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Nutritional Growth Solutions Ltd. (AU:NGS)
ASX:NGS
Australian Market

Nutritional Growth Solutions Ltd. (NGS) AI Stock Analysis

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AU

Nutritional Growth Solutions Ltd.

(Sydney:NGS)

Rating:31Underperform
Price Target:
The overall score of 30.5 reflects significant financial challenges and weak technical indicators for Nutritional Growth Solutions Ltd. The company's financial instability, negative profitability, and poor valuation metrics are primary concerns. Technical analysis shows weak momentum without clear direction. Immediate improvements in financial performance and operational efficiency are crucial for recovery.

Nutritional Growth Solutions Ltd. (NGS) vs. iShares MSCI Australia ETF (EWA)

Nutritional Growth Solutions Ltd. Business Overview & Revenue Model

Company DescriptionNutritional Growth Solutions Ltd. (NGS) is a company operating in the health and wellness sector, specializing in the development and distribution of scientifically formulated nutritional products. These products are designed to support the growth and development of children, ensuring they receive essential nutrients to promote healthy growth. NGS's core offerings include a range of nutritional supplements and formulas that cater to the dietary needs of children.
How the Company Makes MoneyNutritional Growth Solutions Ltd. generates revenue primarily through the sale of its nutritional products, which are distributed via multiple channels, including direct-to-consumer online sales, partnerships with healthcare providers, and retail distribution. The company leverages scientific research and clinical studies to develop its product line, which enhances its credibility and marketability. NGS also benefits from strategic partnerships and distribution agreements with major retailers and online platforms, expanding its market reach. The company's revenue streams are bolstered by its ability to cater to a niche market focused on child nutrition, coupled with ongoing marketing efforts to raise awareness about the importance of children's health and nutritional needs.

Nutritional Growth Solutions Ltd. Financial Statement Overview

Summary
Nutritional Growth Solutions Ltd. faces significant financial challenges. The income statement reflects ongoing losses and declining revenues. The balance sheet indicates financial instability with negative equity. Cash flows are negative, though recent financing provides temporary relief. Improvement in operational efficiency and revenue growth are crucial for financial recovery.
Income Statement
20
Very Negative
The company shows significant challenges with its profitability metrics. The gross profit margin is 32.67%, indicating a decent ability to cover production costs. However, the net profit margin is negative due to a net loss, suggesting the company is not currently profitable. Additionally, there is a revenue decline compared to 2022. The negative EBIT and EBITDA margins further highlight operational inefficiencies.
Balance Sheet
15
Very Negative
The balance sheet reveals financial instability. With a negative stockholders' equity, the company is in a precarious financial position. The debt-to-equity ratio cannot be calculated due to negative equity, and the equity ratio is also negative, indicating more liabilities than assets. The return on equity is negative, reflecting ongoing losses.
Cash Flow
25
Negative
The cash flow statement indicates negative free cash flow, suggesting the company is spending more than it earns. The operating cash flow to net income ratio is negative, showing issues in converting income into cash. However, the company secured financing, which might help in the short term but isn't sustainable without operational improvements.
Breakdown
Dec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income StatementTotal Revenue
2.48M2.95M
Gross Profit
811.00K1.44M
EBIT
2.48M-4.23M
EBITDA
-2.45M-4.23M
Net Income Common Stockholders
-2.54M-4.25M-3.34M
Balance SheetCash, Cash Equivalents and Short-Term Investments
31.00K172.00K1.52M
Total Assets
709.00K936.00K3.03M
Total Debt
162.00K362.00K37.00K
Net Debt
131.00K190.00K-1.48M
Total Liabilities
1.37M1.11M954.00K
Stockholders Equity
-658.00K2.08M
Cash FlowFree Cash Flow
-1.93M-2.35M-6.98M
Operating Cash Flow
-1.93M-2.35M-6.97M
Investing Cash Flow
0.000.00-4.00K-58.28K
Financing Cash Flow
1.78M998.00K2.21M

Nutritional Growth Solutions Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (65)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
65
Neutral
$8.92B15.034.68%6.11%3.59%-2.49%
AUBUB
51
Neutral
AU$125.04M-21.85%30.54%88.42%
AUNGS
31
Underperform
AU$3.39M
-16.29%58.77%
* Consumer Defensive Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:NGS
Nutritional Growth Solutions Ltd.
0.03
0.00
0.00%
AU:BUB
Bubs Australia Ltd.
0.14
0.00
0.00%

Nutritional Growth Solutions Ltd. Corporate Events

Nutritional Growth Solutions Ltd Announces Proposed Securities Issue
Apr 28, 2025

Nutritional Growth Solutions Ltd announced a proposed issue of securities, including convertible notes and options, to be listed on the ASX. This move is aimed at raising capital, potentially impacting the company’s financial flexibility and market positioning, while offering stakeholders new investment opportunities.

