Reach Resources Limited (AU:RR1)
ASX:RR1
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Reach Resources Limited
(Sydney:RR1)
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Rating:45Neutral
Price Target:
AU$0.01
â–²(0.00% Upside)
Action:ReiteratedDate:03/06/26
The score is held down primarily by weak and inconsistent financial performance—especially recurring losses and persistently negative operating/free cash flow—despite a low-debt, improved equity balance sheet. Technicals are mixed with subdued momentum, and valuation is challenged by a negative P/E and no dividend yield data.
Positive Factors
Conservative balance sheet
Zero reported debt and a materially stronger equity base provide durable financial flexibility for a junior explorer. This reduces solvency risk, makes the company a more credible JV/farm‑out partner, and supports continued funding of exploration programs over the next several months without immediate debt servicing pressure.
Negative Factors
Persistent negative cash flow
Consistent operating and free cash‑flow deficits indicate the company cannot self‑fund its activities and must repeatedly raise capital or secure partner funding. Over 2–6 months this increases dilution risk, constrains sustaining exploration programs, and heightens execution uncertainty if funding windows narrow.
Read all positive and negative factors
Positive Factors
Negative Factors
Conservative balance sheet
Zero reported debt and a materially stronger equity base provide durable financial flexibility for a junior explorer. This reduces solvency risk, makes the company a more credible JV/farm‑out partner, and supports continued funding of exploration programs over the next several months without immediate debt servicing pressure.
Read all positive factors
Reach Resources Limited (RR1) vs. iShares MSCI Australia ETF (EWA)
Market Cap
AU$12.24M
Dividend YieldN/A
Average Volume (3M)2.77M
Price to Earnings (P/E)―
Beta (1Y)1.16
Revenue GrowthN/A
EPS Growth-135.48%
CountryAU
EmployeesN/A
SectorBasic Materials
Sector Strength58
IndustryGold
Share Statistics
EPS (TTM)0.00
Shares Outstanding1,224,203,900
10 Day Avg. Volume2,774,501
30 Day Avg. Volume2,767,016
Financial Highlights & Ratios
PEG Ratio0.05
Price to Book (P/B)0.50
Price to Sales (P/S)0.00
P/FCF Ratio-2.55
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
Reach Resources Limited Business Overview & Revenue Model
Company Description
Reach Resources Limited engages in the exploration and evaluation of mineral resource projects in Australia. The company primarily explores for gold, as well as for nickel, cobalt, copper, and base metals. It holds interests in the Primrose gold p...
How the Company Makes Money
RR1’s primary economic model is typical of a junior exploration company: it seeks to create value by acquiring, exploring, and advancing mineral exploration assets, with potential monetisation through (i) selling exploration/project interests, (ii...
Reach Resources Limited Financial Statement Overview
Summary
Income Statement
22
Negative
Balance Sheet
66
Positive
Cash Flow
18
Very Negative
| Breakdown | Jun 2025 | Jun 2024 | Jun 2023 | Jun 2022 | Jun 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 0.00 | 3.20M | 0.00 | 100.00K | 29.65K |
| Gross Profit | -11.98K | 3.20M | 0.00 | 100.00K | 29.65K |
| EBITDA | -1.15M | 1.92M | -943.87K | -451.49K | -323.00K |
| Net Income | -950.30K | 1.94M | -2.66M | -451.00K | -343.00K |
Balance Sheet | |||||
| Total Assets | 14.23M | 15.02M | 6.55M | 6.08M | 3.95M |
| Cash, Cash Equivalents and Short-Term Investments | 3.27M | 6.01M | 1.23M | 1.13M | 2.04M |
| Total Debt | 0.00 | 0.00 | 450.00K | 450.00K | 450.00K |
| Total Liabilities | 249.15K | 338.86K | 524.55K | 555.45K | 489.65K |
| Stockholders Equity | 13.98M | 14.69M | 6.03M | 5.53M | 3.46M |
