Adslot Ltd (ADS) AI Stock Analysis

• Market Cap: AU$5.32M
• Dividend Yield: N/A
• Average Volume (3M): N/A
• Price to Earnings (P/E): ―
• Beta (1Y): N/A
• Revenue Growth: -33.66%
• EPS Growth: 75.76%
• Country: AU
• Employees: 1
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Infrastructure
• EPS (TTM): 0.00
• Shares Outstanding: N/A
• 10 Day Avg. Volume: N/A
• 30 Day Avg. Volume: N/A
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 15 Underperform
• Price Target: ―

The overall score is primarily driven by severe financial challenges faced by Adslot Ltd. The company shows declining revenues, persistent losses, negative margins, high leverage, and negative cash flow, which collectively highlight significant operational inefficiencies and liquidity issues. There are no available technical, valuation, or earnings call data to offset these concerns.

Adslot Ltd Business Overview & Revenue Model

Company Description

Adslot Limited, together with its subsidiaries, engages in the trading technology and services businesses in Australia, Europe, the Middle East, Africa, the Americas, and internationally. It offers Adslot Media, a media trading technology platform that enables advertisers and publishers to trade premium display advertising directly; and Symphony, a workflow automation technology for media buying agencies. The company also provides Webfirm, a digital marketing service that includes website design, hosting, search engine optimization, search engine marketing, and social media marketing services. It serves agencies and brands, publishers, and integrated tech partners. The company was formerly known as Webfirm Group Limited and changed its name to Adslot Limited in December 2012. Adslot Limited was incorporated in 1975 and is headquartered in Melbourne, Australia.

How the Company Makes Money

Adslot Ltd makes money through its ad trading platform by charging transaction fees on the advertising buys executed through its system. The company generates revenue by facilitating the connection between advertisers and publishers, allowing for more efficient and transparent ad transactions. Key revenue streams include the fees collected from each transaction processed through their platform and potential subscription fees for advanced features or premium services. Significant partnerships with major advertising agencies, publishers, and technology providers enhance the company's market reach and contribute to its earnings.

Adslot Ltd Financial Statement Overview

Summary

Adslot Ltd exhibits significant financial challenges across all verticals. Declining revenues, persistent losses, and negative margins indicate operational inefficiencies. The balance sheet reveals high leverage with negative equity, highlighting potential solvency issues. Cash flow metrics underscore liquidity challenges, with consistent negative cash flow. Overall, the financial health of the company is precarious, demanding strategic restructuring to avert potential risks.

Income Statement

Adslot Ltd has been experiencing declining revenues and persistent losses over the years. The gross profit margin is negative, indicating that cost of goods sold exceeds revenue, which is a critical issue. The net profit margin is also negative, showing consistent net losses. The EBIT and EBITDA margins are deeply negative, reflecting challenges in covering operational costs. Revenue has declined from 2020 to 2024, indicating poor growth trajectory.

Balance Sheet

The company's balance sheet shows a negative stockholders' equity, highlighting potential insolvency risks. The debt-to-equity ratio is not calculable due to negative equity, but liabilities exceed assets, indicating high leverage. The equity ratio is negative, showing a weak financial position and raising concerns over the company's financial stability. Cash reserves are low relative to liabilities, further stressing liquidity concerns.

Cash Flow

Adslot Ltd is generating negative free cash flow, indicating more cash is being spent than received, with deteriorating cash flow trends. The operating cash flow is consistently negative, suggesting issues with generating cash from operations. Free cash flow to net income ratio reflects poor cash conversion, exacerbating concerns over cash sustainability.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	8.44M	8.92M	10.51M	8.22M	9.79M
Gross Profit	194.87K	-3.29M	-296.00K	-4.37M	-2.82M
EBITDA	-7.75M	-8.36M	-719.00K	-2.68M	-12.68M
Net Income	-10.70M	-12.08M	-4.65M	-6.28M	-16.62M
Balance Sheet
Total Assets	7.09M	15.01M	25.20M	25.59M	26.26M
Cash, Cash Equivalents and Short-Term Investments	3.15M	2.87M	5.95M	6.83M	6.16M
Total Debt	608.20K	1.67M	2.16M	1.93M	2.01M
Total Liabilities	8.66M	9.06M	8.57M	8.32M	6.98M
Stockholders Equity	-1.56M	5.95M	16.64M	17.28M	19.28M
Cash Flow
Free Cash Flow	-3.37M	-4.80M	-5.80M	-3.41M	-7.95M
Operating Cash Flow	-658.89K	-1.60M	-2.29M	-293.19K	-3.38M
Investing Cash Flow	-2.00M	-2.28M	-1.62M	-1.78M	-4.29M
Financing Cash Flow	2.95M	519.45K	2.83M	2.97M	5.56M

Adslot Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DWG	48 Neutral	AU$7.67M	-0.38	―	―	8.64%	-19.82%
AMX	45 Neutral	AU$19.00M	-2.89	―	―	-3.43%	-40.65%
ADS	15 Underperform	AU$5.32M	―	-1475.60%	―	-33.66%	75.76%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

Adslot Ltd Corporate Events

Adslot Ltd Announces Cessation of Incentive Options

Adslot Ltd announced the cessation of 12,750,000 incentive options due to the lapse of conditional rights, as the conditions for these securities were not met or became incapable of being satisfied. This development may impact the company’s capital structure and could have implications for stakeholders, as it reflects on the company’s operational adjustments and strategic focus in managing its securities.

Adslot Ltd Expands Digital Advertising Platform Amidst Financial Improvements

Adslot Ltd reported significant developments in its StoreFront business unit, with the activation of digital advertising sales platforms for major clients like Rakuten Viber and Goldvertise. The company is expanding its market reach with new launches in several countries and partnerships with prominent media organizations. Financially, Adslot recorded a Total Transaction Value of $148.9 million for FY25, with a Monetised Transaction Value of $26.5 million. Despite a decrease in cash receipts from customers in the June quarter, the company achieved substantial cost savings, leading to improved cash flow management.

Adslot Ltd Announces Change in Director’s Shareholding

Adslot Ltd has announced a change in the director’s interest notice, specifically concerning Andrew Dyer. The change involves an off-market transfer of 50,000,000 ordinary shares, resulting in a reallocation of shares held indirectly through various entities. This adjustment in shareholding does not appear to have been conducted during a closed trading period, indicating compliance with trading regulations.

Adslot Ltd. Announces Proposed Issue of Securities

Adslot Ltd. has announced a proposed issue of up to 5,000,000 unlisted options as part of a new placement or other type of issue. This move, set to take place on June 4, 2025, is aimed at enhancing the company’s capital structure and potentially increasing its market presence. The announcement signifies a strategic step for Adslot Ltd. to bolster its financial standing and operational capabilities, which could have implications for its stakeholders and market positioning.

Adslot Ltd Announces Change of Address

Adslot Ltd has announced a change in its registered office and principal place of business, moving its registered office to Carlton, VIC, and its principal business address to Chifley Tower, Sydney. This change reflects the company’s ongoing operational adjustments and may influence its logistical and strategic positioning within the industry.