Great Harvest (03683) released audited results for the year ended 31 March 2026, highlighting a sharp revenue contraction but a reduced bottom-line loss.
• Revenue declined 72.9% year-on-year to US$3.81 million, mainly reflecting the disposal of two vessels and the absence of sub-leasing income.
• Cost of services fell 77.4% to US$3.42 million, allowing a turnaround to a gross profit of US$0.39 million versus a US$1.10 million gross loss in FY2025.
• Operating loss narrowed to US$0.49 million (FY2025: US$6.39 million). EBITDA shifted from a US$7.90 million positive figure last year to a US$0.40 million deficit.
• Loss attributable to shareholders improved to US$6.05 million from US$10.38 million; basic and diluted loss per share decreased to US0.63 cents from US1.09 cents.
Balance Sheet and Liquidity
• Total assets stood at US$94.90 million (FY2025: US$92.74 million), supported by investment properties valued at US$76.27 million. • Net current liabilities expanded to US$66.50 million, chiefly due to reclassification of US$60.23 million Top Build Convertible Bonds to current liabilities. • Cash and cash equivalents were US$1.39 million, against current liabilities of US$68.62 million. • Gearing ratio (borrowings and convertible bonds/total assets) rose to 63.8% (FY2025: 61.5%).
Convertible Bonds and Going-Concern
The company remains in default on the US$60.23 million Top Build Convertible Bonds. Under a Second Supplemental Settlement Agreement (21 Jan 2025), the outstanding principal, accrued interest and liquidated damages must be settled by 31 Dec 2026. US$0.90 million was repaid during FY2026; US$1.60 million of instalments were overdue at year-end but the bondholder agreed to extend repayment of these amounts to 31 Dec 2026.
Management is pursuing: 1) renegotiation or restructuring of the bonds, 2) shareholder funding of up to US$30 million (commitment valid until Sep 2027), 3) capital-market and bank financing, and 4) operational cost controls and optimisation of the remaining 74,973-dwt vessel (94% charter-out rate in FY2026).
Auditor’s Disclaimer
Rongcheng (Hong Kong) CPA Limited issued a disclaimer of opinion, citing material uncertainties over the Group’s ability to continue as a going concern given significant net current liabilities, large near-term bond repayments and limited cash. The auditor was unable to obtain sufficient evidence supporting the feasibility of management’s financing and restructuring plans.
Dividend
No final dividend was recommended for FY2026.
Post-Balance-Sheet Events
Management reported no material subsequent events up to the approval date (25 June 2026).