Kinetiko Energy Ltd. (KKO) AI Stock Analysis

• Market Cap: AU$71.63M
• Dividend Yield: N/A
• Average Volume (3M): 62.89K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.33
• Revenue Growth: N/A
• EPS Growth: 32.31%
• Country: AU
• Employees: N/A
• Sector: Energy
• Sector Strength: 42
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): >-0.01
• Shares Outstanding: 1,432,585,100
• 10 Day Avg. Volume: 79,277
• 30 Day Avg. Volume: 62,888
• PEG Ratio: -890.20
• Price to Book (P/B): 1.01
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -13.00K
• 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: ―

Kinetiko Energy Ltd. faces significant challenges with no revenue generation and persistent losses, impacting its financial performance and valuation negatively. The technical analysis does not show signs of recovery, with the stock trading below key moving averages. Strong equity and low leverage are positives, but reliance on external funding is a concern. Overall, the stock reflects high risk with limited immediate upside potential.

Kinetiko Energy Ltd. Business Overview & Revenue Model

Company Description

Kinetiko Energy Limited explores for gas and coal bed methane. Its flagship property is the Amersfoort project located in South Africa. The company was incorporated in 2010 and is based in Subiaco, Australia.

How the Company Makes Money

Kinetiko Energy Ltd. generates revenue primarily through the exploration and development of coal bed methane gas projects. The company monetizes its gas reserves by extracting and selling natural gas to local and regional energy markets. It may also enter into joint ventures or partnerships with other energy companies to share resources and expertise, which can lead to shared revenue streams. Additionally, Kinetiko's operations are supported by funding from investors and government incentives aimed at promoting clean energy projects. The company's success in converting its exploration activities into commercial production is a key factor contributing to its earnings.

Kinetiko Energy Ltd. Financial Statement Overview

Summary

Kinetiko Energy Ltd. operates in a challenging sector with no revenue generation, leading to continuous losses and negative margins. Despite strong equity and low leverage, the company is heavily reliant on external financing to cover operational deficits. Improvement in revenue generation is critical for sustainable growth.

Income Statement

Kinetiko Energy Ltd. has consistently reported zero revenue over the past years, leading to gross and net losses. The net profit margin is negative due to continuous net losses, and the absence of revenue growth indicates a challenging business environment. The EBIT and EBITDA margins are also negative, highlighting operational inefficiencies.

Balance Sheet

The company maintains a strong equity position with a minimal debt load, as evidenced by a low debt-to-equity ratio. The equity ratio is robust, indicating financial stability and low leverage. However, the continuous net losses impact the overall equity growth and return on equity.

Cash Flow

Operating cash flow is negative, reflecting ongoing challenges in generating cash from operations. Free cash flow is consistently negative; however, substantial financing activities suggest reliance on external funding. The free cash flow to net income ratio is unfavorable due to persistent net losses.

Breakdown
TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement		Total Revenue
0.00	0.00	0.00	0.00	0.00	0.00
	Gross Profit
-310.00	-784.46K	-46.86K	-21.94K	-5.58K	-530.00
	EBIT
―	-3.98M	-3.61M	-3.58M	-1.78M	-1.44M
	EBITDA
―	-3.98M	-3.56M	-3.56M	-1.78M	-1.44M
	Net Income Common Stockholders
―	-5.32M	-4.34M	-5.82M	-1.70M	-1.87M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
1.01M	7.21M	3.56M	1.35M	190.86K	1.11M
	Total Assets
8.53M	74.96M	13.22M	9.86M	7.84M	7.87M
	Total Debt
0.00	1.47M	250.00K	250.00K	0.00	0.00
	Net Debt
-1.01M	-5.74M	-3.31M	-1.10M	-190.86K	-1.11M
	Total Liabilities
734.73K	2.73M	999.42K	720.62K	298.91K	558.15K
	Stockholders Equity
7.79M	72.14M	12.22M	9.14M	7.54M	7.32M
Cash Flow		Free Cash Flow
―	-3.78M	-3.99M	-3.83M	-1.97M	-1.70M
	Operating Cash Flow
―	-3.75M	-3.86M	-3.64M	-1.96M	-1.70M
	Investing Cash Flow
―	-4.03M	-1.73M	-1.24M	-234.53K	-325.95K
	Financing Cash Flow
―	11.44M	7.81M	6.04M	1.27M	3.06M

