RLF AgTech Ltd (ASX: $RLF) Market Guidance Update

RLF AgTech Ltd (ASX: $RLF) has revised its FY24 revenue expectations, now anticipating approximately $9M compared to the previous guidance of $15M-$16M. The company has also implemented management changes and initiated corporate cost reduction strategies. Furthermore, RLF Carbon business strategy is under review, and an imminent Share Purchase Plan (SPP) is set to raise up to $1.1M. The integration of LiquaForce acquisition is underway, with plans to introduce RLF products to Queensland in Q1 FY25.

Executive Commentary on Market Guidance Update and Corporate Activities

The Company has faced challenges in meeting its forecasts, particularly in China and South-East Asia markets. The revised revenue forecast reflects the impact of market conditions and delays in orders recognition. The management changes aim to enhance transparency, improve performance, and reduce corporate overhead costs. The review of the carbon business strategy is prompted by disappointing results and potential impairment of capitalised expenditure. The Company is committed to keeping the market informed of the outcomes of the strategic review and any subsequent impact.

Summary of Market Guidance Update and Corporate Activities

RLF AgTech Ltd (ASX: $RLF) has adjusted its FY24 revenue expectations downwards, citing challenges in China and South-East Asia markets. The company is focused on integrating the LiquaForce acquisition and plans to introduce RLF products to Queensland in the coming fiscal year. Management changes have been implemented to drive transparency, performance improvement, and cost reduction. The review of the carbon business strategy is underway, with potential impairment of capitalised expenditure. RLF remains optimistic about its ability to promote carbon generation in soil and is committed to keeping the market informed of the strategic review outcomes and any subsequent impact.