Energy Resources of Australia Class A (ERA) AI Stock Analysis

• Market Cap: N/A
• Dividend Yield: N/A
• Average Volume (3M): N/A
• Price to Earnings (P/E): ―
• Beta (1Y): N/A
• Revenue Growth: -100.00%
• EPS Growth: 98.06%
• Country: AU
• Employees: 190
• Sector: Energy
• Sector Strength: 52
• Industry: Uranium
• EPS (TTM): >-0.01
• Shares Outstanding: N/A
• 10 Day Avg. Volume: N/A
• 30 Day Avg. Volume: N/A
• PEG Ratio: <0.01
• Price to Book (P/B): -0.17
• Price to Sales (P/S): 5.30
• P/FCF Ratio: -1.05
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: 0.00
• Enterprise Value/Gross Profit: 0.00
• Enterprise Value/Ebitda: 0.00
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 34 Underperform
• Price Target: ―

The company's overall stock score reflects significant financial instability with negative profitability and cash flow issues. The absence of technical analysis data and unappealing valuation metrics further reduce confidence in the stock.

Energy Resources of Australia Class A Business Overview & Revenue Model

Company Description

Energy Resources of Australia Ltd operates as a uranium producer. It holds a 100% interest in the Jabiluka mineral lease. The company was incorporated in 1980 and is headquartered in Darwin, Australia. Energy Resources of Australia Ltd is a subsidiary of North Limited.

How the Company Makes Money

ERA generates revenue primarily through the sale of uranium oxide (U3O8) produced at its Ranger mine. The company enters into long-term sales contracts with utilities and traders in the nuclear energy sector, which provides stable cash flows. Additionally, ERA benefits from fluctuations in uranium prices, which can enhance earnings when market conditions are favorable. The company also engages in exploration and development activities to identify new resources, potentially increasing future production and revenue. Partnerships with global energy companies and adherence to regulatory frameworks ensure ERA's operational efficiency and market competitiveness, further contributing to its revenue generation.

Energy Resources of Australia Class A Financial Statement Overview

Summary

Energy Resources of Australia Ltd. faces significant financial challenges with negative profitability, a weak balance sheet, and poor cash flow generation. The company needs to address its operational inefficiencies and financial structure to enhance stability and investor confidence.

Income Statement

The company has experienced significant volatility in its income statement metrics. Despite a positive gross profit margin, the net profit margin is heavily negative due to substantial net losses. Revenue growth is inconsistent, showing declines in recent years. Overall, the profitability measures such as EBIT and EBITDA margins are weak, indicating operational challenges.

Balance Sheet

The balance sheet reveals a concerning financial structure with negative stockholders' equity, indicating potential solvency issues. The debt-to-equity ratio is not meaningful due to negative equity, and the equity ratio is highly negative, signifying financial instability and risk.

Cash Flow

Cash flow analysis indicates negative free cash flows and operating cash flows, posing liquidity challenges. The company relies heavily on financing activities to cover cash shortfalls, highlighting cash management issues. Ratios such as the operating cash flow to net income and free cash flow to net income are not favorable.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	51.24M	36.35M	34.18M	35.55M	190.35M	242.46M
Gross Profit	-39.65M	35.88M	33.08M	12.80M	-640.07M	156.65M
EBITDA	-12.60M	-135.06M	18.74M	-53.77M	-627.51M	40.47M
Net Income	-134.98M	-245.97M	-1.39B	-160.55M	-650.21M	11.46M
Balance Sheet
Total Assets	1.26B	1.35B	828.80M	679.77M	855.93M	1.00B
Cash, Cash Equivalents and Short-Term Investments	690.90M	791.33M	216.95M	87.12M	163.87M	204.35M
Total Debt	233.00K	385.00K	680.00K	13.22M	93.00K	1.77M
Total Liabilities	2.41B	2.46B	2.46B	1.28B	1.30B	785.57M
Stockholders Equity	-1.15B	-1.11B	-1.63B	-603.66M	-442.42M	214.58M
Cash Flow
Free Cash Flow	-195.26M	-184.02M	-223.32M	-147.19M	-37.98M	-19.47M
Operating Cash Flow	-195.26M	-183.95M	-223.25M	-146.96M	-37.93M	-19.28M
Investing Cash Flow	-459.55M	-459.69M	1.27M	59.28M	-43.00K	-454.19M
Financing Cash Flow	757.88M	758.00M	351.81M	10.94M	-2.51M	469.23M

