Grant Thornton, the independent auditor of Cettire’s FY26 accounts, has flagged “material uncertainty” over the luxury platform’s future, citing key points in its annual report.
This came after Cettire reported a sales slip of 3 per cent, dropping from $742.1 million in FY25 to $718.4 million in FY26, alongside a deeper slip into the red at the bottom line. The platform reported a net loss of $8.47 million, down from a $2.6 million loss in FY25.
In its independent report, the accountancy firm highlighted Cettire’s net loss and also pointed out the platform’s current liabilities exceeded its current assets by $51.77 million.
“These events or conditions indicate that a material uncertainty exists that may cast significant doubt on the Group’s ability to continue as a going concern,” the auditor's report read.
Cettire also highlighted this in the annual report. In a notes section on the financial statements, Cettire reported that the net current asset deficiency and the net loss for FY26 “gives rise to a material uncertainty in relation to going concern that may cast significant doubt on the Group’s ability to continue as a going concern and to realise its assets and settle its liabilities in the ordinary course of business.”
However, the directors of Cettire have “considered that the going concern basis is appropriate” for the preparation of the FY26 annual report, citing several factors.
This includes Cettire generating a net operating cash inflow of $15.57 million in FY26, compared to an operating cash outflow of $28.2 million in FY25.
The company also cited a shrinking in net assets from $35.8 million to $27.6 million, that the company had $27.8 million in cash and equivalents as of June 30, 2026, and added that Cettire has a working capital cycle whereby customers pay upfront for purchases and the group utilises the credit terms provided by its suppliers.
Grant Thornton has taken all this into account, alongside one of Cettire’s director shareholders which came forward offering up to $13 million in financial support should the company need it, but concluded that its opinion regarding the material uncertainty and going concern remains the same.
All this comes as Cettire continues to report a variety of headwinds facing the global luxury market. In his letter to shareholders in the report, founder and CEO Dean Mintz said conditions in the United States, in particular, proved challenging as Cettire absorbed considerable impacts from increased tariffs and the removal of the de minimis duties exemption.
“The company continued to focus on penetrating its existing geographic footprint and expanding into new markets to further grow and diversify its revenue base,” Mintz said. “Localisation remained a key enabler of this strategy.
“During FY26 we entered into several new markets and will continue to expand our reach in FY27. In China, which remains a longer‑term strategic opportunity, we broadened our channel presence via a partnership with TMall Global, Alibaba Group’s dedicated cross‑border e‑commerce platform. Cettire’s launch on TMall Global remains on track for the first quarter of FY27.”
Mintz added that the success of Cettire’s localisation strategy is evident in the growth and diversity of its revenue base. Excluding the US, sales revenue increased 14 per cent year‑on‑year, with the founder reporting this was supported by a noticeable increase in the growth rate towards the end FY26.
“The US, which now represents 41 per cent of sales revenue (2025: 50 per cent), experienced softer demand throughout FY26 as the changes in trade policy, including the end of the de minimis duties exemption, were absorbed by the sector,” Mintz said.
“Notably, we observed a stabilisation in sales in the U.S. towards the end of FY26, which positions Cettire well for an improved growth profile in FY27.”
Mintz concluded, saying the business model, which includes a ramp-up in AI capability, is “well-placed” to navigate the challenges and opportunities in the current global luxury market.
“Cettire has an extremely lean cost structure, with low fixed costs,” he said. “We have a broad and deep supply chain of the most in‑demand luxury items. We have an established customer base with attractive repeat purchase behaviour. And, most importantly, we have an aligned team that is focused on execution.”
In a separate market update, Cettire also confirmed that it signed a non-binding term sheet with an unnamed "major Italian bank" to factor part of its Italian VAT receivable, which has been stuck in slow government refund processing.
Under the proposed deal, Cettire would sell €16.1 million of the receivable, the majority of the total, for at least €13.7 million (A$22.2 million) in cash. It could receive up to a further €1.4 million (A$2.3 million), depending on when the Italian authorities pay out the refund.
The transaction is subject to due diligence and final documentation, and Cettire says completion is not guaranteed.
Cettire also noted that it does not consider the identity of the bank to be information that a reasonable person would expect to have a material effect on the price or value of Cettire shares, "including because the term sheet is non-binding at this stage."