Lark Distilling Co. Ltd. (LRK) AI Stock Analysis

• Market Cap: AU$81.59M
• Dividend Yield: N/A
• Average Volume (3M): 18.47K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.49
• Revenue Growth: -7.45%
• EPS Growth: -0.15%
• Country: AU
• Employees: 8
• Sector: Consumer Defensive
• Sector Strength: 67
• Industry: Beverages - Wineries & Distilleries
• EPS (TTM): -0.03
• Shares Outstanding: 105,966,440
• 10 Day Avg. Volume: 18,392
• 30 Day Avg. Volume: 18,472
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: AU$1.25
• Price Target Upside: 62.34% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 50 Neutral
• Price Target: AU$1.00 ▲(29.87% Upside)

Lark Distilling Co. Ltd. faces significant financial challenges with declining revenues and persistent net losses, leading to a low financial performance score. The technical analysis provides some positive signals with moderate momentum, but the stock remains undervalued based on traditional metrics. Overall, the company's financial difficulties are a major concern, impacting the overall stock score significantly.

Lark Distilling Co. Ltd. Business Overview & Revenue Model

Company Description

Lark Distilling Co. Ltd. (LRK) is a leading Australian distiller renowned for its premium whisky products. Established in Tasmania, the company has become synonymous with high-quality, artisanal spirits, leveraging the pristine natural environment to craft exceptional whiskies. Lark Distilling operates within the alcoholic beverage sector, focusing on the production, distribution, and marketing of its core whisky offerings, along with other spirits.

How the Company Makes Money

Lark Distilling Co. Ltd. generates revenue primarily through the sale of its premium whisky products, both domestically and internationally. The company's key revenue streams include direct sales to consumers through its online platform and physical distillery outlets, as well as wholesale distribution to liquor stores, bars, and restaurants. Additionally, Lark Distilling capitalizes on tourism and experiences by offering distillery tours and tastings, which not only serve as a direct revenue source but also enhance brand visibility and customer engagement. Strategic partnerships with distributors and retailers further expand its market reach, contributing to its overall earnings.

Lark Distilling Co. Ltd. Financial Statement Overview

Summary

Lark Distilling Co. Ltd. faces significant financial challenges with declining revenues and persistent net losses. Despite maintaining a strong equity base, the company's profitability and cash flow issues raise concerns about its ability to sustain operations without significant strategic or financial restructuring.

Income Statement

Lark Distilling Co. Ltd. has shown a concerning trend with declining revenues over the past year, dropping from $19.88M in 2023 to $16.73M in 2024. The gross profit margin slightly improved to 56.5% in 2024, suggesting some control over costs. However, the consistent net losses and negative EBIT and EBITDA margins indicate significant profitability challenges.

Balance Sheet

The company maintains a healthy equity ratio of about 91.6% in 2024, indicating strong capital structure stability. However, a declining return on equity (ROE) due to continuous net losses and a debt-to-equity ratio of 0.02 suggest limited leverage use but also highlight ongoing profitability issues.

Cash Flow

Lark Distilling's cash flow position shows significant strain with negative free cash flow and operating cash flow. The free cash flow decreased over the past year, highlighting liquidity challenges. Cash flow from operations is insufficient to cover its capital expenditures, indicating potential financial constraints.

Breakdown	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	16.73M	19.88M	24.34M	16.54M	7.43M
Gross Profit	9.46M	3.48M	8.49M	5.46M	1.37M
EBITDA	-3.85M	-5.05M	803.87K	1.52M	-957.96K
Net Income	-4.57M	-4.91M	-470.40K	3.44M	-1.27M
Balance Sheet
Total Assets	110.63M	116.14M	121.59M	60.37M	46.30M
Cash, Cash Equivalents and Short-Term Investments	2.36M	7.16M	16.10M	7.65M	6.12M
Total Debt	2.19M	4.59M	6.68M	6.75M	5.60M
Total Liabilities	9.26M	11.46M	12.84M	9.98M	8.92M
Stockholders Equity	101.36M	104.68M	108.75M	50.40M	37.38M
Cash Flow
Free Cash Flow	-4.79M	-6.27M	-9.97M	-7.16M	-5.10M
Operating Cash Flow	-4.22M	-5.45M	-7.72M	-6.38M	-3.53M
Investing Cash Flow	-237.03K	1.75M	-39.50M	-637.10K	-1.57M
Financing Cash Flow	-348.80K	-5.24M	55.66M	8.54M	4.49M

Lark Distilling Co. Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.77
• 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:LRK, the sentiment is Negative. The current price of 0.77 is below the 20-day moving average (MA) of 0.82, below the 50-day MA of 0.79, and below the 200-day MA of 0.96, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 42.62 is Neutral, neither overbought nor oversold. The STOCH value of 21.12 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:LRK.