Energy Resources of Australia Class A Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	―	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
BKY	―	AU$249.65M	―	-6.30%	―	―	-67.12%
DYL	―	AU$1.63B	217.57	1.08%	―	-100.00%	―
PDN	―	$3.77B	―	-6.47%	―	―	-163.65%
BMN	―	$636.85M	―	-2.73%	―	―	60.83%
AEE	―	£211.31M	―	-26.26%	―	―	-75.25%
ERA	―	―	―	―	―	-100.00%	98.06%

Energy Resources of Australia Class A Corporate Events

Energy Resources of Australia Reports Significant Cash Outflows Amidst Strategic Investments

Energy Resources of Australia Limited reported a significant net cash outflow from operating activities amounting to $47.064 million for the current quarter, driven by substantial payments for rehabilitation and corporate costs. The company’s cash flow from investing activities also showed a net outflow of $75.5 million, primarily due to payments for term deposits, indicating a strategic allocation of resources amidst ongoing financial challenges.

Energy Resources of Australia Faces Legal and Operational Challenges

Energy Resources of Australia Class A is facing ongoing legal proceedings regarding the Jabiluka Mineral Lease and the compulsory acquisition of its shares by Rio Tinto, which requires court approval due to shareholder objections. The company continues its rehabilitation efforts at the Ranger Project Area, with significant challenges in the dry capping of Pit 3, potentially leading to delays and increased costs. Water treatment activities are progressing, but the Brine Squeezer trials have been delayed, impacting the timeline for process water treatment.

Energy Resources of Australia Announces Director’s Change in Shareholding

The recent announcement from Energy Resources of Australia Ltd details a change in the director’s interest in securities, specifically involving Brad Welsh. The change involves the acquisition of additional Rio Tinto Limited Shares through a dividend reinvestment plan, reflecting a minor increase in the director’s indirect holdings. This update indicates ongoing engagement with employee share plans and may suggest a positive outlook on the company’s future performance.

Energy Resources of Australia Updates Director’s Shareholding

Energy Resources of Australia Ltd has announced a change in the director’s interest notice for Alfred Grigg. The notice details Mr. Grigg’s acquisition of 49 Rio Tinto Limited Shares through a dividend reinvestment plan, increasing his indirect holdings. This change reflects the company’s ongoing engagement with employee share plans, which may impact stakeholders by aligning director interests with company performance.

Energy Resources of Australia Announces Director’s Shareholding Change

Energy Resources of Australia Ltd has reported a change in the director’s interest, specifically concerning Brad Welsh. The change involves the acquisition of additional Rio Tinto Limited Shares through a dividend reinvestment plan under the Rio Tinto Global Employee Share Plan. This adjustment in shareholding reflects ongoing participation in employee investment programs, which may influence the company’s governance and stakeholder engagement strategies.

Energy Resources of Australia Announces Director’s Interest Change

Energy Resources of Australia Ltd announced a change in the director’s interest, specifically concerning Justin Carey. The notice details the acquisition of 10 Rio Tinto Limited Shares under a dividend reinvestment plan, increasing his indirect holdings to 559 shares. This adjustment reflects ongoing participation in the Rio Tinto Global Employee Share Plan, which may impact the company’s governance and stakeholder interests.

Energy Resources of Australia Announces Director’s Interest Change

Energy Resources of Australia Ltd announced a change in the director’s interest notice for Rosemary Fagen. The notice details the acquisition of 42 Rio Tinto Limited Shares under the Rio Tinto Global Employee Share Plan, held by Computershare Trustees on behalf of Ms. Fagen, through a dividend reinvestment plan. This change reflects a strategic adjustment in the director’s holdings, potentially impacting the company’s governance and stakeholder perceptions.

Energy Resources of Australia Faces Legal and Operational Challenges Amidst Rehabilitation Efforts

Energy Resources of Australia Class A is currently facing legal proceedings regarding the renewal of the Jabiluka Mineral Lease and the compulsory acquisition of its shares by Rio Tinto, which requires court approval due to shareholder objections. The company is actively working on the rehabilitation of the Ranger Project Area, with significant investments in environmental management and infrastructure improvements, while also seeking to extend its authority to complete these activities beyond January 2026.

Energy Resources of Australia Announces Director’s Change in Securities Interest

Energy Resources of Australia Ltd announced a change in the director’s interest in securities, specifically involving Justin Carey. The change includes the acquisition of Rio Tinto Limited Shares and Matching RT Share Rights under the Rio Tinto Global Employee Share Plan. This adjustment in securities holdings reflects the company’s ongoing engagement with its employee incentive programs, which may impact shareholder value and director alignment with company performance.