- GLG Life Tech reported a mixed financial performance for 2024 with an 8% decrease in Q4 revenue, but a 41% increase in annual revenue.
- Net loss for 2024 increased to $16.6 million from $7.2 million in 2023, while SG&A expenses were reduced by $0.4 million.
- Key developments include the transfer of the Runde facility to Xiaogang and the company's delisting from TSX and listing on NEX.
GLG Life Tech Corporation (GLGLF, Financial), a global leader in natural sweeteners, announced its 2024 annual and fourth-quarter financial results, showcasing a mixed performance. While fourth-quarter revenues fell by 8% to $4.0 million from $4.4 million in the same period last year, the company's annual revenues rose by 41%, reaching $14.6 million compared to 2023.
The financial year 2024 saw GLG Life Tech grappling with significant challenges as net losses escalated to $16.6 million, a considerable increase from $7.2 million in 2023. Despite these losses, the company effectively reduced its Selling, General, and Administrative (SG&A) expenses to $1.4 million, representing a $0.4 million decrease from the previous year.
One of the pivotal corporate developments in 2024 was the strategic transfer of its Runde production facility to Xiaogang, as part of efforts to mitigate debt obligations. This move also included the company's delisting from the Toronto Stock Exchange (TSX) due to insufficient financial metrics but securing a listing on the NEX exchange as of September 4, 2024.
GLG Life Tech continues to face competitive price pressures in the stevia market and increased raw material costs. A cease trade order remains in effect due to delayed financial filings, presenting ongoing regulatory challenges. Despite this, the management remains optimistic, projecting that the company's revenues for 2024 will surpass those in 2023 significantly, with a continued focus on maintaining positive cash flows and EBITDA.
In additional efforts to streamline its operations, the company is awaiting shareholder approval to transfer its Runhai facility, which is expected to further enhance its balance sheet and reduce exposure to operational risks in China.
