO
30/05/2025

For Further Information
Please contact Ms Jenny Liang
jenny.liang@afcnz.com
+64- 09- 300-6268

---

AFC GROUP HOLDINGS LIMITED
Results announcement



Results for announcement to the market
Name of issuer AFC Group Holdings Limited
Reporting Period 12 months to 31 March 2025
Previous Reporting Period 12 months to 31 March 2024
Currency NZD
Amount (000s) Percentage change
Revenue from continuing
operations
$741 (44%)
Total Revenue $741 (44%)
Net profit/(loss) from
continuing operations
($185) (443%)
Total net profit/(loss) ($185) (443%)
Interim/Final Dividend
Amount per Quoted Equity
Security
It is not proposed to pay any dividends for the year ended 31
March 2025
Imputed amount per Quoted
Equity Security
Not Applicable
Record Date Not Applicable
Dividend Payment Date Not Applicable
Current period Prior comparable period
Net tangible assets per
Quoted Equity Security
$0.00006681 $0.00011858
A brief explanation of any of
the figures above necessary
to enable the figures to be
understood
During the financial year, AFC Group Limited recorded an
unaudited revenue of $741 thousand, a 44% decrease from
the previous year. The decline in revenue resulted in a net
loss of $185 thousand. The net loss attributable to
shareholders was $164 thousand. Undiluted earnings per
share were -$0.00004464 for this period. In accordance with
its dividend policy, AFC Group distributes no dividends for
the financial year.
For more information, please refer to the preliminary
announcement.

Authority for this announcement
Name of person authorised
to make this announcement
Jenny Liang
Contact person for this
announcement
Jenny Liang, CFO
Contact phone number +64 9 300 6268
Contact email address Jenny.liang@afcnz.com
Date of release through MAP 30/05/2025

Unaudited financial statements for the year ended 31 March 2025 accompany this
announcement.

---

AFC GROUP HOLDINGS LIMITED
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 MARCH 2025
20252024
Notes NZ$ NZ$
Operating revenue2 741,088 1,324,402
Cost of sales3 (363,892)(355,084)
Gross profit377,196 969,318
Other income2 328,975 46,723
Expenses
Selling and distribution expenses3 (147,786)(226,255)
Administration expenses3 (617,632)(661,651)
Reversal/(impairment loss) on trade receivables9
14 (6)
(59,233) 128,130
Finance income2 2,409 1,083
Finance expense3 (127,982)(75,302)
Impairment on property, plant and equipment
13
- -
(125,573)(74,218)
Profit/(loss) before income tax(184,806) 53,911
Income tax expenses4 - -
Profit/(loss) for the year
(184,806) 53,911
Other comprehensive income-
Total comprehensive profit/(loss) for the year
(184,806) 53,911
Total comprehensive profit/(loss) attributable to:
Equity holders of the parent
(163,584)(7,485)
Non-controlling interest
7
(21,222) 61,396
(184,806) 53,911
Profit/(loss) per share:
Basic and diluted earning per share in NZ$5 (0.00004)(0.00000)
Operating profit/(loss)
Unaudited

AFC GROUP HOLDINGS LIMITED
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 MARCH 2025
Notes
Issued Share
Capital
Accumulated
Losses
Equity
Holders of
the Parent
Non-
Controlling
Interests
Total
NZ$ NZ$ NZ$ NZ$ NZ$
Balance as at 1 April 2023
28,679,503 (27,505,871) 1,173,632 (799,163) 374,469
Net loss for the financial year
7
-(7,485) (7,485) 61,396 53,911
Other comprehensive income - - - - -
Total comprehensive loss-(7,485) (7,485) 61,396 53,911
Balance as at 31 March 202428,679,503 (27,513,356) 1,166,147 (737,767) 428,380
Net loss for the financial year
7
-(163,584) (163,584) (21,222) (184,806)
Other comprehensive income - - - - -
Total comprehensive loss-(163,584) (163,584) (21,222) (184,806)
Balance as at 31 March 202528,679,503 (27,676,940) 1,002,563 (758,989) 243,574
Unaudited

AFC GROUP HOLDINGS LIMITED
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
AS AT 31 MARCH 2025
20252024
Notes
NZ$ NZ$
SHAREHOLDERS EQUITY
Issued share capital6
28,679,503 28,679,503
Accumulated losses
(27,676,940)(27,513,356)
Total Equity attributable to shareholders of the company
1,002,563 1,166,147
Non-controlling Interest7
(758,989)(737,767)
Total shareholders funds
243,574 428,380
Represented by:
CURRENT ASSETS
Cash and cash equivalents8
3,760 26,181
Trade, other and related party receivables9
108,294 14,446
Current Investments10
20,223 -
Inventories12
303,905 452,556
Prepayments and other current assets
11
79,408 82,849
Total current assets
515,590 576,032
NON-CURRENT ASSETS
Property, plant and equipment
13
1,455,273 1,382,719
Right-of-use assets
14
158,701 44,049
Intangible assets
16
258 408
Total non-current assets
1,614,232 1,427,176
Total assets
2,129,822 2,003,208
CURRENT LIABILITIES
Trade, other and related party payables 17
1,659,609 1,457,804
Lease liabilities14
44,936 45,698
Borrowings
18
56,447 37,447
Total current liabilities
1,760,992 1,540,949
NON-CURRENT LIABILITIES
Borrowings
18
10,000 29,000
Lease liabilities
14
115,256 4,879
Total non-current liabilities
125,256 33,879
Total liabilities
1,886,248 1,574,828
Net assets
243,574 428,380
Unaudited

AFC GROUP HOLDINGS LIMITED
CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 MARCH 2025
20252024
Notes
NZ$ NZ$
Cash flows from operating activities
Cash was received from:
Receipts from customers
62,341 65,960
Receipts from related parties
447,398 710,772
Interest received
2,409 1,083
Other receipts
22,335 11,748
Cash was applied to:
Payments to suppliers and employees
(730,530)(805,386)
Payments to related parties
(70,891)(64,777)
Interest paid
(5,397)(9,006)
Lease interest
14
(3,363)(7,643)
Net cash outflow from operating activities19
(275,697)(97,249)
Cash flows from investing activities
Cash was received from:
Proceeds from disposal of property, plant and equipment
- -
Cash was applied to:
Purchase of property, plant and equipment13
(3,174)(3,549)
Term Deposit
(20,223)
Net cash inflow/(outflow) from investing activities
(23,397)(3,549)
Cash flows from financing activities
Cash was received from:
Proceeds from borrowings18
- -
Received from related parties
355,133 378,581
Cash was applied to:
Payments for lease liabilities principal
(45,698)(39,990)
Repayments to related parties
(24,074)(196,841)
Repayment to borrowings-(16,962)
Net cash inflow from financing activities
285,361 124,788
(13,733) 23,990
Foreign currency translation adjustment
(8,688)(2,772)
Cash and cash equivalents at the beginning of the year 26,181 4,963
Cash and cash equivalents at the end of the year
8
3,760 26,181
Net increase/(decrease) in cash and cash equivalents
Unaudited