JBDI Holdings Reports Financial Results for Fiscal Year Ended May 31, 2025

Rhea-AI Summary

JBDI (Nasdaq: JBDI) reported fiscal year ended May 31, 2025 results: revenue $8.45M (down 10.1% vs FY2024), net loss $2.7M (vs $1.0M), and gross profit $3.45M with a 39.7% gross margin (down 5.8 pts). Operating expenses rose 13.7% to $6.28M, driven by a $1.6M increase in legal and professional fees tied to the IPO closed August 26, 2025. Cash and equivalents were $2.73M at May 31, 2025 (up from $0.19M), supported by $5.7M net financing inflows. Reconditioned containers remained largest product at 63.1% of revenue, while Singapore accounted for 87.9% of sales.

The company reported $3.4M net cash used in operations and believes it has adequate liquidity for at least 12 months.

Positive

• Cash and equivalents rose to $2.73M at May 31, 2025
• IPO closed on August 26, 2025 providing $5.7M net financing inflow
• Reconditioned containers remained largest segment at 63.1% of revenue

Negative

• Total revenue declined 10.1% to $8.45M in FY 2025
• Net loss widened to $2.7M from $1.0M in FY 2024
• Gross margin fell 5.8 percentage points to 39.7%
• Operating expenses increased 13.7% to $6.28M, led by $1.6M higher IPO-related fees
• Net cash used in operating activities was $3.4M in FY 2025

News Market Reaction – JBDI

-12.30%

10 alerts

-12.30% News Effect

+7.4% Peak Tracked

-9.1% Trough Tracked

-$5M Valuation Impact

$36M Market Cap

0.6x Rel. Volume

On the day this news was published, JBDI declined 12.30%, reflecting a significant negative market reaction. Argus tracked a peak move of +7.4% during that session. Argus tracked a trough of -9.1% from its starting point during tracking. Our momentum scanner triggered 10 alerts that day, indicating notable trading interest and price volatility. This price movement removed approximately $5M from the company's valuation, bringing the market cap to $36M at that time.

Data tracked by StockTitan Argus on the day of publication.

SINGAPORE, Oct. 15, 2025 (GLOBE NEWSWIRE) -- JBDI Holdings Limited (“JBDI” or the “Company”) (Nasdaq: JBDI), a leading provider of environmentally friendly products and services specializing in the revitalization, reconditioning, and recycling of drums and related containers in Singapore and Southeast Asia, today announced its financial results for the fiscal year ended May 31, 2025 (“FY 2025”).

Financial Highlights

For FY 2025, JBDI reported total revenue of $8.4 million, representing a decrease of 10.1% compared to $9.4 million in the fiscal year ended May 31, 2024 ("FY 2024"). This decline was primarily driven by reduced demand in Singapore for reconditioned containers and related services, amid broader market pressures, including supply chain disruptions and inflationary cost challenges faced by customers in the chemical and oil and gas sectors.

The Company recorded a net loss of $2.7 million in FY 2025, compared to a net loss of $1.0 million in FY 2024. The increased loss reflects the revenue contraction, combined with higher administrative expenses, including elevated legal and professional fees associated with the company's initial public offering (IPO), which closed on August 26, 2025. Gross profit stood at $3.4 million, with a gross margin of 39.7%, down from $4.3 million and 45.5% in FY 2024, due to lower margins on reconditioned container sales and fluctuations in raw material costs.

As of May 31, 2025, JBDI held cash and cash equivalents of $2.7 million, an increase from $0.2 million at the end of FY 2024, supported by proceeds from the IPO and financing activities. Total assets were $10.2 million, with stockholders' equity at $7.8 million.

Key Financial Metrics (in thousands of U.S. dollars)	FY 2025		FY 2024		Change
Total Revenue	8,445		9,394		(10.1	)%
Gross Profit	3,445		4,294		(19.8	)%
Gross Margin (%)	39.7	%	45.5	%	(5.8) pts
Operating Expenses	6,276		5,520		13.7	%
Net Loss	(2,700	)	(1,000	)	(170.0	)%
Basic and Diluted Loss per Share	(0.15	)	(0.06	)	(150.0	)%
Cash and Cash Equivalents (end of period)	2,727		190		1,336.3	%

Revenue by Product and Service

Revenue in FY 2025 was diversified across core offerings, with sales of reconditioned containers remaining the largest contributor at 63.1% of total revenue. The following table provides a breakdown:

Revenue by Category (in thousands of U.S. dollars)	FY 2025	% of Total		FY 2024	% of Total		Change
Sales of Reconditioned Containers	5,326	63.1	%	6,311	67.2	%	(15.6	)%
Sales of New Containers	755	8.9	%	664	7.1	%	13.7	%
Reconditioning Services	1,073	12.7	%	1,136	12.1	%	(5.5	)%
Sales of Recycled Materials and Services	1,291	15.3	%	1,274	13.5	%	1.3	%
Total Revenue	8,445	100.0	%	9,394	100.0	%	(10.1	)%

The decrease in reconditioned container sales, which totaled $5.3 million, was linked to softer local demand in Singapore, where such sales accounted for 58.0% of regional revenue. New container sales grew modestly, reflecting targeted efforts to expand this segment, while recycled materials and services showed stability.

Geographic Revenue

Singapore continued to dominate as the primary market, contributing 87.9% of revenue in FY 2025. International operations in Indonesia and Malaysia/others represented 7.9% and 4.2%, respectively, down from prior-year levels due to regional economic headwinds.

