FINEOS Corporation Holdings Plc Shs Chess Depositary Interests Repr 1 Sh (AU:FCL)
ASX:FCL
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FINEOS Corporation Holdings Plc Shs Chess Depositary Interests Repr 1 Sh
(Sydney:FCL)
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Rating:55Neutral
Price Target:
AU$2.50
▼(-1.57% Downside)
Action:ReiteratedDate:01/29/26
The score is primarily supported by strong balance-sheet quality and improved cash flow generation, but it is held back by still-negative profitability and weak technical momentum (below major moving averages with negative MACD). Valuation provides limited support due to negative earnings and no dividend yield data.
Positive Factors
Balance Sheet Strength
Very low leverage and a sizeable equity base provide durable financial flexibility: the company can fund product development, absorb execution setbacks, and pursue strategic investments or tuck-in M&A without immediate refinancing risk, supporting multi-quarter operational resilience.
Negative Factors
Ongoing Losses
Persistent negative net income and EBIT mean the business has not yet achieved operating profitability; until structural costs are absorbed and EBIT turns sustainably positive, the firm may face pressure to cut costs or raise capital, limiting shareholder return potential.
Read all positive and negative factors
Positive Factors
Negative Factors
Balance Sheet Strength
Very low leverage and a sizeable equity base provide durable financial flexibility: the company can fund product development, absorb execution setbacks, and pursue strategic investments or tuck-in M&A without immediate refinancing risk, supporting multi-quarter operational resilience.
Read all positive factors
FINEOS Corporation Holdings Plc Shs Chess Depositary Interests Repr 1 Sh (FCL) vs. iShares MSCI Australia ETF (EWA)
Market Cap
AU$975.87M
Dividend YieldN/A
Average Volume (3M)470.35K
Price to Earnings (P/E)64.7
Beta (1Y)0.63
Revenue Growth10.99%
EPS GrowthN/A
CountryAU
Employees893
SectorTechnology
Sector Strength88
IndustrySoftware - Application
Share Statistics
EPS (TTM)>-0.01
Shares Outstanding344,845,550
10 Day Avg. Volume577,420
30 Day Avg. Volume470,353
Financial Highlights & Ratios
PEG Ratio1.09
Price to Book (P/B)2.26
Price to Sales (P/S)2.79
P/FCF Ratio18.50
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
AU$3.00Price Target Upside18.18% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering6
EPS Forecast (FY)0.01
Revenue Forecast (FY)AU$147.98M
FINEOS Corporation Holdings Plc Shs Chess Depositary Interests Repr 1 Sh Business Overview & Revenue Model
Company Description
FINEOS Corporation Holdings plc engages in the development and sale of enterprise claims and policy management software for the life, accident, and health insurance industry worldwide. The company offers FINEOS Platform, a software-as-a-service co...
How the Company Makes Money
FINEOS primarily makes money by licensing and delivering its insurance software platform to customers and charging for implementation and ongoing support. Revenue is generally generated from (1) software licensing and/or subscription fees for use ...
FINEOS Corporation Holdings Plc Shs Chess Depositary Interests Repr 1 Sh Earnings Call Summary
Earnings Call Date:Feb 25, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:Aug 25, 2026
Earnings Call Sentiment Positive
The call presented a strong operational and financial rebound: ARR and subscription revenue growth, improved gross margins, a material uplift in EBITDA and a return to positive free cash flow and net profit. Management articulated clear multi‑year KPIs (subscription mix, R&D intensity, margin targets), showcased product momentum (new customers, major upgrades), AI differentiation and SI partnerships. Risks disclosed include an AWS provision (~EUR 2.4–2.7m) that depressed reported profit, flat services revenue and regional concentration (80% North America), plus timing uncertainty around migrations and conservative customer buying behavior which underpin execution risk against ambitious subscription‑mix and margin targets. Overall, the positives — demonstrated revenue/ARR growth, cash generation and margin improvement — materially outweigh the manageable operational and timing risks highlighted by management.Positive Updates
Subscription Revenue Growth and Mix
Subscription revenues grew to EUR 75.6m, up 8.2% year‑on‑year and representing 54.6% of total revenues. Management reported ARR of EUR 78.3m at 31 Dec, up 10% from EUR 71.2m (ARR growth cited as a key KPI).
