Australian Dairy Nutritionals Group (AHF) AI Stock Analysis

• Market Cap: AU$20.81M
• Dividend Yield: N/A
• Average Volume (3M): 465.88K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.30
• Revenue Growth: 13.92%
• EPS Growth: 36.28%
• Country: AU
• Employees: N/A
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Packaged Foods
• EPS (TTM): >-0.01
• Shares Outstanding: 743,321,840
• 10 Day Avg. Volume: 385,458
• 30 Day Avg. Volume: 465,878
• PEG Ratio: 0.17
• Price to Book (P/B): 1.33
• Price to Sales (P/S): 4.44
• P/FCF Ratio: -9.19
• 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
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 40 Underperform
• Price Target: AU$0.02 ▼(-40.00% Downside)

The score is primarily held down by weak financial performance: despite strong revenue growth, the company remains unprofitable with negative margins and cash flow challenges. Technicals also weigh on the score given a clear downtrend and negative MACD, with oversold signals providing only a modest offset. Valuation is difficult to support because the negative P/E reflects ongoing losses and there is no dividend yield data.

Positive Factors

Revenue Growth

Consistent revenue expansion (34.74% latest-year) signals durable demand and growing market penetration for AHF’s dairy nutrition products. Sustained top-line growth supports scaling production, improves unit economics over time, and provides a base to fund R&D and distribution investments.

Low Leverage

Extremely low leverage gives AHF financial flexibility to invest and withstand industry cyclicality without heavy interest burdens. A conservative capital structure reduces solvency risk, preserves strategic optionality for capex or M&A, and supports resilience through downturns.

Diversified Sales & Export Reach

Multiple product lines and established export and distributor relationships diversify revenue sources and lower single-market concentration risk. This structural diversification supports steadier demand capture, pricing leverage, and broader growth avenues across domestic and international markets.

Negative Factors

Negative Profitability Margins

Persistently negative margins point to fundamental challenges with pricing, input costs, or operational efficiency. Ongoing unprofitability erodes retained earnings, limits reinvestment capacity, and must be remedied for the business to achieve durable free cash flow and sustainable shareholder returns.

Weak Cash Generation

Negative free cash flow growth and operating cash below reported income indicate poor cash conversion and mounting cash strain. This constrains funding for capex, working capital, and growth initiatives, increasing reliance on external financing or equity issuance over the medium term.

Negative Return on Equity

A negative ROE shows the firm is not delivering returns on shareholder capital, which undermines investor confidence and raises the cost of capital over time. This can limit access to favorable financing, drive dilution risks, and constrain long-term investments needed to reach profitability.

Australian Dairy Nutritionals Group Business Overview & Revenue Model

Company Description

Australian Dairy Nutritionals Group operates as an integrated producer of dairy products in Australia. The company operates through Dairy Farms and Dairy Processing segments. The Dairy Farms segment owns and operates dairy farms and dairy livestock for the production and sale of fresh raw milk for conversion to milk and milk products. The Dairy Processing segment processes and sells dairy and nutritional products to domestic and international markets. It sells its products through supermarkets, home delivery, cross border e-commerce through distribution partners, and foodservice and niche retailers. The company offers its products under the Jonesy's, Ecklin South, Camperdown Dairy, The Collective, and Future brands. Australian Dairy Nutritionals Group was incorporated in 1992 and is based in Camperdown, Australia.

How the Company Makes Money

AHF generates revenue primarily through the sale of its dairy nutritional products, including infant formula and nutritional powders, which are sold both domestically and internationally. The company has established significant partnerships with distributors and retailers, enhancing its market reach and driving sales. Key revenue streams include direct sales to consumers, bulk sales to retailers, and exports to overseas markets. Additionally, AHF may benefit from economies of scale in production and supply chain efficiencies, which contribute to its profitability. The company's commitment to quality and innovation also allows it to command premium pricing for its products, further bolstering its revenue.

Australian Dairy Nutritionals Group Financial Statement Overview

Summary

Australian Dairy Nutritionals Group is experiencing revenue growth, but profitability remains a significant challenge with negative margins across the board. The balance sheet shows low leverage, which is a strength, but the company struggles with generating returns on equity. Cash flow issues persist, with negative growth and coverage ratios, indicating potential liquidity concerns.

Income Statement

The company has shown a positive revenue growth rate of 34.74% in the latest year, indicating potential recovery. However, the gross profit margin and net profit margin remain negative, reflecting ongoing challenges in profitability. The EBIT and EBITDA margins are also negative, suggesting operational inefficiencies.

Balance Sheet

The debt-to-equity ratio is low at 0.002, indicating minimal leverage, which is a positive aspect. However, the return on equity is negative, showing that the company is not generating returns for shareholders. The equity ratio is relatively stable, suggesting a solid capital structure.

