GBM Resources Limited (GBZ) AI Stock Analysis

• Market Cap: AU$8.20M
• Dividend Yield: N/A
• Average Volume (3M): 1.28M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.52
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: AU
• Employees: 4
• Sector: Basic Materials
• Sector Strength: 68
• Industry: Gold
• EPS (TTM): >-0.01
• Shares Outstanding: 1,171,070,000
• 10 Day Avg. Volume: 1,929,544
• 30 Day Avg. Volume: 1,278,059
• PEG Ratio: 0.08
• Price to Book (P/B): 0.15
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -6.37
• 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: 42 Neutral
• Price Target: ―

The overall stock score for GBM Resources Limited reflects significant financial challenges, including declining revenue and negative cash flows. The technical analysis provides limited insights due to the absence of data, while the valuation metrics indicate potential overvaluation due to a negative P/E ratio and lack of dividends. These factors collectively suggest a cautious outlook on the stock.

GBM Resources Limited Business Overview & Revenue Model

Company Description

GBM Resources Limited engages in the exploration and development of mineral properties in Australia. The company explores for gold, silver, copper, and iron oxide. Its flagship project is the Mount Coolon gold project that covers an area of approximately 2,613 square kilometers located in the Drummond basin in Queensland. The company was incorporated in 2007 and is based in Mt Pleasant, Australia.

How the Company Makes Money

GBM Resources Limited generates revenue through the exploration and development of mineral resources, primarily gold and copper. The company invests in identifying and acquiring promising mineral tenements and undertakes exploration activities to discover economically viable mineral deposits. Once these deposits are confirmed, GBM Resources may engage in the development and extraction of minerals, either directly or through partnerships and joint ventures with other mining companies. Revenue is primarily derived from the sale of extracted minerals or through agreements with other entities to develop and exploit the resources. The company's earnings can be significantly influenced by factors such as mineral prices, successful exploration outcomes, and the efficiency of mining operations. Additionally, strategic partnerships and joint ventures play a crucial role in providing the necessary capital and expertise to advance their projects towards production.

GBM Resources Limited Financial Statement Overview

Summary

GBM Resources Limited faces significant financial challenges, with declining revenue, persistent losses, and negative cash flows. While the balance sheet shows some stability through equity financing, the company's poor profitability and liquidity issues raise concerns about its financial health. The company needs to address its operational inefficiencies and improve its revenue-generating capacity to stabilize its financial position.

Income Statement

GBM Resources Limited has experienced a significant decline in total revenue over the last year, with a 94.86% drop from 2023 to 2024. The company has consistently reported negative EBIT and net income, indicating ongoing operational challenges. The gross profit margin has improved slightly, but the net profit margin remains deeply negative, reflecting substantial losses and poor profitability.

Balance Sheet

The company has a moderate debt-to-equity ratio, which indicates a balanced use of debt and equity in its capital structure. However, the return on equity is negative, reflecting ongoing losses. The equity ratio stands at around 64.43%, suggesting a reasonable level of stability in terms of asset financing through equity. Overall, the balance sheet shows mixed stability with potential risks due to sustained losses.

Cash Flow

Free cash flow remains negative, with no indication of improvement, as evidenced by a 54.34% decline from 2023 to 2024. The operating cash flow to net income ratio is negative, highlighting inefficiencies in converting revenue into cash. The cash flow situation is concerning, with significant cash outflows and negative free cash flow, indicating potential liquidity challenges.

