Hansen Technologies Limited (HSN) AI Stock Analysis

• Market Cap: €983.37M
• Dividend Yield: 2.07%
• Average Volume (3M): 413.27K
• Price to Earnings (P/E): 278.6
• Beta (1Y): 0.64
• Revenue Growth: 9.97%
• EPS Growth: -92.09%
• Country: AU
• Employees: 1,955
• Sector: Technology
• Sector Strength: 87
• Industry: Software - Application
• EPS (TTM): 0.06
• Shares Outstanding: 204,044,700
• 10 Day Avg. Volume: 550,959
• 30 Day Avg. Volume: 413,274
• PEG Ratio: -1.36
• Price to Book (P/B): 3.13
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 21.28
• 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: €7.30
• Price Target Upside: 51.50% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 56 Neutral
• Price Target: AU$5.00 ▲(3.73%Upside)

Hansen Technologies' stock score is primarily impacted by its mixed financial performance and technical indicators suggesting bearish momentum. The high P/E ratio indicates overvaluation, which further dampens the stock's attractiveness despite a solid balance sheet. The absence of earnings call insights limits a deeper understanding of future prospects.

Hansen Technologies Limited Business Overview & Revenue Model

Company Description

Hansen Technologies Limited develops, integrates, and supports billing systems software for the energy and utilities, and communications and media sectors. It provides Create-Deliver-Engage suite, a set of software applications; and consulting services related to billing systems, as well as sells billing applications. The company also offers various professional services in relation to customer billing systems and IT outsourced services covering facilities management, systems and operations support, network services, and business continuity support; license, support, and maintenance services; and sells hardware and software. In addition, it provides software products services, such as architecture consulting, solution delivery, systems integration, managed, software learning and training, and product support services; cloud and hosting services; and data protection and disaster recovery services. The company operates in Australia, New Zealand, Asia, North America, Central America, Latin America, Europe, the Middle East, and Africa. Hansen Technologies Limited was founded in 1971 and is headquartered in Melbourne, Australia.

How the Company Makes Money

Hansen Technologies makes money primarily through the sale of its software solutions and services. Its revenue streams include licensing fees for its software products, which are used by utility and telecommunications companies to manage billing, data, and customer interactions. The company also generates income through recurring maintenance and support contracts, as well as professional services such as implementation, customization, and consulting. Significant partnerships with major utility and telecom companies enhance its market reach and contribute to its revenue growth.

Hansen Technologies Limited Financial Statement Overview

Summary

Hansen Technologies demonstrates mixed financial performance with strong revenue growth but weakening profit margins. The balance sheet is strong with low leverage, but profitability metrics like ROE have decreased. Cash flow is adequate but impacted by reduced free cash flow.

Income Statement

Hansen Technologies has shown a steady growth in total revenue over the years, with a notable revenue growth rate of 13.3% from 2023 to 2024. However, gross profit margin has decreased from 22.6% in 2023 to 15.5% in 2024, indicating increased cost pressures. The net profit margin also declined from 13.7% to 6.0%, highlighting potential challenges in managing costs. Despite this, the company maintains relatively healthy EBIT and EBITDA margins, suggesting operational efficiency.

Balance Sheet

The balance sheet is strong with a debt-to-equity ratio of 0.27, indicating low leverage and conservative financial management. The equity ratio remains robust at 59.5%, which reflects a strong capital structure. Return on equity has decreased from 12.6% in 2023 to 6.2% in 2024, which is a concern for profitability. Overall, the company maintains a stable balance sheet with low financial risk.

Cash Flow

Cash flow from operations is solid, although it declined from 78.8 million in 2023 to 59.1 million in 2024. Free cash flow has decreased by 27.1% over the same period, impacting the company's ability to reinvest or distribute dividends. The operating cash flow to net income ratio is 2.81, indicating good cash conversion from earnings. However, the drop in free cash flow highlights the need for better capital expenditure management.

