My Food Bag posts profit drop despite ‘sales momentum’

Thursday, 20 November 2025

My Food Bag revenue rose to $85.4 million.

My Food Bag says it has been enjoying “sales momentum”, despite recording a lower profit.

The meal kit delivery company told shareholders on the NZX sharemarket that its after-tax profit had slipped to $2.9 million in the first half of its financial year, from $3m in the corresponding period last year

That was a result of making lower margins even while the company’s revenue had increased 3.8% to $85.4m in the six months to the end of September, compared to the same period last year.

And customer numbers had grown, to 61,300 “active” customers, up from 60,100.

The result was opposite to last year’s half year result, in which revenue and and customer numbers fell, but profit increased.

My Food Bag chairperson Tony Carter said the start of the company’s current year had been pleasing. It was building on sales momentum established in the 2025 financial year and was well-positioned to take a larger share of the online food market.

The company had also reduced debt, and would continue to do so.

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Carter said a key milestone for the company was the launch of a diabetes plan, developed in partnership with Diabetes New Zealand, for people suffering from the disease.

The company had also launched an online shop selling what it called “foodie” gifts, and same-day food deliveries.

My Food Bag chief executive Mark Winter said meal kits remained the core of the business, but the company was using the strength of its brand to expand into new categories, including ready made meals, care packages, and gifts through the My Food Bag Shop.

“While we expect market conditions to remain challenging through the second half of FY26, we anticipate full year profitability to be broadly in line with the prior year,” he said.

My Food Bag shares were unchanged after this morning’s announcement but have gained almost 9% over the year and are trading at 0.25c, roughly double what they were trading at 1.5 years ago.

The My Food Bag announcement comes just days after rival HelloFresh lodged financial statements with the Companies Office showing its profit had fallen from $2.4m in 2023 to $375,093 in 2024.

That was the result of HelloFresh’s revenue falling from $145.1m to $117.8m.

HelloFresh suffered a blow to its reputation in October when it was fined $845,000 for reactivating subscriptions without permission from customers during a deceptive cold-calling campaign February 2022 and July 2023.