Cash Flow

The company has a negative free cash flow growth rate, indicating declining cash generation capabilities. The operating cash flow to net income ratio is negative, highlighting cash flow challenges. However, the free cash flow to net income ratio is slightly above 1, suggesting some ability to cover net losses with free cash flow.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	7.17M	7.17M	6.18M	5.86M	5.80M	21.30M
Gross Profit	402.79K	-1.42M	-2.15M	-288.23K	-4.36M	-3.27M
EBITDA	-5.14M	-4.30M	-6.26M	-5.95M	-1.29M	-5.34M
Net Income	-5.21M	-5.21M	-7.36M	-9.16M	-4.15M	-6.40M
Balance Sheet
Total Assets	25.09M	25.09M	30.35M	36.24M	44.60M	43.11M
Cash, Cash Equivalents and Short-Term Investments	2.69M	2.69M	6.13M	2.01M	2.43M	6.23M
Total Debt	48.45K	48.45K	2.25M	1.04M	1.09M	6.49M
Total Liabilities	1.44M	1.44M	3.62M	2.72M	4.65M	9.12M
Stockholders Equity	23.85M	23.85M	26.87M	33.59M	16.05M	33.99M
Cash Flow
Free Cash Flow	-3.46M	-3.46M	-4.72M	-7.91M	-6.90M	-7.11M
Operating Cash Flow	-3.28M	-3.28M	-4.44M	-7.05M	-3.80M	-2.03M
Investing Cash Flow	-47.59K	-47.59K	6.73M	6.18M	3.10M	1.07M
Financing Cash Flow	-94.51K	-94.51K	1.80M	449.98K	-3.07M	796.49K

Australian Dairy Nutritionals Group Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.04
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:AHF, the sentiment is Negative. The current price of 0.04 is above the 20-day moving average (MA) of 0.03, above the 50-day MA of 0.04, and below the 200-day MA of 0.04, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 26.01 is Positive, neither overbought nor oversold. The STOCH value of 27.85 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:AHF.

Australian Dairy Nutritionals Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CLV	74 Outperform	AU$133.60M	19.05	10.07%	2.19%	38.25%	361.54%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
BUB	60 Neutral	AU$120.71M	21.77	13.97%	―	28.66%	―
BGA	51 Neutral	AU$1.81B	-215.77	-0.68%	1.95%	0.49%	-127.84%
AHF	40 Underperform	AU$20.81M	-3.47	-20.54%	―	13.92%	36.28%
NOU	40 Underperform	AU$36.02M	-0.23	―	―	1.03%	-52.56%
NUC	38 Underperform	AU$21.00M	-5.17	-29.43%	―	102.21%	69.47%

Australian Dairy Nutritionals Group Corporate Events

Australian Dairy Nutritionals Group Announces Director’s Interest Change

Australian Dairy Nutritionals Group has announced a change in the director’s interest, specifically involving Peter Nathan, who has been issued 1,500,000 unlisted options under the company’s Incentive Plan. This change, approved by shareholders at the recent AGM, reflects the company’s strategy to align management interests with shareholder value, potentially impacting the company’s governance and operational focus.

Australian Dairy Nutritionals Issues Unquoted Equity Securities for Employee Incentives

Australian Dairy Nutritionals Limited announced the issuance of 1,500,000 unquoted equity securities in the form of options expiring on November 7, 2030, with an exercise price of $0.04. This issuance is part of an employee incentive scheme, which is not intended to be quoted on the ASX, and reflects the company’s efforts to incentivize and retain employees, potentially impacting its operational efficiency and market positioning.

Australian Dairy Nutritionals Faces Shareholder Pushback at AGM

At the 2025 Annual General Meeting of Australian Dairy Nutritionals Limited, a significant development was the second strike against the adoption of the Remuneration Report, with over 25% of votes cast against it. This outcome indicates potential shareholder dissatisfaction with executive compensation. However, the proposal for a Board Spill Meeting was not approved, meaning no immediate changes to the board are required. The meeting also saw the approval of several resolutions, including the re-election of a director and the issuance of options and performance rights, reflecting ongoing strategic initiatives to strengthen the company’s leadership and financial flexibility.

Australian Dairy Nutritionals Group Hosts 2025 Annual General Meeting

Australian Dairy Nutritionals Limited held its 2025 Annual General Meeting, where the CEO presented to shareholders. The meeting was an opportunity for the company to communicate its current operations and future outlook. This event underscores AHF’s commitment to transparency and engagement with its stakeholders, potentially impacting its market positioning and investor relations.

Australian Dairy Nutritionals Reports Strong Q1 FY26 Performance

Australian Dairy Nutritionals Group reported a consolidated revenue of $1.9 million for the first quarter of fiscal year 2026, with nutritional powder sales contributing $1.3 million. This marks a significant increase in revenue compared to the same period last year, driven by increased distribution of the Future brand in China and contract pack sales. The company also achieved a record production of 67 tonnes, reflecting a strong demand for its products. The Group is focused on expanding its distribution in China and anticipates continued sales and production momentum. Despite a net cash outflow from operations, the financial results are in line with expectations, supporting the company’s strategy to grow as a profitable infant formula export business.