Knosys Ltd. (KNO) AI Stock Analysis

• Market Cap: AU$4.97M
• Dividend Yield: N/A
• Average Volume (3M): 234.37K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.35
• Revenue Growth: 2.15%
• EPS Growth: -900.00%
• Country: AU
• Employees: 40
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Infrastructure
• EPS (TTM): >-0.01
• Shares Outstanding: 216,138,700
• 10 Day Avg. Volume: 195,563
• 30 Day Avg. Volume: 234,370
• PEG Ratio: <0.01
• Price to Book (P/B): 1.28
• Price to Sales (P/S): 0.71
• P/FCF Ratio: -6.06
• 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
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 42 Neutral
• Price Target: AU$0.02 ▲(10.00% Upside)

Knosys Ltd. faces significant challenges in profitability and cash flow, which are the most critical factors affecting its stock score. Technical analysis indicates bearish momentum, and valuation metrics are unattractive due to negative earnings. The absence of earnings call data and corporate events leaves these areas unaddressed.

Positive Factors

Conservative capital structure

A very low debt-to-equity ratio (0.014) gives Knosys flexibility to fund product development and absorb operating losses without heavy interest burdens. This conservative structure reduces solvency risk and supports multi-quarter resilience while management works to restore profitability.

Recurring subscription revenue

A subscription and licensing business model delivers recurring, predictable revenue and supports retention and upsell opportunities. Over the medium term this stability aids forecasting, enables investment in customer success, and helps scale unit economics as customer base grows.

Positive top-line momentum

Modest 5.54% revenue growth shows ongoing demand for the Knosys platform. Sustained revenue expansion provides a foundation to leverage fixed costs and improve operating leverage; if maintained, this trend can support durable margin recovery and longer-term profitability gains.

Negative Factors

Negative operating and free cash flow

Consistent negative operating and free cash flows indicate the business is burning cash, limiting its ability to fund R&D, sales expansion, and customer support internally. Without a cash-flow turnaround, Knosys may need external capital, which can dilute shareholders or constrain strategic options.

Weak gross and operating margins

A gross margin near 14% and negative EBIT/net margins point to weak pricing power or high delivery costs for a software firm. Structurally low margins impair scalability: revenue growth alone may not produce profits unless the company improves pricing, reduces service costs, or shifts mix toward higher-margin offerings.

Negative return on equity

Negative ROE signals persistent inability to generate shareholder returns and indicates inefficient capital use. Over time, continued losses can erode equity, discourage investors, and increase the cost or reduce availability of external financing, constraining long-term strategic initiatives.

Knosys Ltd. Business Overview & Revenue Model

Company Description

Knosys Limited, a software-as-a-service information technology company, develops and licenses computer software in Australia, the United States, New Zealand, Europe, Asia, and internationally. It offers Knowledge IQ, a knowledge management solution; GreenOrbit, an intranet solution that delivers a digital workplace, which combines traditional intranet functionality with collaboration, social networking, and intelligent information distribution; and Libero, a library management solution. The company was incorporated in 2015 and is headquartered in Melbourne, Australia.

How the Company Makes Money

Knosys Ltd. generates revenue primarily through software licensing and subscription services for its knowledge management platform. The company offers tiered pricing models based on the scale and features utilized by its clients, which allows for flexibility and scalability. Additionally, Knosys earns revenue from implementation services, training, and ongoing support for its software solutions. Significant partnerships with organizations in various industries bolster its market presence and contribute to revenue growth by expanding its customer base and enhancing product offerings. Furthermore, Knosys may explore additional revenue streams through strategic collaborations, integrations with third-party applications, and potential expansion into new markets.

Knosys Ltd. Financial Statement Overview

Summary

Knosys Ltd. is experiencing revenue growth but faces significant profitability and cash flow challenges. The balance sheet is stable with low leverage, but negative returns on equity highlight inefficiencies. The company needs to focus on improving profitability and cash flow management to enhance its financial health.

Income Statement

Knosys Ltd. has shown some revenue growth, with a 5.54% increase in the latest year. However, the company is struggling with profitability, as indicated by negative net profit margins and EBIT margins. The gross profit margin is relatively low at 14.15%, reflecting challenges in cost management or pricing power. Overall, the income statement reflects a company facing profitability challenges despite some revenue growth.

Balance Sheet

The balance sheet of Knosys Ltd. shows a low debt-to-equity ratio of 0.014, indicating minimal leverage and a conservative capital structure. However, the return on equity is negative, reflecting ongoing losses and inefficiencies in generating returns for shareholders. The equity ratio is healthy, suggesting a strong equity base relative to total assets. Overall, the balance sheet is stable but highlights challenges in profitability.

Cash Flow

The cash flow statement indicates significant challenges, with negative operating and free cash flows. The free cash flow growth rate is negative, and the operating cash flow to net income ratio is also negative, indicating cash flow issues. The free cash flow to net income ratio is slightly above 1, suggesting that free cash flow is slightly better than net income, but overall cash flow management remains a concern.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	10.70M	10.70M	9.63M	9.95M	8.92M	4.59M
Gross Profit	1.51M	1.51M	1.09M	-377.87K	-813.60K	284.74K
EBITDA	-758.35K	-758.35K	1.18M	-2.13M	-2.10M	-340.08K
Net Income	-1.55M	-1.55M	195.19K	-2.20M	-3.05M	-543.84K
Balance Sheet
Total Assets	13.02M	13.02M	14.26M	13.84M	15.40M	14.40M
Cash, Cash Equivalents and Short-Term Investments	2.82M	2.82M	4.19M	2.02M	3.10M	6.53M
Total Debt	81.07K	81.07K	194.38K	89.96K	94.70K	220.84K
Total Liabilities	7.11M	7.11M	6.85M	6.75M	6.48M	4.38M
Stockholders Equity	5.91M	5.91M	7.42M	7.09M	8.93M	10.02M
Cash Flow
Free Cash Flow	-1.25M	-1.25M	2.30M	-908.79K	-279.79K	547.97K
Operating Cash Flow	-1.22M	-1.22M	2.30M	-784.13K	-220.30K	580.11K
Investing Cash Flow	-29.88K	-29.88K	-7.49K	-155.35K	-3.36M	890.51K
Financing Cash Flow	-113.31K	-113.31K	-126.92K	-139.10K	139.12K	2.73M