Negative Updates
Provision for AWS Contract
A provision related to the AWS committed spend (disclosed between EUR 2.4m and EUR 2.7m in commentary) was taken to reflect lower expected consumption versus prior commitments; c. EUR 1.0m of the provision was allocated to cost of sales and additional charges (~EUR 0.8m) impacted R&D—this reduced reported NPAT and margins in the period.
Read all updates
Q4-2025 Updates
Positive
Negative
Subscription Revenue Growth and Mix
Subscription revenues grew to EUR 75.6m, up 8.2% year‑on‑year and representing 54.6% of total revenues. Management reported ARR of EUR 78.3m at 31 Dec, up 10% from EUR 71.2m (ARR growth cited as a key KPI).
Read all positive updates
Company Guidance
FINEOS guided FY26 revenue of EUR 147–152m and reiterated its strategic targets to grow subscription (recurring) revenue to 65% of total by FY27 (≈75% by 2029), lift EBITDA margin to 25% by FY27 (with a longer‑term target near 40%), and push gross margin toward ~80% while reducing R&D spend as a percentage of revenue from ~34.7% in FY25 to 30% in FY27 and 25% by 2029; for context FY25 ARR was EUR 78.3m (+10% YoY), subscription revenue EUR 75.6m (+8.2%, 54.6% of revenues), total revenue EUR 138.4m (+3.9% / +6.3% cc), gross profit EUR 105m (76.2% margin), EBITDA EUR 30.4m (21.9% margin), NPAT EUR 1m, cash EUR 27.8m and free cash flow EUR 6.4m (plus EUR 1.6m from option exercises), management noted an AWS provision of ~EUR 2.4–2.7m and expects modest FY26 OpEx growth (~3–4%) while driving further operational efficiencies and AI‑enabled upsell/migrations.FINEOS Corporation Holdings Plc Shs Chess Depositary Interests Repr 1 Sh Financial Statement Overview
Summary
Income Statement
52
Neutral
Balance Sheet
76
Positive
Cash Flow
68
Positive
| Breakdown | TTM | Dec 2025 | Dec 2024 | Jun 2023 | Jun 2022 | Jun 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 139.21M | 133.22M | 122.24M | 125.04M | 127.25M | 108.34M |
| Gross Profit | 128.88M | 100.43M | 87.44M | 85.70M | 83.03M | 72.05M |
| EBITDA | 16.58M | 32.78M | -12.84M | 1.70M | 6.28M | 4.69M |
| Net Income | -568.04K | -5.80M | -13.79M | -21.42M | -26.00M | -12.49M |
Balance Sheet | ||||||
| Total Assets | 195.09M | 197.79M | 196.31M | 201.17M | 223.41M | 184.47M |
| Cash, Cash Equivalents and Short-Term Investments | 27.85M | 19.83M | 28.14M | 25.52M | 44.31M | 14.00M |
| Total Debt | 5.28M | 4.07M | 0.00 | 4.59M | 4.56M | 5.26M |
| Total Liabilities | 37.50M | 33.29M | 33.02M | 54.03M | 54.12M | 48.13M |
| Stockholders Equity | 157.59M | 164.50M | 163.28M | 147.14M | 169.29M | 136.34M |
Cash Flow | ||||||
| Free Cash Flow | 71.63M | 20.10M | -15.14M | -9.54M | -8.73M | -20.69M |
| Operating Cash Flow | 72.91M | 20.64M | -14.90M | 17.89M | 18.09M | 5.55M |
| Investing Cash Flow | -47.74M | -28.92M | -27.05M | -29.80M | -26.82M | -85.49M |
| Financing Cash Flow | 1.64M | -24.14K | 47.19M | 88.13K | 45.21M | 56.14M |
FINEOS Corporation Holdings Plc Shs Chess Depositary Interests Repr 1 Sh Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
73 Outperform | AU$1.01B | 11.05 | 42.94% | 10.16% | -12.00% | -45.47% | |
69 Neutral | AU$1.00B | 12.19 | 17.13% | 1.85% | 11.63% | 1754.91% | |
66 Neutral | AU$1.07B | 21.16 | 25.65% | 1.27% | 6.51% | 15.45% | |
64 Neutral | AU$54.18M | -10.26 | 7.40% | 5.97% | -4.94% | -64.96% | |
61 Neutral | $37.18B | 12.37 | -10.20% | 1.83% | 8.50% | -7.62% | |
59 Neutral | AU$1.22B | 6.36 | 19.57% | 2.47% | -7.41% | -11.47% | |
55 Neutral | AU$975.87M | 64.66 | -0.72% | ― | 10.99% | ― |
