Overview of Lynch Group's FY23 performance and outlook for FY24

Lynch Group Holdings Limited (ASX:LGL) reported an 8% growth in Group Revenue for the financial year 2023, with improved second half trading performance in both Australia and China. The company faced challenges in the first half, including extended COVID lockdowns in China and higher freight costs, but experienced more stable and improving operating conditions in both countries across the second half.

Executive commentary on FY23 performance and outlook for FY24

Today, I will talk to you about our performance over financial year 2023, update you on progress on our current growth strategies, outline the Group's progress on sustainability, and provide a trading update and outlook for the current financial year.

Summary of Lynch Group's FY23 performance and outlook for FY24

Lynch Group reported an 8% growth in Group Revenue for FY23, with improved second half trading performance in both Australia and China. The company's sustainability initiative, FLOURISH, is integral to its operations, focusing on environmental, social, and governance initiatives. The trading update for FY24 indicates stable floral demand trends in Australia, while China's revenue is expected to decline around 10% due to weak consumer sentiment and spending. The Group's outlook for the first half of FY24 includes expected Group Revenue growth of 2-3% and Group EBITDA in the range of $15-16m, reflecting margin improvement initiatives and a moderation of international freight in Australia, and China margins adversely impacted by weaker domestic pricing.