Eneco Refresh Limited (ERG) AI Stock Analysis

• Market Cap: AU$3.81M
• Dividend Yield: N/A
• Average Volume (3M): 8.66K
• Price to Earnings (P/E): 140.0
• Beta (1Y): -1.76
• Revenue Growth: 7.44%
• EPS Growth: N/A
• Country: AU
• Employees: N/A
• Sector: Utilities
• Sector Strength: 65
• Industry: Beverages - Non-Alcoholic
• EPS (TTM): 0.00
• Shares Outstanding: 272,358,340
• 10 Day Avg. Volume: 9,200
• 30 Day Avg. Volume: 8,665
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: 1

• Rating: 44 Neutral
• Price Target: AU$0.00 ▼(-100.00% Downside)

Eneco Refresh Limited faces significant financial challenges with negative profitability and cash flow issues, which are the primary concerns. Technical indicators also suggest negative momentum, and the stock's valuation is unattractive due to negative earnings. The lack of earnings call and corporate events data limits the analysis, but the existing data points to a need for operational improvements and strategic adjustments to enhance financial health.

Eneco Refresh Limited Business Overview & Revenue Model

Company Description

Eneco Refresh Limited (ERG) is a company engaged in the distribution and supply of drinking water solutions across various sectors. The company focuses on providing clean and sustainable water products, including bottled water, water coolers, and filtration systems, catering to both commercial and residential clients.

How the Company Makes Money

Eneco Refresh Limited generates revenue primarily through the sale and leasing of its water products and services. The company's key revenue streams include direct sales of bottled water, rental and maintenance contracts for water coolers, and the installation and servicing of water filtration systems. By establishing long-term contracts with businesses and residential customers, ERG ensures a steady flow of recurring income. Partnerships with major retailers and distributors also play a significant role in expanding their market presence and accessibility, contributing to their overall earnings.

Eneco Refresh Limited Financial Statement Overview

Summary

Eneco Refresh Limited shows growth in revenue but struggles with profitability and cash flow generation. The balance sheet reflects a stable asset base but declining equity, raising concerns about long-term financial health. The company needs to focus on improving operational efficiency and cash flow management to enhance its financial position.

Income Statement

Eneco Refresh Limited has shown a consistent increase in revenue over the years, with a 6.68% growth from 2023 to 2024. However, the company struggles with profitability, as indicated by negative EBIT and net income margins in recent years. The gross profit margin has been relatively stable, but the net profit margin has deteriorated, reflecting challenges in controlling costs and achieving operational efficiency.

Balance Sheet

The company maintains a moderate debt-to-equity ratio, indicating a balanced approach to leveraging. However, the return on equity is negative due to consistent net losses, which is a concern for investors. The equity ratio is relatively healthy, suggesting a solid asset base, but the declining stockholders' equity over the years signals potential financial strain.

Cash Flow

Eneco Refresh Limited faces challenges in generating positive free cash flow, with a significant decline from 2023 to 2024. The operating cash flow to net income ratio is positive, indicating some ability to convert earnings into cash, but the free cash flow to net income ratio is negative, highlighting issues in sustaining cash flow after capital expenditures.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	15.45M	14.49M	13.98M	13.19M	11.28M
Gross Profit	5.25M	5.26M	5.41M	5.09M	4.32M
EBITDA	-1.39M	1.22M	822.59K	1.14M	-380.81K
Net Income	-1.59M	97.69K	-205.50K	-161.88K	-1.08M
Balance Sheet
Total Assets	13.98M	16.38M	14.81M	16.19M	14.24M
Cash, Cash Equivalents and Short-Term Investments	4.31M	5.40M	1.28M	1.45M	1.43M
Total Debt	3.83M	2.20M	2.88M	4.10M	1.90M
Total Liabilities	5.57M	6.38M	4.91M	6.06M	4.10M
Stockholders Equity	8.41M	9.99M	9.90M	10.13M	10.14M
Cash Flow
Free Cash Flow	-855.32K	-169.54K	273.60K	796.17K	-510.47K
Operating Cash Flow	104.84K	151.00K	602.99K	1.32M	-281.86K
Investing Cash Flow	-546.31K	4.18M	-338.37K	-117.59K	-308.35K
Financing Cash Flow	-640.51K	-683.17K	-475.00K	-1.18M	-247.94K

Eneco Refresh Limited Technical Analysis

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

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:ERG, 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 0.01, indicating a bearish trend. The MACD of <0.01 indicates Positive momentum. The RSI at 35.60 is Neutral, neither overbought nor oversold. The STOCH value of -40.00 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:ERG.

Eneco Refresh Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DEL	69 Neutral	36.35M	-5.52	0.00%	―	-28.88%	-235.29%
LPE	68 Neutral	23.56M	-6.74	0.00%	―	2.69%	-273.87%
TML	54 Neutral	2.93M	-2.17	-18.11%	―	5.31%	-489.74%
ERG	44 Neutral	AU$3.81M	140.00	0.29%	―	7.44%	―
JNS	34 Underperform	14.63M	-0.84	0.00%	―	0.00%	91.54%
14D	26 Underperform	23.92M	-6.67	0.00%	―	0.00%	-17.14%
Sector *	66 Neutral	$17.65B	18.10	5.60%	3.62%	6.62%	11.55%

Eneco Refresh Limited Corporate Events

Eneco Refresh Limited Reports 7% Revenue Growth in Q4 FY25

Eneco Refresh Limited reported a 7% increase in total revenue for the fourth quarter of FY25 compared to the same period in FY24, driven by organic growth and strategic focus on operational efficiency. The company invested in automation to enhance productivity and reduce production costs, while facing challenges such as inflation and cost increases. The water business saw an 8% quarterly revenue increase, with a 9% year-to-date rise, despite a one-off order not being repeated in Victoria. The plastics division maintained stable revenue, with a 2% annual increase, reflecting a successful new business model. The management team remains focused on delivering value to shareholders through improved margins and productivity gains.