Company: COOT
Filing Date: 2025-10-23
Form Type: 20-F
Source: 0001493152-25-019123
Chunk: 10

Company: Australian Oilseeds Holdings Ltd
Filing Date: 2025-10-23
Form: 20-F
Item: Item 3
Chunk 10
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 Ordinary Shares.

Risks
Related to the Company and our Business

We
are significantly dependent on the revenues from the sale of our products and, therefore, our results of operations could be negatively
impacted if we are unable to sell a sufficient number of products at satisfactory margins.

We
sell cold pressed vegetable oils and vegetable protein meals extracted from oil seeds. For fiscal years June 30, 2025 and 2024, we derived
approximately 74% and 73%, respectively, of our total revenue from the sale of cold pressed vegetable oils with the balance from the
sale of vegetable protein meals extracted from oil seeds. The Company processes and sells high quality protein meal for the agricultural
market (including the feedstock industry) and is leveraging this by-product to expand into the plant-based meats and proteins markets.
Presently, the Cootamundra facility is capable of crushing canola, safflower and sunflower seeds with a current processing capacity of
more than 70,000 metric tons per annum. Edible oils and protein meal serve as the largest outlet for oilseed derivative products. The
food industry demands healthy oils for cooking and dining. A key example being Canola Oilseed - in which Australia produces over
15-20% of the global Canola seed trade. Australian oilseed production, due to relative proximity and high-quality output, are well-placed
to supply the rapidly expanding consumer export markets of the Asia-Pacific as well as satisfy increased domestic demands.

   7  

Our
dependence on the market for oil seeds for pressing and extraction makes us particularly vulnerable to negative market changes that may
occur in these product lines. In particular, if demand for oil seeds such as olives, canola seeds and sunflower seeds increase or if
industry demand exceeds supply, the price of oil seeds will be driven upward and our product margins will be negatively impacted, which
would have an adverse effect on our business, results of operations and financial condition.

We
lack product and business diversification. Accordingly, our future revenues and earnings are more susceptible to fluctuations than a
more diversified company.

Our
current primary business activities focus on agriculturally derived products. Because our focus is limited in this way, any risk affecting
the agricultural industry could disproportionately affect our business. Our lack of product and business diversification could inhibit
the opportunities for growth of our business, revenues and profits.

We
are dependent on contracts with local and regional farmers for oilseeds and loss of these contracts could have