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Austco Healthcare Limited (AU:AHC)
ASX:AHC
Australian Market
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Austco Healthcare Limited (AHC) AI Stock Analysis

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AU:AHC

Austco Healthcare Limited

(Sydney:AHC)

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Neutral 67 (OpenAI - 4o)
Rating:67Neutral
Price Target:
AU$0.50
▲(25.00% Upside)
Austco Healthcare Limited shows strong financial performance with robust revenue growth and a solid balance sheet, contributing positively to the overall score. The technical analysis indicates a strong upward trend, though caution is advised due to overbought signals. The valuation suggests potential overvaluation, which slightly dampens the overall score. The absence of earnings call data and corporate events does not impact the score.
Positive Factors
Revenue Growth
The substantial revenue growth of 37% highlights Austco Healthcare's expanding market presence and successful strategic initiatives, indicating strong business momentum.
Strategic Acquisitions
The acquisition of G&S Technologies strengthens Austco's product portfolio and market reach, supporting long-term growth and competitive positioning in the healthcare sector.
Cash Flow Generation
Strong cash flow generation enhances Austco Healthcare's ability to fund operations and strategic investments, ensuring financial stability and growth potential.
Negative Factors
Earnings Decline
The decline in earnings per share suggests potential challenges in profitability, which could impact investor confidence and future financial performance.
Substantial Shareholder Reduction
The reduction in a substantial shareholder's stake may signal a shift in investor sentiment and could affect shareholder dynamics and influence within the company.
Limited Leverage Opportunities
While low leverage reduces financial risk, it may also limit Austco Healthcare's ability to finance large-scale expansions or acquisitions, potentially constraining growth.

Austco Healthcare Limited (AHC) vs. iShares MSCI Australia ETF (EWA)

Austco Healthcare Limited Business Overview & Revenue Model

Company DescriptionAustco Healthcare Limited (AHC) is a global leader in the design, development, and provision of communication and clinical workflow solutions for healthcare facilities. The company operates primarily in the healthcare technology sector, offering a range of products and services that enhance patient safety and improve clinical efficiency. AHC's core offerings include nurse call systems, patient monitoring solutions, and integrated communication platforms that facilitate real-time information exchange between healthcare professionals and patients.
How the Company Makes MoneyAustco Healthcare Limited generates revenue through the sale of its advanced healthcare communication systems and software solutions, which are typically sold to hospitals and healthcare institutions. The company's revenue model is primarily based on direct sales of hardware and software, as well as ongoing service and maintenance contracts that ensure the continued functionality and support of their systems. Key revenue streams include the initial sales of nurse call systems and related equipment, recurring revenue from software licenses, and service agreements for system maintenance and upgrades. Additionally, AHC may engage in partnerships with healthcare providers and technology companies to expand its market reach and enhance its product offerings, which can lead to increased sales and revenue growth.

Austco Healthcare Limited Financial Statement Overview

Summary
Austco Healthcare Limited shows strong financial health with significant revenue and profit growth, robust profitability margins, and a solid balance sheet. The low leverage and strong cash flow generation support its operational and strategic initiatives, positioning it well for sustained growth.
Income Statement
75
Positive
Austco Healthcare Limited has demonstrated strong revenue growth with a 38.5% increase from 2023 to 2024. The gross profit margin improved significantly, reaching 52.7% in 2024, indicating strong cost management. Net profit margin also increased to 12.2%, reflecting enhanced profitability. EBIT and EBITDA margins were healthy at 9.9% and 13.9% respectively, highlighting operational efficiency. Overall, the income statement reflects robust growth and profitability.
Balance Sheet
80
Positive
The company's balance sheet shows a solid equity base with a stable debt-to-equity ratio of 0.04, indicating low leverage and financial risk. The return on equity improved to 15.9%, showcasing effective use of equity to generate profits. The equity ratio stands at 64.6%, suggesting a strong capital structure. However, the relatively low total debt might limit leverage opportunities for further growth.
Cash Flow
70
Positive
Austco Healthcare's cash flow statement indicates substantial growth in free cash flow, rising from negative in 2023 to positive $7.45 million in 2024, reflecting improved cash generation. The operating cash flow to net income ratio of 1.60 supports strong cash generation relative to net income. The free cash flow to net income ratio is positive, further indicating ample liquidity. Overall, the cash flow position is robust, supporting operational and investment activities effectively.
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue72.22M81.41M58.15M41.98M35.88M31.25M
Gross Profit37.67M42.37M30.67M6.68M18.85M16.71M
EBITDA10.64M11.10M8.11M3.60M3.52M3.13M
Net Income8.84M5.93M7.08M2.26M2.33M3.42M
Balance Sheet
Total Assets74.28M91.07M68.70M37.85M34.03M27.18M
Cash, Cash Equivalents and Short-Term Investments14.91M14.48M13.56M4.67M7.63M7.77M
Total Debt2.24M3.88M1.78M524.00K979.00K1.15M
Total Liabilities25.17M39.34M24.33M12.85M10.94M7.88M
Stockholders Equity49.11M51.73M44.38M25.00M23.09M19.30M
Cash Flow
Free Cash Flow10.14M10.66M7.45M-1.25M315.00K1.91M
Operating Cash Flow11.72M13.42M11.35M320.00K1.94M3.21M
Investing Cash Flow-14.16M-12.32M-11.06M-1.57M-1.63M-1.30M
Financing Cash Flow15.13M-402.00K8.84M-1.58M-312.00K-474.00K

