Alara Resources (AUQ) AI Stock Analysis

• Market Cap: €25.13M
• Dividend Yield: N/A
• Average Volume (3M): 536.37K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.39
• Revenue Growth: N/A
• EPS Growth: -200.00%
• Country: AU
• Employees: 7
• Sector: Basic Materials
• Sector Strength: 63
• Industry: Industrial Materials
• EPS (TTM): >-0.01
• Shares Outstanding: 718,087,500
• 10 Day Avg. Volume: 225,323
• 30 Day Avg. Volume: 536,370
• PEG Ratio: -0.25
• Price to Book (P/B): 0.85
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -0.37
• 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: 51 Neutral
• Price Target: AU$0.00 ▼(-100.00%Downside)

The overall stock score reflects significant financial and valuation challenges, with profitability and high leverage being major concerns. Although short-term technical indicators are positive, potential overbought conditions could lead to near-term volatility. The absence of earnings call data and corporate events results in a lack of additional positive catalysts.

Alara Resources Business Overview & Revenue Model

Company Description

Alara Resources Limited (AUQ) is an Australian-based minerals exploration and development company. It is primarily focused on the exploration and development of mineral resources in the Middle East, with a particular emphasis on copper and gold projects. Alara Resources is engaged in the advancement of its flagship Al Hadeetha Copper-Gold Project in Oman, which aims to establish a significant mining operation in the region.

How the Company Makes Money

Alara Resources Limited generates revenue primarily through the exploration and development of its mineral resource projects, with a focus on copper and gold. The company's primary revenue stream comes from the sale of extracted minerals to global markets. As Alara advances its mining projects towards production, it aims to secure off-take agreements and partnerships with other mining companies and local governments to facilitate the commercial sale of its resources. The development of these projects involves securing necessary permits, conducting feasibility studies, and establishing the required infrastructure to extract and process minerals efficiently. Once in production, the company looks to benefit from the sale of copper and gold based on prevailing market prices, thus driving its financial performance.

Alara Resources Financial Statement Overview

Summary

Alara Resources Limited is experiencing revenue growth but faces profitability challenges with a deeply negative net profit margin and high leverage. Cash flow management issues and reliance on debt financing further indicate financial instability.

Income Statement

The company shows a fluctuating revenue trend with a recent significant increase in total revenue. However, net income remains negative, suggesting ongoing profitability challenges. Gross profit margin improved to 40.18% in the latest period, but the net profit margin is deeply negative at -106.06%, indicating high operational costs. EBIT and EBITDA margins are also negative, reflecting difficulties in covering operational expenses.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio of 5.20, indicating significant leverage and potential risk in financial stability. The equity ratio is low at 10.88%, suggesting limited equity financing. Return on equity is negative, reflecting ongoing losses. The company's asset base has grown, but the increase in liabilities outweighs equity growth.

Cash Flow

Cash flow analysis shows negative free cash flow with no significant improvement, highlighting cash management issues. Operating cash flow to net income ratio is not meaningful due to negative values. The company is heavily reliant on financing activities to support cash flow needs, which may not be sustainable long-term.

Breakdown	TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	24.48M	5.46M	25.30K	11.17K	11.78K	642.85K
Gross Profit	15.27M	2.20M	-738.53K	-10.71K	-320.00	633.28K
EBITDA	6.03M	-2.18M	-1.93M	-1.57M	-1.60M	-34.78K
Net Income	-9.01M	-5.79M	-1.91M	-1.32M	-1.62M	273.99K
Balance Sheet
Total Assets	187.46M	171.95M	117.66M	44.99M	23.32M	23.83M
Cash, Cash Equivalents and Short-Term Investments	9.81M	4.69M	4.46M	3.49M	5.27M	7.68M
Total Debt	103.44M	97.17M	66.83M	18.15M	712.10K	684.41K
Total Liabilities	172.82M	151.35M	88.58M	22.10M	1.81M	982.72K
Stockholders Equity	16.46M	18.70M	23.68M	23.32M	21.67M	22.96M
Cash Flow
Free Cash Flow	-9.72M	-31.28M	-53.76M	-19.35M	-3.79M	-5.31M
Operating Cash Flow	-4.58M	-12.00M	-1.55M	-1.81M	-1.65M	-2.12M
Investing Cash Flow	-5.77M	-19.09M	-45.33M	-17.59M	-3.17M	2.27M
Financing Cash Flow	14.74M	31.79M	48.04M	17.36M	1.89M	-188.66K

