Avada Group Limited (AVD) AI Stock Analysis

• Market Cap: N/A
• Dividend Yield: N/A
• Average Volume (3M): 43.28K
• Price to Earnings (P/E): 23.9
• Beta (1Y): -0.03
• Revenue Growth: -0.07%
• EPS Growth: -506.67%
• Country: AU
• Employees: 1,900
• Sector: Industrials
• Sector Strength: 89
• Industry: Industrial - Infrastructure Operations
• EPS (TTM): -0.12
• Shares Outstanding: 84,935,030
• 10 Day Avg. Volume: 7,980
• 30 Day Avg. Volume: 43,281
• PEG Ratio: <0.01
• Price to Book (P/B): 0.25
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 14.24
• 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: Hold
• Number of Analyst Covering: 0

• Rating: 57 Neutral
• Price Target: AU$0.00 ▼(-100.00%Downside)

Avada Group Limited's stock score reflects a mixed financial performance with strong revenue growth but moderate profitability and operational efficiency. The technical indicators suggest bearish momentum, and the valuation is weak due to negative earnings. Improving profit margins and operational efficiency could enhance the stock's attractiveness.

Avada Group Limited Business Overview & Revenue Model

Company Description

Avada Group Limited (AVD) is a company specializing in providing traffic management services and integrated solutions in the infrastructure sector. The company operates primarily in Australia, focusing on delivering essential services and support to ensure safety and efficiency in road construction, maintenance, and public events. Avada Group Limited offers a range of services, including traffic control, planning, and equipment rental, catering to both public and private sector clients.

How the Company Makes Money

Avada Group Limited generates revenue primarily through contracts for providing traffic management services. The company's key revenue streams include fees for traffic control services, equipment rentals, and consultancy in traffic planning and management. Avada Group Limited collaborates with government agencies, construction companies, and event organizers, benefiting from long-term contracts and recurring service agreements. The company's earnings are bolstered by its ability to deliver comprehensive, reliable, and compliant traffic management solutions, which are crucial for infrastructure projects and public safety.

Avada Group Limited Financial Statement Overview

Summary

Avada Group Limited demonstrates strong revenue growth and effective cash flow management, although profitability and operational efficiency have room for improvement. The company's balanced leverage position and stable capital structure are positives, but attention to profit margins and debt levels is necessary for enhanced financial stability.

Income Statement

Avada Group Limited has shown robust revenue growth of 15.56% from 2023 to 2024, indicating strong business expansion. The Gross Profit Margin stands at 8.02%, and the Net Profit Margin is 0.74%, reflecting moderate profitability levels. However, the EBIT Margin of 4.84% and the EBITDA Margin of 7.54% suggest operational efficiency has room for improvement.

Balance Sheet

The company's Debt-to-Equity Ratio is 0.88, indicating a balanced leverage position. The Return on Equity (ROE) is 2.77%, which suggests limited profitability from shareholder equity. The Equity Ratio of 41.42% reflects a stable capital structure, but there is potential risk from a relatively high debt load.

Cash Flow

The Operating Cash Flow to Net Income Ratio is 4.44, indicating strong cash generation relative to net income. The Free Cash Flow has decreased slightly by 11.41%, but the Free Cash Flow to Net Income Ratio of 2.00 demonstrates effective cash flow management.

Breakdown	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	204.54M	177.00M	72.93M	0.00	107.48M
Gross Profit	16.39M	156.51M	65.02M	-173.00K	13.35M
EBITDA	15.41M	7.04M	-8.94M	0.00	11.67M
Net Income	1.51M	-5.63M	-12.54M	-415.00K	5.27M
Balance Sheet
Total Assets	131.47M	130.19M	89.81M	97.66M	53.90M
Cash, Cash Equivalents and Short-Term Investments	8.50M	10.83M	2.75M	-2.77M	2.86M
Total Debt	47.83M	46.66M	15.18M	2.77M	10.89M
Total Liabilities	77.00M	83.73M	37.73M	38.46M	40.08M
Stockholders Equity	54.47M	46.46M	52.09M	59.20M	13.81M
Cash Flow
Free Cash Flow	3.03M	3.42M	-2.59M	-169.00K	39.17M
Operating Cash Flow	6.71M	4.96M	-950.00K	-169.00K	41.58M
Investing Cash Flow	-13.74M	-26.78M	-35.01M	0.00	-2.52M
Financing Cash Flow	4.86M	31.90M	36.31M	361.00K	-40.12M