Austco Healthcare Limited Technical Analysis

Technical Analysis Sentiment
Positive
Last Price0.40
Price Trends
50DMA
0.37
Positive
100DMA
0.35
Positive
200DMA
0.32
Positive
Market Momentum
MACD
0.01
Negative
RSI
58.99
Neutral
STOCH
64.29
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:AHC, the sentiment is Positive. The current price of 0.4 is above the 20-day moving average (MA) of 0.39, above the 50-day MA of 0.37, and above the 200-day MA of 0.32, indicating a bullish trend. The MACD of 0.01 indicates Negative momentum. The RSI at 58.99 is Neutral, neither overbought nor oversold. The STOCH value of 64.29 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:AHC.

Austco Healthcare Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (51)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
67
Neutral
AU$151.77M24.8512.35%39.98%-30.04%
54
Neutral
AU$131.18M-4.28%7.38%82.39%
53
Neutral
AU$897.90M-44.49%55.91%22.60%
51
Neutral
$7.86B-0.30-43.30%2.27%22.53%-2.21%
42
Neutral
AU$81.13M-31.98%34.20%-23.90%
40
Underperform
AU$89.08M
40
Underperform
AU$110.28M-47.98%700.00%26.88%
* Healthcare Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:AHC
Austco Healthcare Limited
0.42
0.18
75.00%
AU:CYC
Cyclopharm Limited
0.74
-0.85
-53.46%
AU:SHG
Singular Health Group Ltd
0.28
0.20
250.00%
AU:TRJ
Trajan Group Holdings Ltd
0.86
-0.34
-28.33%
AU:4DX
4DMedical Ltd
1.72
1.20
230.77%
AU:ALA
Arovella Therapeutics Limited
0.09
-0.10
-52.63%

Austco Healthcare Limited Corporate Events

Austco Healthcare Issues New Securities Under Employee Scheme
Aug 4, 2025

Austco Healthcare Limited has announced the issuance of 106,207 fully paid ordinary securities under an employee incentive scheme. This move is part of the company’s strategy to motivate and retain its workforce, potentially impacting its operational efficiency and market competitiveness positively.

The most recent analyst rating on (AU:AHC) stock is a Buy with a A$0.45 price target. To see the full list of analyst forecasts on Austco Healthcare Limited stock, see the AU:AHC Stock Forecast page.

Austco Healthcare Expands Employee Incentive Scheme with New Securities Issuance
Jul 31, 2025

Austco Healthcare Limited has announced the issuance of 1,085,038 ordinary fully paid securities to be quoted on the ASX as part of an employee incentive scheme. This move is expected to strengthen the company’s operational capabilities and enhance its market positioning by aligning employee interests with corporate growth objectives.

The most recent analyst rating on (AU:AHC) stock is a Buy with a A$0.50 price target. To see the full list of analyst forecasts on Austco Healthcare Limited stock, see the AU:AHC Stock Forecast page.

