Centrex Limited (CXM) AI Stock Analysis

• Market Cap: AU$14.75M
• Dividend Yield: N/A
• Average Volume (3M): 0.00
• Price to Earnings (P/E): ―
• Beta (1Y): -0.32
• Revenue Growth: 18.04%
• EPS Growth: -69.23%
• Country: AU
• Employees: 11
• Sector: Utilities
• Sector Strength: 74
• Industry: Industrial Materials
• EPS (TTM): -0.02
• Shares Outstanding: 867,605,700
• 10 Day Avg. Volume: 0
• 30 Day Avg. Volume: 0
• PEG Ratio: -1.29
• Price to Book (P/B): 1.21
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -3.79
• 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: 45 Neutral
• Price Target: AU$0.00 ▼(-100.00%Downside)

Centrex Limited's overall score reflects its mixed financial performance, with notable revenue growth but persistent profitability and liquidity challenges. Technical indicators suggest bearish momentum with potential oversold conditions, while the negative valuation metrics indicate profitability issues. The absence of earnings call insights and corporate events limits the assessment to existing financial and market data.

Centrex Limited Business Overview & Revenue Model

Company Description

Centrex Limited (CXM) is a technology solutions company specializing in software development and IT consulting services. The company operates primarily within the information technology and digital transformation sectors, offering a wide range of products and services designed to enhance business operations through innovative technology solutions. Centrex Limited's core offerings include custom software development, cloud computing solutions, IT infrastructure management, and cybersecurity services, catering to a diverse clientele across various industries.

How the Company Makes Money

Centrex Limited makes money through a combination of project-based and subscription-based revenue models. Its key revenue streams include fees from custom software development projects, which are typically contracted on a fixed-price or time-and-materials basis. Additionally, the company generates recurring revenue from its cloud computing solutions and managed IT services, which are offered on a subscription basis. Centrex also earns income from consulting services and cybersecurity solutions, providing strategic guidance and security assessments to businesses. Strategic partnerships with leading technology providers further enhance its service offerings, allowing Centrex to leverage cutting-edge technologies and expand its market reach.

Centrex Limited Financial Statement Overview

Summary

Centrex Limited's financial health presents a mixed picture. While revenue growth is a positive indicator, persistent losses and negative cash flows suggest operational inefficiencies and liquidity challenges. The balance sheet remains stable with a solid asset base, but increasing debt levels might affect financial flexibility. The company needs to focus on improving profitability and cash flow generation to enhance its financial standing.

Income Statement

Centrex Limited's revenue growth has been notable, increasing from 2019 to 2024, but the company struggles with consistently negative gross and net profit margins. The gross profit margin is negative due to the high cost of goods sold, and the net profit margin is also negative, reflecting ongoing operational challenges. Despite this, revenue has shown significant growth, particularly from 2022 to 2024, indicating potential future revenue stability.

Balance Sheet

The balance sheet shows a moderate debt-to-equity ratio, which has increased over the years due to rising debt levels. However, the equity ratio remains relatively strong, indicating a solid asset base. Return on equity is negative, reflecting the company's continued unprofitability. Overall, the balance sheet exhibits stability in assets, but rising debt levels could pose future risks.

Cash Flow

Centrex Limited's cash flow statement highlights negative free cash flow and operating cash flow over multiple years, which raises concerns about liquidity and operational efficiency. The company has been investing heavily, as seen in the capital expenditures, but without corresponding positive cash flow from operations. Financing activities have provided some relief, but continuous reliance on external financing could be unsustainable.

Breakdown	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	30.65M	25.97M	214.00K	0.00	0.00
Gross Profit	-8.54M	381.00K	-1.25M	-12.00K	-14.00K
EBITDA	-15.39M	-8.54M	-21.29M	-2.59M	-19.80M
Net Income	-19.32M	-9.55M	-21.66M	-2.63M	-19.82M
Balance Sheet
Total Assets	54.88M	43.13M	36.37M	14.69M	13.01M
Cash, Cash Equivalents and Short-Term Investments	2.55M	6.74M	12.87M	2.19M	1.81M
Total Debt	8.16M	6.53M	151.00K	0.00	0.00
Total Liabilities	34.09M	18.31M	4.68M	3.41M	312.00K
Stockholders Equity	20.79M	24.82M	31.70M	11.29M	12.70M
Cash Flow
Free Cash Flow	-15.75M	-9.41M	-9.22M	-1.63M	-3.50M
Operating Cash Flow	-9.06M	-6.96M	-1.57M	-915.00K	-2.20M
Investing Cash Flow	-6.73M	-2.48M	-6.79M	-385.00K	1.37M
Financing Cash Flow	11.58M	3.33M	19.90M	2.19M	0.00

Centrex Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.01
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:CXM, the sentiment is Negative. The current price of 0.01 is below the 20-day moving average (MA) of 0.01, below the 50-day MA of 0.01, and below the 200-day MA of 0.02, indicating a bearish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 1.10 is Positive, neither overbought nor oversold. The STOCH value of <0.01 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:CXM.

