Locality Planning Energy (ASX: $LPE) reports positive cash flow for FY24 June quarter

Locality Planning Energy Holdings Limited (ASX: $LPE) has reported positive cash flow for the FY24 June Quarter and for the full FY24. The company funded all capital growth works in FY24 through working capital and will continue this into FY25. The Board maintains its guidance for FY24 net profit of $1.95m to $2m, subject to completion of the audit. Additionally, the Board expects profitability for FY25 to significantly exceed the levels achieved in FY24 and anticipates commencing its share buyback in Q1 FY25. The new CEO, Scott Taylor, has commenced with LPE, and the Board is optimistic about the company's prospects under his guidance as an experienced executive.

Executive Commentary

The Board of LPE has consistently advised LPE shareholders to reject the unsolicited takeover offer from River Capital Pty Ltd, as they believe the revised offer price significantly undervalues LPE. The Board also maintains its unanimous view that LPE's medium to long term prospects significantly exceed the revised offer price of 10.5 cents per LPE share. LPE's people remain engaged and focused, and the company continues to work with management to identify and review new revenue opportunities and pursue cost efficiencies. The Board is confident about the long-term future of LPE under the leadership of the new CEO, Scott Taylor.

Summary

Locality Planning Energy Holdings Limited (ASX: $LPE) has reported positive cash flow for the FY24 June Quarter and the full FY24, with a maintained guidance for FY24 net profit of $1.95m to $2m. The Board anticipates profitability for FY25 to significantly exceed the levels achieved in FY24 and expects to commence its share buyback in Q1 FY25. The company's new CEO, Scott Taylor, has commenced, and the Board is optimistic about LPE's prospects under his guidance. LPE continues to advise shareholders to reject the unsolicited takeover offer from River Capital Pty Ltd, as they believe it undervalues the company. The Board will share its revised strategy for the future of LPE in detail with the release of its Annual Report, prior to 30 August 2024, which will be the company's roadmap for its future. LPE looks forward to delivering ongoing positive momentum with the expectation that FY25 will show a significant improvement to FY24.