Nutritional Growth Solutions Secures A$1.0 Million for U.S. Retail Expansion
Apr 28, 2025

Nutritional Growth Solutions Ltd. has successfully secured A$1.0 million through a convertible note placement, with the funds aimed at supporting its retail expansion into prominent U.S. retailers such as CVS and Wakefern. This financial move, backed by sophisticated and professional investors, is expected to bolster the company’s growth strategy by providing necessary capital for inventory purchases, working capital, and corporate expenses, thereby strengthening its market position and operational capabilities.

Nutritional Growth Solutions Appoints New Interim CFO to Drive Financial Strategy
Apr 3, 2025

Nutritional Growth Solutions Limited has appointed Mr. Manik Pujara as Interim CFO, effective immediately. Mr. Pujara, a Chartered Accountant with extensive expertise in corporate governance and financial strategy, will receive his compensation in equity as part of the company’s cost-saving initiatives. His appointment is expected to strengthen NGS’s financial position and support its growth objectives, with a focus on ensuring financial sustainability and maximizing stakeholder value. The company also acknowledges the contributions of outgoing CFO Mr. Rob Valerio, who will transition to a supportive role to ensure a smooth handover.

Nutritional Growth Solutions Ltd Releases Corporate Governance Statement
Mar 31, 2025

Nutritional Growth Solutions Ltd has released its corporate governance statement for the financial year ending December 31, 2024, which is now available on their website. The statement, approved by the board, outlines the company’s adherence to the ASX Corporate Governance Council’s principles and recommendations, reflecting its commitment to transparency and accountability in its operations.

Nutritional Growth Solutions Ltd. Releases Financial Statements
Mar 31, 2025

Nutritional Growth Solutions Ltd. has released its consolidated financial statements, which include the independent auditors’ statement to shareholders, statements of financial position, comprehensive income, changes in shareholders’ equity, and cash flows. This release provides insights into the company’s financial health and performance, which could impact its operational strategies and stakeholder interests.

Nutritional Growth Solutions Expands US Retail Presence with Wakefern and Walmart
Mar 3, 2025

Nutritional Growth Solutions Ltd. has announced its expansion into Wakefern, a major grocery retailer in Northeast America, with the launch of four Healthy Heights® products across approximately 300 stores. This move is expected to generate potential annualized sales of USD 750,000 and enhance the brand’s visibility, serving as a catalyst for further retail expansion in the United States. Concurrently, the company is expanding its presence in Walmart by increasing distribution from 762 to 972 stores and adding a third product line, highlighting the growing momentum and consumer demand for Healthy Heights® in the US market.

Director Resignation at Nutritional Growth Solutions Ltd
Mar 3, 2025

Nutritional Growth Solutions Ltd announced the resignation of Peter Osborne from his position as a director, effective March 1, 2025. Osborne held 864,247 fully paid ordinary shares in the company. This change in the board may impact the company’s strategic direction and governance, potentially influencing stakeholders’ confidence and the company’s market positioning.

Nutritional Growth Solutions Reports Revenue Decline and Capital Raising Efforts in 2024
Feb 27, 2025

Nutritional Growth Solutions Ltd. reported a 17% decline in revenue for the year ending December 31, 2024, compared to the previous year, with total revenue amounting to US$2,481,000. Despite a reduction in losses from US$2,893,000 to US$2,544,000, the company did not propose any dividends for the period. The company undertook several capital raising initiatives, including a share placement and a reverse stock split, to bolster its financial position. These efforts are part of a broader strategy to enhance e-commerce sales, develop new sales channels, and invest in research and development, despite facing challenges such as increased shipping and raw material costs.

Nutritional Growth Solutions Appoints New Independent Chairman Amid Strategic Growth Plans
Feb 10, 2025

Nutritional Growth Solutions announced the appointment of Mr. Guy Khavia as the new Independent Chairman, succeeding Mr. Peter Osborne who is stepping down due to health reasons. Mr. Khavia, with extensive experience in financial and strategic leadership, aims to support the company’s growth strategies and potential strategic transactions, enhancing shareholder value and market positioning.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.