VENTECH-OPAL

Sales Executive Summary | April 2026 - June 2026

Executive Summary

Over the three months to June 2026, Ventech-Opal recorded $1,131,637 in total sales across 789 transactions, generating $398,669 gross profit (35.2% margin). May 2026 was the peak month at $588,131. June 2026 ($73,125) data is to 2 June.

Australian Context: ANZ forecasts ~2.25% GDP growth for 2026. The RBA is expected to hike 25bp at its March meeting (CBA: another 25bp in May, cash rate to ~4.85%). Building activity up 6.5% YoY; $240B infrastructure pipeline supports demand. AUD soft at ~0.63 USD, lifting European import costs. US tariffs of 10% on Australian goods add downstream pressure.
Key Metrics
3-Month Revenue
$1.13M
789 transactions
Gross Profit
$399K
35.2% margin
Peak Month
May
$588,131
Margin Trend
-6.6pp
37.3% to 30.7%
Apr May Jun* 3-Mth Total
Revenue $470,381 $588,131 $73,125 $1,131,637
COGS $295,086 $387,189 $50,693 $732,969
Gross Profit $175,294 $200,942 $22,432 $398,669
Margin 37.3% 34.2% 30.7% 35.2%
Transactions 331 424 34 789

* Jun data to 2 June 2026

Key Observations

1. Revenue Peaked in May; Jun Tracking to ~$1,097K

May hit $588,131 (424 txns). At June's current daily rate (~$36,563/day), the month would close at ~$1,097K. April to May showed 25% growth, driven by strong order flow from Bord Products and Big River Group.

2. Margin Compressing: 37.3% (Apr) to 30.7% (Jun), Down 6.6pp

Gross margin declined every month. Contributing factors: softer AUD (~0.63) pushing up European veneer import costs; elevated shipping; Chinese timber imports at half the price of domestic product; and competitive pricing pressure on LAM products.

3. Customer Concentration: Top 3 = 64% of May Revenue

Bord Products alone = $168,306 (29%). Loss of any major account would materially impact revenue. Top 3 customers (Bord, Big River, Consolidated) accounted for $374,805 in May.

4. Sales Team: Christopher Johnstone = 84% of All Revenue

3-month total: $946,752. Mark Trafford contributed $166,319. Single-person dependency at this level is a material key-person and business continuity risk.

5. Product Shift: LAM = 36% of Revenue

LAM (laminate) totalled $403,409 over 3 months: $152,330 (Apr), $227,695 (May), $23,384 (Jun). Shift to cost-effective finishes reflects tighter Australian project budgets.

Top Customers (3-Month View)
Customer Apr May Jun* Total
Bord Products $145,413 $168,306 $43,364 $357,083
Consolidated Panels & Veneers $81,071 $96,489 $12,256 $189,816
Big River Group / Timberwood $49,524 $110,010 - $159,534
Silk Veneer Panels $49,657 - - $49,657
Bled Pty Ltd / Veneer Panels - $43,006 - $49,900
Architek Interiors $43,510 - $4,166 $47,676
Cabinet Timbers $12,507 $25,371 $6,196 $44,074
Botica & Co Pressing $11,577 $22,776 - $34,353
Product Mix & Sales Team
Top Products (3 Months)
Code Sales %
LAM $403,409 36%
VBO $116,213 10%
LSP $87,051 8%
PBI $81,910 7%
IB4 $56,331 5%
LEU $47,112 4%
Sales Team
Salesperson Apr May Jun* Total
Chris Johnstone $383,902 $500,087 $62,763 $946,752
Mark Trafford $81,168 $74,790 $10,362 $166,319
Cash Sales $5,311 $10,909 - $16,220
Terry Franklin - $2,346 - $2,346
Forward Projections: Global & National Outlook

1. RBA Rate Rises Will Slow Residential Construction

RBA expected to hike 25bp in March 2026 (CBA: another 25bp in May, cash rate to ~4.85%). Higher rates will dampen residential demand, partially offset by $240B public infrastructure pipeline. Expect softer residential fit-out orders from Q4 FY26.

2. AUD Weakness Will Continue to Compress Import Margins

AUD forecast at 0.63-0.68 USD through 2026 (MUFG, IG). Against EUR: ~0.57-0.59 (NAB). European veneer imports will remain expensive. Consider forward currency contracts on EUR purchases and build a 2-3% price adjustment into Q4 quoting.

3. US Tariffs and Global Trade Disruption

10% US tariff on Australian manufactured goods (25% on metals). Treasury projects 0.2% GDP hit. Downstream customers in joinery/furniture may face reduced export demand. Chinese timber imports at half the local price intensify lower-end competition.

4. Commercial Fit-Out Demand Solid, but Budgets Tightening

Building work up 6.5% YoY (ABS). However, 40% of industry leaders expect weaker conditions (Ai Group), with costs the top concern. The LAM shift is likely to persist. Ensure supply chain capacity for laminates while maintaining premium veneer capability.

Strategic Priorities
  1. Margin Recovery: SKU-level review; EUR hedging; 2-3% Q4 price adjustment to recover 6.6pp erosion.
  2. Customer Diversification: Reduce top-3 concentration from 64% to below 50%; target mid-tier VIC/QLD joiners.
  3. Sales Resilience: Add third sales resource; knowledge transfer from Christopher Johnstone (84% share).
  4. Product Strategy: Secure LAM supply chain; maintain premium veneer for infrastructure projects.