* Technology Sector Average
AU:FCL
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FINEOS Corporation Holdings Plc Shs Chess Depositary Interests Repr 1 Sh Corporate Events
FINEOS sets virtual 2026 AGM with key governance and capital-raising votes
Mar 12, 2026
FINEOS Corporation Holdings Plc has scheduled its 2026 Annual General Meeting for 14 April 2026, to be held virtually via the Automic Investor Portal from its Dublin head office. Shareholders have been sent the notice of meeting, letters and proxy...
FINEOS Seeks ASX Quotation for Additional CHESS Depositary Interests
Mar 11, 2026
FINEOS Corporation Holdings PLC has applied to the ASX for quotation of 13,820 additional CHESS Depositary Interests, each representing one ordinary share, with an issue date of 6 February 2026. The new securities arise from the exercise or conver...
FINEOS updates ASX on corporate governance compliance for 2025
Feb 25, 2026
FINEOS Corporation Holdings Plc has lodged its latest corporate governance statement with the ASX for the financial year ended 31 December 2025, confirming that the document is current as of 25 February 2026 and available on its website. The filin...
FINEOS Highlights FY25 Results and Reinforces Insurance Tech Leadership
Feb 25, 2026
FINEOS Corporation has presented its FY25 results, led by founder and CEO Michael Kelly and CFO Ian Lynagh, underscoring its position as a global leader in core systems for life, accident and health insurance. The company reiterated its vision of ...
FINEOS Publishes 2025 Annual Report Detailing Governance and Financial Performance
Feb 25, 2026
FINEOS Corporation Holdings plc has released its 2025 annual report for the year ended 31 December, detailing its financial performance, governance framework, and operational developments. The document includes reports from the Chairman and CEO, a...
FINEOS Maintains Cash Flow Guidance as Efficiency Drive Offsets FX Drag
Jan 28, 2026
FINEOS reported an unaudited quarterly update for the three months to 31 December 2025 showing continued revenue growth and efficiency gains that support its guidance for positive free cash flow for the full FY25. The Dublin-based insurtech ended ...
FINEOS Revises CEO Michael Kelly’s Remuneration Package After Benchmark Review
Jan 19, 2026
FINEOS Corporation Holdings PLC has updated the remuneration terms for its CEO and Chairman, Michael Kelly, marking the first major change to his executive compensation since 2021 after a benchmarking review against comparable companies. Effective...
FINEOS Seeks ASX Quotation for 639,000 New CDIs
Jan 12, 2026
FINEOS Corporation Holdings plc has applied for the quotation of 639,000 additional CHESS Depositary Interests (CDIs) on the ASX, each representing a one-to-one interest in an underlying share, with an issue date of 31 December 2025. The new secur...
FINEOS Options Lapse After Unmet Conditions
Jan 8, 2026
FINEOS Corporation Holdings plc has announced the lapse of 277,080 FCLAA options, which were conditional rights to securities that ceased on 31 December 2025 after the specified conditions were not met or became incapable of being satisfied. The e...
Fineos Files Final Director’s Interest Notice for Departing Board Member
Jan 5, 2026
Fineos Corporation Holdings PLC has announced that director Anne O’Driscoll, who held interests in a total of 124,000 CHESS Depositary Interests (CDIs) both directly and via the AJEC Family Trust, has lodged a final director’s interest...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.