Dusk Group Ltd. (DSK) AI Stock Analysis

• Market Cap: AU$52.62M
• Dividend Yield: 10.65%
• Average Volume (3M): 212.19K
• Price to Earnings (P/E): 9.1
• Beta (1Y): 0.30
• Revenue Growth: 5.42%
• EPS Growth: -8.87%
• Country: AU
• Employees: N/A
• Sector: Consumer Cyclical
• Sector Strength: 73
• Industry: Specialty Retail
• EPS (TTM): 0.15
• Shares Outstanding: 62,267,864
• 10 Day Avg. Volume: 170,623
• 30 Day Avg. Volume: 212,185
• PEG Ratio: 0.42
• Price to Book (P/B): 1.57
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 2.29
• 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: AU$1.40
• Price Target Upside: 66.67% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 63 Neutral
• Price Target: AU$1.00 ▲(19.05%Upside)

Dusk Group Ltd. has a moderate overall stock score. The company's financial performance shows stable cash flow and a balanced capital structure but faces challenges in revenue and profitability. The technical analysis reflects bearish trends with the stock trading below key moving averages and a low RSI, signaling potential oversold conditions. However, the valuation is attractive, with a reasonable P/E ratio and a high dividend yield, offering income potential.

Dusk Group Ltd. Business Overview & Revenue Model

Company Description

Dusk Group Limited operates as an omni-channel specialty retailer that focuses on home fragrance products in Australia. It offers novelty, scented, scented pillar, unscented, taper, tealight, and votive candles; candle holders, candle accessories, and wax melts; home fragrance products, including essential oils, mood reed refills, incense products, fragrant oils, room and linen sprays, pillow mist, and fragrant gel gems; and MoodMist, ultrasonic, glass, resin, ceramic, oil, mood reed, artisan reed, aromatherapy, and mini diffusers. The company also provides plant therapy essential oils and sets; candle holders, such as tealight holders, votive holders, hurricanes, lanterns, pillar holders, taper holders, plates and tray sets, and accessories; oil burners, candle care products, and related storage products; and gift cards and packs. It operates through a network of physical stores and online stores under the dusk brand name. The company was incorporated in 2014 and is based in Alexandria, Australia.

How the Company Makes Money

Dusk Group Ltd. generates revenue primarily through the retail sale of its home fragrance products. The company operates a network of physical stores positioned in strategic locations to attract foot traffic and maximize sales opportunities. Additionally, Dusk Group has a robust online presence, allowing it to reach a wider audience and cater to the growing trend of e-commerce. Key revenue streams include in-store sales, online sales, and occasional promotional events. The company benefits from a loyal customer base drawn to its exclusive product lines and the quality of its offerings. Partnerships with suppliers ensure a steady supply of raw materials necessary for product production, contributing to the firm's ability to maintain product availability and meet consumer demand.

Dusk Group Ltd. Financial Statement Overview

Summary

Dusk Group Ltd. presents a mixed financial performance. While the income statement reveals declining revenue and profitability pressures, the balance sheet and cash flow statement indicate stable financial health with strong cash generation and a balanced capital structure. The company must focus on revenue growth while maintaining operational efficiency to improve overall financial performance.

Income Statement

Dusk Group Ltd. has experienced a decline in revenue over the past years, with a negative revenue growth rate between 2023 and 2024. The Gross Profit Margin is relatively low at 17.6% for 2024, indicating higher cost of goods sold. Net Profit Margin also decreased to 3.4% in 2024, reflecting challenges in maintaining profitability. Despite the decrease in revenue, the company maintained an EBIT Margin of 7.3% and an EBITDA Margin of 22.6% in 2024, showing operational efficiency.

Balance Sheet

The company's Debt-to-Equity Ratio in 2024 is 0.99, indicating a balanced approach to leverage. Return on Equity (ROE) stands at 11.4%, which is moderate and reflects stable returns to shareholders. The Equity Ratio is 42.7%, showing a solid equity base relative to total assets. Overall, the balance sheet reveals moderate leverage and a stable equity position, with manageable risk.

Cash Flow

Dusk Group Ltd. demonstrated strong cash flow management, with a Free Cash Flow of 23.7 million in 2024, showing a positive growth trend. The Operating Cash Flow to Net Income Ratio is high at 6.47, indicating strong cash generation capability relative to net income. The Free Cash Flow to Net Income Ratio is 5.56, suggesting efficient conversion of profits into cash. The cash flow statement highlights robust cash generation and favorable cash flow metrics.

Breakdown
TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2019
Income Statement		Total Revenue
136.31M	126.73M	137.62M	138.39M	148.62M	86.08M
	Gross Profit
88.28M	81.55M	87.77M	93.73M	101.31M	26.92M
	EBIT
37.44M	8.07M	16.78M	26.55M	31.36M	4.66M
	EBITDA
21.54M	28.68M	38.75M	46.84M	50.07M	7.18M
	Net Income Common Stockholders
5.76M	4.27M	11.59M	18.48M	21.86M	2.62M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
6.08M	20.76M	16.01M	21.28M	21.41M	13.87M
	Total Assets
27.41M	87.80M	89.52M	88.28M	84.48M	39.03M
	Total Debt
719.00K	37.24M	39.56M	35.51M	33.93M	0.00
	Net Debt
-5.36M	16.48M	23.56M	14.23M	12.52M	-13.87M
	Total Liabilities
9.85M	50.30M	52.78M	51.81M	54.26M	17.70M
	Stockholders Equity
17.56M	37.50M	36.74M	36.46M	30.21M	21.33M
Cash Flow		Free Cash Flow
29.93M	23.72M	21.47M	27.13M	31.26M	7.16M
	Operating Cash Flow
30.76M	27.59M	25.40M	32.41M	35.09M	10.91M
	Investing Cash Flow
-3.27M	-3.58M	-3.53M	-5.28M	-3.83M	-3.75M
	Financing Cash Flow
-20.78M	-19.26M	-27.14M	-27.26M	-38.21M	0.00

Dusk Group Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.84
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:DSK, the sentiment is Negative. The current price of 0.84 is below the 20-day moving average (MA) of 0.94, below the 50-day MA of 1.01, and below the 200-day MA of 1.04, indicating a bearish trend. The MACD of -0.06 indicates Positive momentum. The RSI at 34.71 is Neutral, neither overbought nor oversold. The STOCH value of 40.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:DSK.

Dusk Group Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DSK	63 Neutral	AU$52.62M	9.14	13.17%	10.65%	5.42%	-8.87%
Sector *	62 Neutral	$6.93B	11.25	2.95%	3.88%	2.69%	-24.71%
1FQ		€271.63M	12.91	14.57%	5.56%	―	―
SUL	73 Outperform	AU$3.22B	14.23	17.52%	4.83%	2.56%	-13.62%
AX1	70 Neutral	AU$1.11B	16.20	14.35%	5.41%	6.29%	-12.42%
BBN	62 Neutral	AU$232.74M	81.40	2.78%	1.03%	-2.62%	-70.47%
KMD		AU$198.41M	―	-7.70%	―	―	―

Dusk Group Ltd. Corporate Events

Dusk Group Appoints Additional Company Secretary to Strengthen Governance

Dusk Group Limited has announced the appointment of Julie Comninos as an additional Company Secretary, effective from April 17, 2025. Julie Comninos, who has an extensive educational background and relevant qualifications, will share responsibilities with Gordon Squire, the current CFO and Company Secretary, for communications with the ASX. This strategic appointment is expected to enhance the company’s governance and operational efficiency, reinforcing its position as a leading retailer in the home fragrance industry.