Alara Resources Technical Analysis

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

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:AUQ, the sentiment is Positive. The current price of 0.04 is above the 20-day moving average (MA) of 0.03, above the 50-day MA of 0.03, and above the 200-day MA of 0.03, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 72.45 is Negative, neither overbought nor oversold. The STOCH value of 77.78 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:AUQ.

Alara Resources Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AUQ	51 Neutral	€25.13M	―	-26.98%	―	―	-200.00%
CST	44 Neutral	AU$17.12M	―	-3.70%	―	―	-92.59%
Sector *	44 Neutral	C$953.01M	-6.70	-13.31%	2.79%	17.55%	-32.28%
CBE	39 Underperform	AU$19.95M	―	-3.74%	―	―	67.62%
ACP	37 Underperform	AU$18.22M	―	-37.04%	―	―	-23.08%
CMD	31 Underperform	AU$14.23M	―	-186.04%	―	―	-47.06%

Alara Resources Corporate Events

Alara Resources Reports Promising Copper Exploration Results in Oman

Alara Resources Limited has provided an exploration update for its Block 8 project in Oman, highlighting significant copper findings at the Al Maider and Al Mansur prospects. The exploration, conducted in partnership with Power Metal Resources, has reached key milestones, including defining new drilling targets and submitting a technical report for license renewal. The ongoing exploration efforts underscore the potential for substantial copper mineralization in the area, with Alara aiming to increase its stake in the project.

Alara Resources Advances Wash-hi Majaza Project with Sustainability Initiatives

Alara Resources has announced significant progress in the commissioning of the Wash-hi Majaza Copper-Gold Project in Oman, where it holds a 51% interest. The installation of two new tailings filter presses is nearing completion, with a planned integration shutdown scheduled for early July to enhance operational efficiency. Additionally, the construction of a 5,000 MT concentrate storage facility is on track, and efforts to connect the site to grid power are underway, aligning with the company’s sustainability goals by reducing reliance on diesel generators and lowering emissions. These developments are expected to improve logistics, reduce costs, and enhance Alara’s commitment to responsible operations, ultimately unlocking long-term value for stakeholders.

Alara Resources Dispatches 19th Copper Shipment from Oman

Alara Resources Limited has dispatched its 19th shipment of copper concentrate from the Al Wash-hi – Majaza copper-gold mine in Oman, operated by its joint venture company Al Hadeetha Resources LLC. The shipment, which departed Sohar Port on June 15, 2025, included 1200.5 wet metric tons of copper-gold concentrate, containing approximately 223.5 metric tons of copper and 1.7 kilograms of gold. This milestone highlights Alara’s ongoing production capabilities and strengthens its position in the base and precious metals market.

Alara Resources Announces Proposed Issue of 85 Million Securities

Alara Resources Limited announced a proposed issue of 85,000,000 fully paid ordinary securities, with the issue date set for July 15, 2025. This move is part of a placement or other type of issue, potentially impacting the company’s capital structure and market positioning as it seeks to raise funds or expand its operations.

Alara Resources Announces Share Issuance to Raise Capital

Alara Resources Limited has announced a general meeting to discuss the issuance of placement shares. The company plans to issue 60,000,000 shares to ATI and 25,000,000 shares to Mr. Vikas Jain, a director, both at an issue price of A$0.04 per share. This move is aimed at raising capital and potentially strengthening the company’s financial position, which could have significant implications for its operational capabilities and stakeholder interests.

Alara Resources Secures A$3.4 Million Through Private Placement

Alara Resources Limited has entered into subscription agreements for a private placement to raise A$3.4 million through the issuance of 85,000,000 shares at A$0.04 each to Al Tasnim Infrastructure LLC and Director Vikas Jain. This move is aimed at repaying a portion of the company’s debt under its finance facility with Trafigura Pte Ltd and covering interest payments and taxes. The placement is subject to shareholder approval, and if approved, will increase the voting power of ATI and Vikas Jain in the company. The funds will also support the company’s financial commitments and projects in Oman.