Knosys Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.02
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:KNO, the sentiment is Negative. The current price of 0.02 is above the 20-day moving average (MA) of 0.02, below the 50-day MA of 0.02, and below the 200-day MA of 0.03, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 40.01 is Neutral, neither overbought nor oversold. The STOCH value of -20.00 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:KNO.

Knosys Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
WHK	44 Neutral	AU$7.32M	-2.63	―	―	13.07%	68.60%
KNO	42 Neutral	AU$4.97M	-3.19	-23.31%	―	2.15%	-900.00%
EAT	37 Underperform	AU$27.48M	-2.76	―	―	12.88%	-22.58%

Knosys Ltd. Corporate Events

Knosys Grants 2 Million Share Options to Director Phillip Carter

Knosys Limited has reported a change in director Phillip Carter’s interest in the company’s securities, confirming that he has been granted 2,000,000 options to acquire ordinary shares via his indirect holding entity, Granta Capital Pty Ltd. The options, issued for no cash consideration following shareholder approval at the company’s 26 November 2025 AGM, carry an exercise price of $0.16, expire four years after issue and are subject to vesting conditions, underscoring the use of equity-based incentives to align director interests with shareholder value over the medium term.

The most recent analyst rating on (AU:KNO) stock is a Hold with a A$0.02 price target. To see the full list of analyst forecasts on Knosys Ltd. stock, see the AU:KNO Stock Forecast page.

Knosys Grants 5 Million Director Options Under Shareholder-Approved Plan

Knosys Limited has issued 5 million unquoted options to its directors under terms previously approved by shareholders at the company’s annual general meeting held on 26 November 2025. The options, which were formally issued on 22 December 2025, form part of the company’s director remuneration and incentive arrangements, and signal an ongoing alignment of board interests with those of shareholders by linking director rewards to future company performance, although they will also modestly increase potential equity dilution for existing investors if exercised.

The most recent analyst rating on (AU:KNO) stock is a Hold with a A$0.02 price target. To see the full list of analyst forecasts on Knosys Ltd. stock, see the AU:KNO Stock Forecast page.

Knosys Limited Reports Successful Outcomes at Annual General Meeting

Knosys Limited announced the results of its Annual General Meeting held on November 26, 2025, where all resolutions were passed by a significant majority. Key resolutions included the adoption of the remuneration report, re-election of directors, and approval for additional placement capacity and issuance of options to directors, indicating strong shareholder support and strategic alignment for future growth.

Knosys Ltd. Appoints New Director, Phillip Carter

Knosys Ltd. has announced the appointment of Phillip Carter as a director, effective October 13, 2025. This announcement is part of the company’s compliance with ASX listing rules, although Phillip Carter currently holds no securities or interests in contracts related to the company. The appointment is a strategic move that may influence the company’s governance and future direction.

Knosys Limited Announces 2025 AGM with a Focus on Sustainability

Knosys Limited has announced its 2025 Annual General Meeting (AGM) to be held on November 26, 2025, in Melbourne. The company is encouraging shareholders to adopt environmentally friendly practices by switching to paperless communications. All resolutions at the AGM will be decided by a poll, and shareholders are urged to vote by proxy if they cannot attend in person. This move aligns with the company’s commitment to sustainability and efficient shareholder engagement.

Knosys Limited Announces 2025 Annual General Meeting

Knosys Limited has announced its 2025 Annual General Meeting, which will take place on November 26, 2025, in Melbourne, Victoria. The meeting will address several resolutions, including the adoption of the Remuneration Report for the financial year ending June 30, 2025. This resolution is advisory and will not bind the company or its directors, but the outcome will be considered for future remuneration policies.

Knosys Limited Announces Director Departure

Knosys Limited announced the cessation of Kathrin Mutinelli as a director, effective October 14, 2025. Mutinelli held 500,000 fully paid ordinary shares as a registered holder and had an interest in 200,000 shares through Unfragile Pty Ltd. This change in directorship may impact the company’s governance and strategic direction.

Knosys Limited Announces Director Change

Knosys Limited has announced the cessation of Kathrin Mutinelli as a director effective 13 October 2025. The announcement details her interests in the company, including 500,000 fully paid ordinary shares and an additional 200,000 shares held through Unfragile Pty Ltd. This change in directorship may impact the company’s governance and strategic direction, reflecting a shift in its leadership structure.

Knosys Limited Announces Director Departure

Knosys Limited announced the cessation of Neil Wilson as a director effective from October 13, 2025. Wilson held 500,000 fully paid ordinary shares as vested restricted loan-funded shares and had an interest in 250,000 fully paid ordinary shares through King Wilson Pty Ltd. This change in directorship may impact the company’s governance structure and could have implications for its strategic direction.