KH Foods has reported a decline in profits of 86.1% for the first half of the financial year, ended 31 January, despite an increase in revenue from continuing operations of 0.3% to AUD$52.64m (US$37.409m).

The company reported a net loss before tax of $22.6m for the half. Excluding non-trading items and the impact of the first time adoption of the Australian equivalent of the International Financial Reporting Standards (AIFRS), the group reported a trading loss of $13.9m. This compares to an AIFRS bakery division trading loss before tax of $11.1m for the half-year.

No dividends were declared or paid during the half.

Following the announcement, KH Foods stock fell 7.41% to $1.250 per share.