Revenue by Geography (in thousands of U.S. dollars)	FY 2025	% of Total		FY 2024	% of Total		Change
Singapore	7,424	87.9	%	7,907	84.2	%	(6.1	)%
Indonesia	665	7.9	%	877	9.3	%	(24.2	)%
Malaysia and Other Countries	356	4.2	%	610	6.5	%	(41.6	)%
Total Revenue	8,445	100.0	%	9,394	100.0	%	(10.1	)%

Operating Expenses

Selling and distribution expenses remained stable at $0.1 million, or 1.7% of revenue, primarily covering freight and commissions. Administrative expenses rose to $6.1 million, or 72.6% of revenue, from $5.4 million in FY 2024, driven by a $1.6 million increase in legal and professional fees related to the IPO, partially offset by lower management fees. Staff costs were consistent at $2.7 million, while depreciation and allowances for expected credit losses added $0.3 million and $0.4 million, respectively.

Other income, net, improved to $0.2 million, supported by reversals of credit loss allowances and gains on asset disposals.

Balance Sheet and Liquidity

As of May 31, 2025, current assets totaled $4.8 million, including $1.6 million in net accounts receivable and $1.2 million in inventories. Current liabilities were $2.4 million, with accounts payable at $0.6 million. The Company maintained bank borrowings of $0.2 million, secured by personal and corporate guarantees, at a fixed 2.0% interest rate, maturing in December 2025.

Net cash used in operating activities was $3.4 million in FY 2025, reflecting the net loss and working capital changes, offset by IPO proceeds contributing to $5.7 million in net financing cash inflows. Investing activities used minimal cash for property, plant, and equipment additions.

JBDI believes it has adequate liquidity to meet operational needs for at least the next 12 months, supported by cash on hand and expected operational cash flows.

Management Commentary

Mr. Lim Chwee Poh, Executive Director and Chief Executive Officer, stated: "Fiscal year 2025 presented challenges from subdued demand and cost pressures in our core markets, particularly Singapore. Despite the revenue decline and resulting net loss, we achieved meaningful progress through our IPO, which strengthened our balance sheet and positioned us for strategic growth. Our focus remains on enhancing operational efficiency, diversifying procurement to mitigate cost volatility, and expanding recycled materials services to align with sustainability trends. We are optimistic about recovering demand in fiscal year 2026 as industrial sectors stabilize."

Outlook

Looking ahead, JBDI anticipates gradual revenue recovery driven by renewed customer demand and cost optimization initiatives. The Company plans to invest in supply chain resilience and explore expansion in Southeast Asia, while maintaining a commitment to environmental responsibility and shareholder value.

About JBDI Holdings Limited

JBDI Holdings Limited is a leading provider of environmentally friendly and efficient products and services, specializing in the revitalization, reconditioning, and recycling of drums and related containers in Singapore and across Southeast Asia. With nearly four decades of industry experience, JBDI Holdings has established a strong reputation for quality and reliability, offering a wide range of reconditioned steel and plastic drums, new containers, and ancillary services. Our mission is to help our customers achieve a zero environmental impact footprint while optimizing resource allocation and reducing costs. For more information, please visit http://jbdi.barrels.com.sg/

Safe Harbor Statement

This press release contains forward-looking statements that reflect our current expectations and views of future events. Known and unknown risks, uncertainties, and other factors, including those listed under “Risk Factors,” may cause our actual results, performance, or achievements to be materially different from those expressed or implied by the forward-looking statements. You can identify some of these forward-looking statements by words or phrases such as “may,” “will,” “expect,” “anticipate,” “aim,” “estimate,” “intend,” “plan,” “believe,” “is/are likely to,” “potential,” “continue” or other similar expressions. We have based these forward-looking statements largely on our current expectations and projections about future events that we believe may affect our financial condition, results of operations, business strategy, and financial needs. These forward-looking statements involve various risks and uncertainties. Except as required by law, we undertake no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events, or otherwise, after the date on which the statements are made or to reflect the occurrence of unanticipated events. We qualify all of our forward-looking statements with these cautionary statements.

Investor Relations Contact:

Matthew Abenante, IRC
President
Strategic Investor Relations, LLC
Tel: 347-947-2093
Email: matthew@strategic-ir.com

Company Contact:

Zhaorong Liang
Tel: +65 6861 4150
Email: Zhaorong.liang@eugroup.com.sg

FAQ

What were JBDI's total revenue and net loss for FY 2025 (fiscal year ended May 31, 2025)?

JBDI reported $8.45M in total revenue and a $2.7M net loss for FY 2025.

How did JBDI's gross margin change in FY 2025 versus FY 2024 (JBDI shares)?

Gross margin declined by 5.8 percentage points to 39.7% in FY 2025.

What drove JBDI's higher operating expenses in FY 2025 (JBDI NASDAQ:JBDI)?

Administrative expenses rose mainly due to a $1.6M increase in legal and professional fees related to the IPO.

How much cash did JBDI have at the end of FY 2025 and what funded it?

Cash and cash equivalents were $2.73M at May 31, 2025, supported by $5.7M net financing inflows from the IPO and other financing.

What percentage of JBDI's FY 2025 revenue came from Singapore and reconditioned containers?

Singapore accounted for 87.9% of revenue; reconditioned containers represented 63.1% of total revenue.

Did JBDI report positive operating cash flow in FY 2025?

No. JBDI reported $3.4M net cash used in operating activities in FY 2025.