Lark Distilling Co. Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
EDV	73 Outperform	AU$7.41B	16.15	11.71%	4.77%	1.78%	-11.07%
Sector *	50 Neutral	AU$2.10B	-1.45	-9.83%	4.37%	4.08%	-50.27%
LRK	50 Neutral	AU$81.59M	―	-4.70%	―	-7.45%	-0.15%
MBH	47 Neutral	AU$21.25M	―	-33.40%	―	-13.09%	-139.06%
FRM	46 Neutral	AU$75.01M	―	1.33%	―	-0.71%	91.71%
TSI	42 Neutral	AU$13.00M	―	-67.01%	―	―	―

Lark Distilling Co. Ltd. Corporate Events

Lark Distilling Co. Ltd. Reports Strong FY25 Performance and Strategic Advancements

Lark Distilling Co. Ltd. reported a strong performance for the fiscal year 2025, with net sales revenue increasing by 12% to $15.6 million. The company completed a brand restage and expanded its distilling capacity at the Pontville site, positioning itself for future growth. Despite challenges in the domestic and international markets, Lark achieved consecutive quarters of sales growth, driven by its direct-to-consumer and global travel retail channels. The company maintains a robust balance sheet with $23.1 million in cash, supporting its strategic initiatives.

The most recent analyst rating on (AU:LRK) stock is a Buy with a A$1.20 price target. To see the full list of analyst forecasts on Lark Distilling Co. Ltd. stock, see the AU:LRK Stock Forecast page.

Lark Distilling Co. Ltd. Issues New Securities to Boost Employee Engagement

Lark Distilling Co. Ltd. has announced the issuance of 26,329 ordinary fully paid securities to be quoted on the ASX as part of an employee incentive scheme. This move is likely to enhance employee engagement and align their interests with the company’s growth, potentially strengthening Lark Distilling’s market position and operational efficiency.

The most recent analyst rating on (AU:LRK) stock is a Buy with a A$1.20 price target. To see the full list of analyst forecasts on Lark Distilling Co. Ltd. stock, see the AU:LRK Stock Forecast page.

Lark Distilling Co. Ltd. Announces Cessation of Performance Rights

Lark Distilling Co. Ltd. announced the cessation of 1,261,539 performance rights due to the lapse of conditional rights that were not satisfied. This development may impact the company’s capital structure and could have implications for its stakeholders, reflecting a potential shift in the company’s operational or strategic focus.

The most recent analyst rating on (AU:LRK) stock is a Buy with a A$1.20 price target. To see the full list of analyst forecasts on Lark Distilling Co. Ltd. stock, see the AU:LRK Stock Forecast page.

Lark Distilling Co. Ltd. Announces Quotation of New Securities on ASX

Lark Distilling Co. Ltd. has announced the quotation of 343,357 ordinary fully paid securities on the Australian Securities Exchange (ASX) as of June 30, 2025. This move is part of the company’s strategy to enhance its market presence and provide additional value to its stakeholders by increasing the liquidity of its shares.

The most recent analyst rating on (AU:LRK) stock is a Buy with a A$1.50 price target. To see the full list of analyst forecasts on Lark Distilling Co. Ltd. stock, see the AU:LRK Stock Forecast page.

Lark Distilling Co. Ltd. Director’s Interest Update

Lark Distilling Co. Ltd. announced a change in the director’s interest, with Warren Randall acquiring 427,424 ordinary fully paid shares through an on-market trade. This change reflects a strategic move in the company’s governance, potentially impacting its market positioning and stakeholder interests.

The most recent analyst rating on (AU:LRK) stock is a Buy with a A$1.20 price target. To see the full list of analyst forecasts on Lark Distilling Co. Ltd. stock, see the AU:LRK Stock Forecast page.

Lark Distilling Co. Announces Change in Company Secretary

Lark Distilling Co. Ltd. announced the resignation of Melanie Leydin as Joint Company Secretary, with Michael Sapountzis continuing as the sole Company Secretary. This change in company leadership could impact the company’s communication strategy with the ASX, as Sapountzis will now solely handle these responsibilities.

The most recent analyst rating on (AU:LRK) stock is a Buy with a A$1.20 price target. To see the full list of analyst forecasts on Lark Distilling Co. Ltd. stock, see the AU:LRK Stock Forecast page.