Austco Healthcare Reports Strong FY25 Growth Driven by Strategic Acquisitions
Jul 23, 2025

Austco Healthcare Limited announced a significant financial performance for the year ending June 30, 2025, with a revenue increase of over 37% and EBITDA growth exceeding 54%. This growth was driven by both organic operations and strategic acquisitions, including the successful integration of Amentco Enterprise Group Pty Ltd and G&S Technologies Limited. The company funded these acquisitions through operating cash flows, maintaining a strong cash position. The strong performance of Amentco led to a higher-than-expected earn-out payment, impacting statutory net profit but not EBITDA. Austco’s CEO highlighted the transformative nature of FY25, emphasizing the company’s robust contracted revenue and strategic execution, positioning it confidently for FY26.

The most recent analyst rating on (AU:AHC) stock is a Buy with a A$0.45 price target. To see the full list of analyst forecasts on Austco Healthcare Limited stock, see the AU:AHC Stock Forecast page.

Austco Healthcare Announces Quotation of New Securities on ASX
Jul 16, 2025

Austco Healthcare Limited has announced the quotation of 247,363 ordinary fully paid securities on the ASX, issued under an employee incentive scheme. This move is part of the company’s strategy to enhance its market presence and incentivize its workforce, potentially impacting its operational dynamics and stakeholder engagement positively.

The most recent analyst rating on (AU:AHC) stock is a Buy with a A$0.45 price target. To see the full list of analyst forecasts on Austco Healthcare Limited stock, see the AU:AHC Stock Forecast page.

Austco Healthcare Substantial Shareholder Reduces Stake
Jul 8, 2025

Austco Healthcare Limited has announced a change in the interests of a substantial shareholder, as reported by Australian Ethical Investment Limited. The voting power of the substantial holder has decreased from 15.59% to 14.06%, indicating a reduction in their stake in the company. This change could have implications for Austco Healthcare’s shareholder dynamics and influence within the company.

The most recent analyst rating on (AU:AHC) stock is a Buy with a A$0.45 price target. To see the full list of analyst forecasts on Austco Healthcare Limited stock, see the AU:AHC Stock Forecast page.

Austco Healthcare Expands with Acquisition of G&S Technologies
May 30, 2025

Austco Healthcare Limited has completed the acquisition of New Zealand-based G&S Technologies, a company renowned for its expertise in Nurse Call systems, RTLS, CCTV, and other integrated security and communication systems, particularly in the healthcare and aged care sectors. This strategic acquisition is intended to bolster Austco’s direct sales capabilities, accelerate growth, and expand its range of solutions to better serve the healthcare markets. The acquisition was funded through existing cash reserves and includes provisions for earnout payments based on future performance, reflecting Austco’s commitment to enhancing its market position and delivering value to stakeholders.

The most recent analyst rating on (AU:AHC) stock is a Buy with a A$0.45 price target. To see the full list of analyst forecasts on Austco Healthcare Limited stock, see the AU:AHC Stock Forecast page.

Austco Healthcare Wins $2.1M Contract for Toronto Hospital Project
May 13, 2025

Austco Healthcare Limited has secured a AUD $2.1 million contract to implement its advanced nurse call platform, Tacera, at the new patient and surgical tower of Toronto Western Hospital, part of the University Health Network. This project, part of a $1 billion investment by Ontario, is expected to enhance healthcare delivery with real-time clinical communication and integration with hospital systems, supporting Austco’s North American growth strategy and reinforcing its position as a leader in innovative healthcare solutions.

The most recent analyst rating on (AU:AHC) stock is a Buy with a A$0.45 price target. To see the full list of analyst forecasts on Austco Healthcare Limited stock, see the AU:AHC Stock Forecast page.

Austco Healthcare Renews Major US Supplier Agreement, Expands Global Presence
May 9, 2025

Austco Healthcare Limited has renewed its preferred supplier agreement with a major US healthcare provider, continuing to supply and support its Tacera IP Nurse Call systems across approximately 180 healthcare facilities in over 30 US states. This renewal builds on a previous five-year agreement that generated over A$49 million in revenue and reinforces Austco’s position as a leader in digital nurse call and patient management solutions. The company is also shifting production away from China to mitigate tariff challenges, a move expected to be completed in the next few months.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Oct 14, 2025