Avada Group Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.15
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:AVD, the sentiment is Negative. The current price of 0.15 is above the 20-day moving average (MA) of 0.14, below the 50-day MA of 0.15, and below the 200-day MA of 0.36, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 51.21 is Neutral, neither overbought nor oversold. The STOCH value of 20.51 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:AVD.

Avada Group Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
KLS	78 Outperform	AU$1.06B	21.02	5.35%	4.68%	22.28%	50.12%
Sector *	71 Outperform	¥264.85B	14.09	8.47%	2.87%	6.39%	13.10%
VNT	68 Neutral	AU$4.26B	19.81	36.67%	3.86%	7.56%	16.00%
AVD	57 Neutral		23.88	-23.91%	―	-0.07%	-506.67%
DOW	51 Neutral	AU$4.58B	62.83	3.35%	3.19%	-7.32%	―

Avada Group Limited Corporate Events

AVADA Group Reports Strong Cash Flow and Strategic Developments

AVADA Group Limited reported positive operating cash flows for the quarter ending June 2025, with a significant increase in net operating cash flow and cash reserves. The company is undergoing a strategic review of its New Zealand operations due to economic pressures, and has implemented operational efficiencies and system consolidations to enhance productivity. Additionally, AVADA continued its debt reduction strategy by repaying $3.4 million in debt, indicating a focus on financial stability.

Change in Substantial Shareholding for Avada Group Limited

Avada Group Limited has announced a change in the substantial shareholding of Daniel Crowley, whose voting power has decreased from 24.19% to 23.18%. This change is due to a series of on-market acquisitions and an off-market transfer involving entities controlled by Crowley, impacting the distribution of shares and potentially influencing the company’s shareholder dynamics.

Avada Group Director Increases Shareholding

Avada Group Limited has announced a change in the director’s interest as Daniel James Crowley acquired an additional 3,000,000 ordinary shares through an on-market acquisition at $0.09 per share. This acquisition increases Crowley’s holdings in the Crowley Superannuation Fund to 9,109,524 shares, reflecting a strategic move that could influence the company’s market position and shareholder dynamics.

AVADA Group Announces Administrative Share Transfer

AVADA Group Limited announced an administrative transfer of shares related to Verifact Pty Ltd, which is being wound down. This transfer involved 14,159,254 shares, with 9,439,503 shares going to Mr. Daniel Crowley and 4,719,751 shares to Mr. Jarrod Bowditch. The company stated that this transaction is purely administrative and will not impact its operations.

Avada Group Limited Announces Director’s Shareholding Changes

Avada Group Limited has announced a change in the director’s interest, specifically involving Daniel James Crowley. The change involves the disposal of 4,719,751 ordinary shares at $0.20 per share through an off-market trade, resulting in a reallocation of shares across controlled accounts and a sale to a third party. This adjustment in shareholding could impact the company’s market perception and stakeholder interests.

AVADA Group Appoints New Chief Financial Officer

AVADA Group Limited has appointed Ben-Louis Ludik as the new Chief Financial Officer, effective 26 May 2025. With over 20 years of financial leadership experience, Ludik will lead the company’s finance function and contribute to strategic financial outcomes, enhancing shareholder value and strengthening the company’s financial position.

AVADA Group Reports Positive Cash Flow Amid Seasonal Challenges

AVADA Group Limited reported a seasonally low cash flow quarter but achieved positive operating cash flows, reflecting a successful cost reduction program and operational efficiencies. Despite challenges such as extraordinary rains in Queensland and a challenging New Zealand economy, the company continues to invest in capital improvements and expects improved revenues in the coming quarter due to delayed projects and increased activity.