Centrex Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BHP	75 Outperform	$183.25B	10.60	26.20%	4.38%	-2.47%	57.01%
ILU	71 Outperform	$1.60B	6.45	10.39%	2.29%	-9.35%	-32.77%
IGO	62 Neutral	$3.12B	1,418.92	-36.53%	12.97%	-28.50%	-532.61%
S32	58 Neutral	£13.22B	58.57	-3.53%	3.72%	-19.74%	―
MIN	58 Neutral	$3.94B	50.78	-33.95%	4.54%	2.22%	-411.10%
Sector *	58 Neutral	AU$879.13M	4.42	-2.39%	4.85%	22.34%	-112.43%
CXM	45 Neutral	AU$14.75M	―	-84.72%	―	18.04%	-69.23%

Centrex Limited Corporate Events

Centrex Limited Creditors Approve Deed of Company Arrangement with PRL Global

Centrex Limited, currently under voluntary administration, and its subsidiary Agriflex Pty Ltd, have resolved to enter into a Deed of Company Arrangement (DOCA) with PRL Global Limited. This decision was made during the reconvened second meeting of creditors. The execution of the DOCA will involve the transfer of all Centrex shares to PRL, pending a court order, and is expected to impact shareholders, who are advised to seek legal and tax advice.

PRL Global Secures Creditor Approval for Centrex Ltd DOCA

PRL Global Limited has successfully completed the second creditors meeting for Centrex Ltd and its subsidiary Agriflex Pty Ltd, owners of the Ardmore phosphate mine in Queensland. Creditors voted in favor of PRG’s Deed of Company Administration (DOCA) proposal, which is contingent upon reaching binding agreements with key partners, including Aurizon, the rail haulage services provider. The economic viability of the Ardmore Phosphate Mine hinges on these agreements, with a deadline set for June 27, 2025, to finalize terms with Aurizon.

Centrex Limited’s Future Hinges on Creditor Meeting Decision

Centrex Limited, currently under voluntary administration, has scheduled a reconvened second meeting of creditors to decide on the future of the company. The administrators recommend accepting a deed of company arrangement proposed by PRL Global Limited, which involves compromising unsecured creditor debts and transferring Centrex’s shares to PRL, with no return to shareholders. The outcome could significantly impact the company’s operations and stakeholders, depending on whether creditors accept the proposal, return control to directors, or opt for liquidation.

Centrex Limited Defers Financial Reporting Amid Administration

Centrex Limited, currently under voluntary administration, has announced a deferral of its financial reporting obligations. The company, along with its subsidiary Agriflex Pty Ltd, is utilizing relief provisions under ASIC regulations to delay financial reporting for up to 24 months. This deferral is part of the administration process managed by FTI Consulting, which aims to stabilize the company’s operations. During this period, Centrex’s securities remain suspended from trading, ensuring no uninformed trading occurs. The company has set up communication channels for shareholders to address any queries regarding the administration process.

Centrex Limited Selects PRL Global Ltd for Exclusive Due Diligence

Centrex Limited, currently under administration, has announced that PRL Global Ltd has been selected as the preferred bidder for the potential sale or recapitalization of the company. The decision follows discussions with shortlisted bidders, and PRL Global Ltd will now enter a 45-day exclusive due diligence period. This development could significantly impact Centrex Limited’s future operations and market positioning, with further updates expected after the due diligence period concludes.

Centrex Limited Adjourns Creditors Meeting Amid Sale Negotiations

Centrex Limited, currently under administration, has announced the convening of a second meeting of creditors, initially scheduled for April 8, 2025. The administrators are in advanced negotiations for a potential sale or recapitalization of the company, which may involve a Deed of Company Arrangement. To allow more time for these negotiations, the meeting will be adjourned for up to 45 business days, with a supplementary report to be issued detailing potential outcomes and recommendations for creditors.