Preliminary Announcement of AFC Group Holdings Limited
02/06/2026 16:14 NZST, ANNREPP
Preliminary Announcement of AFC Group Holdings Limited
Unaudited Financial Results Summary
The consolidated financial statements have been prepared on a going-concern basis. Following a comprehensive evaluation of key factors, the Directors reaffirmed the assumption of going concern for the preparation of the consolidated financial statements. While recognising the uncertainties inherent in forecasting in the current environment, the Board of Directors maintains an optimistic outlook on the Group's ability to sustain ongoing operations.
For the year ended 31 March 2026, AFC Group reported an operating revenue of NZ$161,285. This represents a decrease from the prior financial year's operating revenue of NZ$637,304. This deterioration was primarily attributed to declining sales. As a result, the Company produced a net loss of NZ$818,092 for the year.
Despite the loss, the Group has secured critical financial stability. The Group holds significant unencumbered property assets, including three residential units at the Longview vineyard, providing access to low-rate debt financing if needed. Furthermore, the Group obtained deferred payment terms for related-party payables totalling $1,170,427.17, which follows a $500,000 unconditional forgiveness of a related-party loan, thereby improving short-term liquidity.
As at 31 March 2026, the unaudited net assets were NZ$206,390. Cash and cash equivalents stood at NZ$39,437. Fixed assets in the form of property, plant, and equipment totalled NZ$1,463,053.
Outlook & Strategic Initiatives
AFC Group is actively integrating into its major shareholder's broader business strategy to drive innovation and foster long-term value creation. The Group's major shareholder, NZ Silveray Group Limited (NZSG), is committed to providing ongoing financial support. NZSG provided $700,000 during the fiscal year ending 31 March 2026 and continued its backing with additional $100,000 contributions in both April and May 2026. Furthermore, the major shareholder has signed a letter of support confirming they will not call the loan before AFC is financially capable of repaying it.
To navigate current difficulties and achieve future revenue growth, the Group has developed a series of actions:
AFC Longview Limited (“AFCLV” and “Longview Estate”):
• AFC Longview budgets to sell White Diamond, Port, and OEM wines to China.
• Of those, White Diamond and Port wines are already under contract.
• To secure further production, AFC Longview is planting additional White Diamond vines.
• The company also plans to expand its product range of less expensive wines and is in the process of selecting wines with prospective customers.
AFC Biotechnology Manufacture Co Ltd:
• The company will enhance collaboration with distributors and extend its secondary distribution footprint to achieve this target.
AFC Group Holdings Limited:
• Management has been actively pursuing new opportunities during the 2027 financial year.
On behalf of the Directors of AFC, the Company extends its thanks to the shareholders for their continued support.
Annual Report and Annual Meeting
AFC expects to release our Annual Report before the end of June, and we plan to hold our Annual Meeting in early September 2026.
On behalf of the Board of Directors
Dr Howard Long
Interim CFO
02/06/2026
For Further Information
Please contact Dr Howard Long
howard.long@afcnz.com