Busy Bee has reported a dip in profitability for the first half of its financial year, as the catering and hospitality group contends with rising input costs and growing market competition.

For the six months ending 31st May 2025, the group posted a profit before tax of €630,000, representing a 6.7 per cent decrease compared to the same period last year.

Revenue fell by 1.6 per cent to €3.73 million, largely due to a “reorganisation of the group’s revenue streams” in response to intensifying competitive pressures across both its cafeteria and outside catering segments.

The company noted a 1.9 per cent increase in material costs, pushing the cost of sales up by 1.4 per cent as a percentage of revenue. This was only partly offset by a 0.4 per cent reduction in wages and a small 0.1 per cent drop in other sales-related costs.

Despite these pressures, Busy Bee said it utilises a “sensitive pricing strategy”, opting not to raise prices, unless it directly enhances the value offered to customers,

Administrative expenses increased marginally by 0.4 per cent, and earnings per share dropped by 11 per cent to €8.86, down from €9.98 a year earlier.

Despite the operational challenges, Busy Bee’s balance sheet remains stable. Total assets stood at €19.6 million as of 31st May 2025, unchanged from six months earlier.

Shareholders’ equity improved to €11 million, up from €10.5 million, while gearing improved to 35 per cent, down from 38 per cent the previous year – signalling a stronger capital position.

Looking ahead, the board and management reaffirmed their commitment to tackling rising input costs and sustaining long-term performance. The company said it would continue to focus on operational efficiency, particularly in material procurement, while also exploring new revenue opportunities to ensure future resilience and growth.