BrilliA Inc. reported total revenue of $24.6 million for the six months ended September 30 2025, a 10.3% decline from $27.4 million in the same period a year earlier. The drop is largely driven by a 13.5% decline in North American export sales, a consequence of the U.S. tariff measures introduced in April 2025 that increased the cost of Indonesian‑origin goods and eroded buyer confidence. Growth in the Asia‑Pacific region partially offset the North American decline, but the overall mix shift contributed to the revenue contraction.
Operating cash flow turned positive at $2.1 million, a turnaround from the $0.2 million outflow reported a year earlier. The improvement stems from a 9.1% reduction in cost of goods sold, reflecting BrilliA’s focus on manufacturing efficiency and disciplined inventory management. Gross profit margin contracted to 14.3% from 15.4% year‑over‑year, indicating that the company’s pricing power has been eroded by the broader pricing environment and the decision not to absorb the full tariff burden.
Net income fell sharply to $41,000 from $1.1 million in the prior year, underscoring the impact of revenue and margin pressure. Cash and cash equivalents at September 30 were $6.6 million, down from $7.7 million after a $3.3 million dividend payment. The dividend, paid at $0.133 per Class A share, signals management’s confidence in the company’s cash‑generating ability despite the earnings decline.
BrilliA’s customer concentration remains a risk, with two customers accounting for 76.8% of total revenue and 68.6% of trade receivables in the six months ended September 30. The company’s strategy to protect margins by refusing orders that would require absorbing the full tariff cost has helped preserve profitability but has also limited revenue growth in its core export markets.
CEO Kendrew Hartanto said the company “operated in a challenging global trade environment during the first six months ended September 30. The introduction of new tariff measures affecting exports to the United States created uncertainty across the apparel supply chain.” He added that the dividend reflects the company’s “strong fundamentals and disciplined approach to growth.”
BrilliA is pursuing growth through the expansion of its DIANA lingerie brand and entry into Japan’s athleisure market in the second half of 2026 via a collaboration with Ai Sakura. These initiatives aim to diversify revenue sources and reduce dependence on the U.S. market, but the company remains exposed to tariff volatility and customer concentration risk.
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