Alara Resources Dispatches 18th Copper Shipment from Oman

Alara Resources Limited announced the dispatch of its 18th shipment of copper concentrate from the Al Wash-hi Majaza copper-gold mine in Oman. The shipment, which includes 1279 WMT of copper-gold concentrate with 216.4 MT of copper and 2.4 kg of gold, highlights the company’s ongoing production capabilities and its strategic focus on expanding its operations in the region. This development underscores Alara’s commitment to enhancing shareholder value through sustainable and profitable growth.

Alara Resources Dispatches 17th Copper Concentrate Shipment from Oman

Alara Resources Limited has dispatched its 17th shipment of copper concentrate from the Al Wash-hi – Majaza copper-gold mine in Oman, marking a significant milestone in its operations. The shipment, which includes 1277 WMT of copper-gold concentrate with 223.6 MT of copper and 2.96 kg of gold, underscores the company’s ongoing production capabilities and its commitment to maintaining a steady supply chain, potentially strengthening its market position and benefiting stakeholders.

Alara Resources Enhances Copper-Gold Project Efficiency and Reports Increased Production Costs

Alara Resources Limited has announced an update on its Al Wash-hi Majaza Copper-Gold Project in Oman, highlighting the installation of new Tailings Filter Presses (TFPs) which are expected to enhance tailings processing efficiency and increase copper concentrate production to 90-92% of the plant’s capacity. This improvement is anticipated to boost production to 3200-3400 wet metric tons per month, with a future goal of reaching full capacity. Additionally, the company reported a significant rise in production-related payments due to the resumption of mining operations and the purchase of essential consumables and spare parts, reflecting a stabilization of operations post-inventory buildup.

Alara Resources Dispatches 16th Copper-Gold Shipment from Oman

Alara Resources Limited has successfully dispatched its 16th shipment of copper-gold concentrate from the Al Wash-hi – Majaza mine in Oman, operated by its joint venture company Al Hadeetha Resources LLC. The shipment, which departed from Sohar Port on April 26, 2025, consisted of 1395 wet metric tonnes of concentrate containing 237.9 metric tonnes of copper and 2.6 kilograms of gold. This milestone underscores Alara’s ongoing operational success and strengthens its position in the base and precious metals industry, potentially enhancing shareholder value and market presence.

Alara Resources Unveils Promising Survey Results for Block 8 in Oman

Alara Resources Limited has announced the results of a gravimetric geophysical survey conducted on its Block 8 exploration concession in Oman. The survey, part of a joint venture with Power Metal Resources, aims to identify potential mineral deposits, enhancing Alara’s exploration capabilities and potentially increasing its stake in the project. This development could strengthen Alara’s position in the metals exploration industry and offer new opportunities for stakeholders.

Alara Resources Dispatches 15th Copper-Gold Shipment from Oman

Alara Resources Limited has successfully dispatched its 15th shipment of copper-gold concentrate from the Al Wash-hi – Majaza mine in Oman, operated by its joint venture company Al Hadeetha Resources LLC. This shipment, comprising 1362 wet metric tonnes of concentrate, includes approximately 233 metric tonnes of copper and 3.8 kilograms of gold. The successful dispatch underscores Alara’s operational capabilities and strengthens its position in the base and precious metals market, potentially enhancing shareholder value and reinforcing its strategic focus on sustainable growth.

Alara Resources Dispatches 14th Copper-Gold Shipment from Oman

Alara Resources Limited has dispatched its 14th shipment of copper-gold concentrate from the Al Wash-hi – Majaza mine in Oman, operated by its joint venture company Al Hadeetha Resources LLC. The shipment, consisting of 1159.7 wet metric tonnes of concentrate, includes approximately 193 metric tonnes of copper and 3.3 kg of gold, marking continued production success and reinforcing Alara’s position in the base and precious metals industry.