Kelfred Holdings Limited reported QQ1 2025 results with revenue of HKD 121.262 million, up 22.85% year-over-year, driven by stronger demand in its eyewear product lines. Gross profit reached HKD 15.606 million, delivering a gross margin of 12.87%, a meaningful improvement from prior periods, while EBITDA stood at HKD 2.581 million. Despite the positive topline and EBITDA contribution, the company posted a net loss of HKD 2.359 million and an operating loss of HKD 0.936 million, as selling, general, and administrative expenses remained elevated relative to gross profit. On the balance sheet, Kelfred maintains a healthy liquidity profile with HKD 29.586 million in cash and cash equivalents and a net cash position of HKD 20.505 million after accounting for debt, supporting ongoing investments and working capital needs. Operating cash flow was HKD 2.969 million and free cash flow HKD 2.534 million, underscoring cash-generative capacity even in a quarter of negative net income. The near-term trajectory will hinge on sustaining revenue growth while converting gross margin improvements into sustained profitability, aided by cost discipline and a favorable mix, against a backdrop of competitive dynamics in the eyewear market and potential FX and supply chain volatility.