Breakdown	TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	363.50M	353.11M	311.77M	296.55M	307.73M	301.37M
Gross Profit	100.80M	110.30M	70.59M	71.97M	91.90M	62.91M
EBITDA	31.19M	83.94M	103.51M	97.65M	116.58M	80.26M
Net Income	3.51M	21.06M	42.80M	41.94M	57.34M	25.76M
Balance Sheet
Total Assets	569.36M	566.83M	516.59M	530.83M	561.18M	545.52M
Cash, Cash Equivalents and Short-Term Investments	32.00M	46.02M	54.28M	59.63M	52.14M	44.49M
Total Debt	92.45M	89.35M	69.31M	101.79M	134.38M	179.49M
Total Liabilities	227.10M	229.69M	177.71M	217.72M	272.66M	293.03M
Stockholders Equity	342.26M	337.14M	338.88M	313.11M	288.52M	252.49M
Cash Flow
Free Cash Flow	35.19M	38.59M	52.92M	69.61M	76.79M	50.11M
Operating Cash Flow	39.11M	59.11M	78.82M	91.23M	93.80M	69.17M
Investing Cash Flow	-62.89M	-58.82M	-25.90M	-21.51M	-17.01M	-18.45M
Financing Cash Flow	9.62M	-6.66M	-58.41M	-62.41M	-67.98M	-44.02M

Hansen Technologies Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 4.82
• 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:HSN, the sentiment is Negative. The current price of 4.82 is below the 20-day moving average (MA) of 4.96, below the 50-day MA of 5.05, and below the 200-day MA of 5.11, indicating a bearish trend. The MACD of -0.05 indicates Positive momentum. The RSI at 39.40 is Neutral, neither overbought nor oversold. The STOCH value of 41.60 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:HSN.

Hansen Technologies Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RUL	68 Neutral	AU$717.37M	110.17	11.59%	―	9.76%	-28.92%
BVS	65 Neutral	AU$928.09M	12.95	57.04%	3.09%	18.63%	―
Sector *	63 Neutral	$34.07B	6.13	-11.73%	1.80%	5.33%	-18.31%
HSN	56 Neutral	€983.37M	278.61	1.03%	2.07%	9.97%	-92.09%
BRF		€794.59M	14.63	27.46%	1.43%	―	―
NXL	52 Neutral	AU$717.69M	308.39	-0.19%	―	17.64%	96.99%
FCL		AU$903.79M	―	-3.69%	―	―	―

Hansen Technologies Limited Corporate Events

Hansen Technologies to Quote New Securities on ASX

Hansen Technologies Limited announced the application for quotation of 212,583 ordinary fully paid securities on the Australian Securities Exchange (ASX). This move is part of an employee incentive scheme, indicating the company’s strategy to align employee interests with corporate goals and potentially enhance workforce motivation and retention.

The most recent analyst rating on (AU:HSN) stock is a Buy with a A$6.50 price target. To see the full list of analyst forecasts on Hansen Technologies Limited stock, see the AU:HSN Stock Forecast page.

Hansen Technologies Announces New Substantial Shareholder

Hansen Technologies Limited has announced a significant change in its shareholder structure with Long Path Partners, LP becoming a substantial holder. This development may influence the company’s strategic direction and impact its market positioning as Long Path Partners, LP now holds a 5.01% voting power in the company.

Hansen Technologies Expands German Market Presence with Strategic Acquisition

Hansen Technologies has announced the acquisition of key software applications from CONUTI GmbH, a partner of powercloud, for up to EUR 7.5 million. This acquisition aims to strengthen Hansen’s position in the German market by bringing strategic assets in-house, aligning with its long-term growth strategy. The transaction is expected to be earnings accretive, contributing FY26 revenues of approximately A$3-4 million and EBITDA of A$2 million post synergies, without materially impacting FY25 results. This move enhances Hansen’s ability to deliver end-to-end solutions in the DACH region, integrating valuable intellectual property and expertise into the Hansen Group.