Kinetiko Energy Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.05
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:KKO, the sentiment is Negative. The current price of 0.05 is below the 20-day moving average (MA) of 0.06, below the 50-day MA of 0.06, and below the 200-day MA of 0.07, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 9.94 is Positive, neither overbought nor oversold. The STOCH value of 78.28 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:KKO.

Kinetiko Energy Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	57 Neutral	$7.22B	3.15	-4.49%	5.63%	0.82%	-49.15%
KKO	42 Neutral	AU$71.63M	―	-9.01%	―	―	32.31%
BEPTF		$1.97B	32.00	2.70%	3.83%	―	―
CVONF		$128.16M	20.79	3.89%	―	―	―
OGFGF		$11.84B	12.62	14.75%	5.52%	―	―
STOSF		$13.89B	11.67	7.94%	5.31%	―	―

Kinetiko Energy Ltd. Corporate Events

Kinetiko Energy Reports Positive Developments in Gas Production Efforts

Kinetiko Energy Ltd reported significant progress in its gas production efforts during the first quarter of 2025. The company achieved successful gas flaring from its second production test well and observed stronger gas presence in its first well, indicating potential for increased gas production. The company is conducting a drilling optimization study to address initial gas flow restrictions, with preliminary findings suggesting improvements in drilling techniques could enhance gas recovery. Kinetiko maintains a strong financial position with no debt and substantial available funds.

Kinetiko Energy Optimizes Drilling Techniques Following Positive Flow Assurance Report

Kinetiko Energy Ltd has completed a positive flow assurance report conducted by Oilfield Technologies Australia Pty Ltd, which identified significant impairments in gas flow performance due to drilling techniques. Laboratory tests revealed that water and foam used in drilling significantly reduced gas permeability by up to 85%, explaining the underperformance of initial production test wells. The company plans to implement optimized drilling techniques to minimize fluid invasion and improve gas deliverability, with the next test well drilling scheduled for early May.

Kinetiko Energy’s Drill Optimisation Enhances Gas Recovery Prospects

Kinetiko Energy Ltd has released an interim drill optimisation report highlighting findings from its production test wells in South Africa. The report, conducted by Oilfield Technologies Australia, identifies excessive water introduction during drilling as a temporary impediment to gas flow. However, simple remediation strategies have been proposed to enhance gas recovery, supporting Kinetiko’s transition from exploration to commercial production. The insights from this program are expected to improve future well performance and accelerate resource conversion, reinforcing the commercial viability of Kinetiko’s gas resources.

Kinetiko Energy Ltd Releases Interim Financial Report for H2 2024

Kinetiko Energy Ltd has released its interim financial report for the half-year ending December 31, 2024. The report provides insights into the company’s financial performance, including profit or loss, comprehensive income, financial position, changes in equity, and cash flows. This release is crucial for stakeholders to assess the company’s financial health and strategic positioning in the energy sector.

Kinetiko Energy Reports Positive Gas Production Test Results

Kinetiko Energy Ltd has announced positive outcomes from its production test wells, confirming the presence of gas and improved gas flows. The second test well, 271-KV06PT, successfully reached a depth of 631m and demonstrated a sustained gas presence, while the first test well, initially thought to have a limited reservoir, also showed increasing gas presence. The company has initiated a drilling optimization study to assess possible temporary gas blockages caused by drilling techniques. These developments affirm the ubiquity of gas-bearing geology across Kinetiko’s exploration rights, supporting the potential for future gas fields.