Breakdown
TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement		Total Revenue
54.39K	83.60K	1.63M	3.33M	80.87K	54.19K
	Gross Profit
54.39K	83.60K	-1.39M	66.44K	-49.69K	46.26K
	EBIT
-1.08M	-1.67M	-3.27M	-2.14M	-2.91M	-1.60M
	EBITDA
-1.02M	-1.34M	-782.51K	-333.56K	―	-1.12M
	Net Income Common Stockholders
-552.83K	-5.93M	-2.11M	-642.34K	267.85K	-1.20M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
1.09M	1.62M	2.03M	836.15K	5.68M	1.38M
	Total Assets
61.29M	61.14M	63.98M	55.71M	38.09M	14.56M
	Total Debt
7.45M	6.02M	7.49M	249.09K	63.72K	705.83K
	Net Debt
7.20M	4.42M	5.59M	-587.06K	-5.61M	-676.24K
	Total Liabilities
22.78M	21.74M	23.62M	17.26M	8.75M	2.36M
	Stockholders Equity
38.51M	39.39M	40.36M	38.44M	29.34M	12.20M
Cash Flow		Free Cash Flow
-1.29M	-5.54M	-12.13M	-14.79M	-8.73M	-2.73M
	Operating Cash Flow
57.48K	-2.15M	-4.00M	-513.61K	-1.43M	-890.73K
	Investing Cash Flow
-441.02K	-1.75M	-3.85M	-13.42M	-6.65M	-1.44M
	Financing Cash Flow
48.84K	3.62M	8.91M	9.10M	12.38M	3.38M

GBM Resources Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	51 Neutral	$2.04B	-1.21	-21.10%	3.95%	2.90%	-30.45%
GBZ	42 Neutral	AU$8.20M	―		―	―	―
PRU		C$4.65B	9.61	22.80%	1.41%	―	―
NESRF		$19.59B	24.74	11.01%	2.35%	―	―
RMLRF		$2.10B	9.13	26.42%	1.04%	―	―
GMD	76 Outperform	AU$5.06B	41.81	13.01%	―	125.45%	―

GBM Resources Limited Corporate Events

GBM Resources Advances Exploration and Asset Transactions in Q1 2025

GBM Resources Limited has released its quarterly activities report for the period ending March 31, 2025, highlighting significant developments across its projects. The company has engaged expert geophysicist David McInnes to enhance exploration efforts in the Drummond Basin, and discussions are ongoing to finalize the Twin Hills farm-in transaction. A sale agreement for the Mount Morgan asset has been executed with Lithium Energy Limited, involving cash payments and contingent milestones. Additionally, GBM is advancing its Mt Coolon Gold Project with Newmont, which has completed its minimum commitment under a farm-in agreement. The Cloncurry Copper Gold Project remains fully owned by GBM after Nippon Mining of Australia withdrew from a previous agreement, and GBM is considering proposals for its sale.

GBM Resources Reports Positive Drilling Results at Mt Coolon

GBM Resources Limited announced the completion of a successful air core drilling program at the Mt Coolon Gold Project, in partnership with Newmont. The drilling revealed significant gold anomalism at several sites, including Kamlands, Karamello, and Glen Robbins, with assays ranging from 0.10 g/t to 0.51 g/t Au. These results extend the known mineralization in the area, enhancing the project’s potential and supporting further exploration activities planned by Newmont for 2025. The findings are expected to improve geological interpretation and targeting, potentially impacting the company’s operations and industry positioning positively.

GBM Resources Highlights Promising Gold Exploration Results in Queensland

GBM Resources Limited presented at the Gold Coast Gold Conference, highlighting their exploration activities in the Drummond Basin, Queensland. The company shared impressive drill results from the Twin Hills project, indicating significant gold mineralization. This development underscores GBM’s potential to enhance its position in the gold mining sector, though the company acknowledges the early stage of its projects and the inherent risks and uncertainties involved.

GBM Resources Sells Mt Morgan Project to Focus on Core Assets

GBM Resources Limited has executed a definitive agreement to sell its Mt Morgan Gold Copper Project to Lithium Energy Limited. This transaction allows GBM to focus on its core gold assets in the Drummond Basin while maintaining exposure to the Mt Morgan Project through contingent payments. The sale supports GBM’s financial strategy by aiding in the repayment of a Convertible Note and aligns the company with a strong partner in Lithium Energy, which plans to conduct extensive exploration to discover significant gold and copper deposits.