Cash Flow | |||||
| Free Cash Flow | -2.74M | -4.77M | -1.61M | -1.34M | -934.79K |
| Operating Cash Flow | -786.07K | -950.79K | -867.37K | -489.48K | -728.89K |
| Investing Cash Flow | -1.95M | -617.16K | -881.34K | -2.62M | 154.43K |
| Financing Cash Flow | -4.17K | 6.35M | 1.84M | 2.21M | 2.46M |
Reach Resources Limited Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
61 Neutral | $10.43B | 7.12 | -0.05% | 2.87% | 2.86% | -36.73% | |
45 Neutral | AU$12.24M | -4.07 | -7.09% | ― | ― | -135.48% | |
45 Neutral | AU$8.49M | -0.53 | -396.83% | ― | ― | -38.78% | |
44 Neutral | AU$29.11M | -1.54 | -46.73% | ― | ― | -55.56% | |
42 Neutral | AU$30.90M | -1.84 | -96.19% | ― | ― | -83.33% |
* Basic Materials Sector Average
AU:RR1
Reach Resources Limited
0.01
0.00
0.00%
AU:VKA
Viking Mines Limited
0.01
<0.01
20.00%
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First AU Ltd.
0.01
0.00
0.00%
AU:KTA
Krakatoa Resources Ltd.
0.01
0.00
0.00%
Reach Resources Limited Corporate Events
Reach Resources lifts Blue Heaven gold resource 30% after strong quarter at Murchison South
Apr 30, 2026
Reach Resources reported a strong March quarter marked by exploration and resource growth at its Murchison South Gold Project, including the grant of a second mining lease that consolidates key deposits along the Primrose Fault. High-grade drillin...
Reach Resources Director Increases Indirect Shareholding via Rights Take-Up
Apr 28, 2026
Reach Resources Limited has reported a change in the indirect holdings of director Robert Downey, reflecting additional investment by his spouse, Stella Emily Downey. The disclosure highlights the company’s ongoing equity activity and the di...
Reach Resources Raises $825,855 in Rights Issue to Advance Murchison South Gold Project
Apr 28, 2026
Reach Resources Limited has raised approximately $825,855 before costs via a non-renounceable rights issue, offering eligible shareholders two new shares for every five held at $0.009 per share. Directors and the CEO fully subscribed to their enti...
Reach Resources Director Sees 600,000 Performance Rights Expire at No Value
Apr 20, 2026
Reach Resources Limited has disclosed a change in director Robert Downey’s indirect interests following the expiry of certain performance-based securities held via his spouse, Stella Emily Downey. A total of 600,000 non-executive director pe...
Reach Resources Simplifies Capital Structure as Options and Rights Expire
Apr 19, 2026
Reach Resources Limited has confirmed the expiry of 2 million listed options and the lapse of 3.4 million performance rights, all of which ceased on 17 April 2026. The options expired unexercised and the performance rights lapsed because their ves...
Major Shareholder Exits Substantial Holding in Reach Resources
Apr 16, 2026
Reach Resources Limited has disclosed that investor Peter Andrew Nelson has ceased to be a substantial shareholder in the company, following an on-market transaction dated 13 April 2026. The change was formalised in a statutory notice lodged under...
Reach Resources launches rights issue to fund exploration and growth
Apr 7, 2026
Reach Resources Limited has launched a pro‑rata non‑renounceable entitlement offer of two new shares for every five held by eligible shareholders, priced at $0.009 per share to raise up to approximately $3.15 million. The offer is open...
Reach Resources Launches Rights Issue to Fund Exploration and Growth
Apr 7, 2026
Reach Resources Limited has launched a pro-rata non-renounceable rights issue, offering two new shares for every five held at $0.009 per share to raise up to $3.15 million. The offer, detailed in a prospectus lodged with regulators on 25 March 202...
Reach Resources Opens $3.15m Entitlement Offer to Existing Shareholders
Apr 7, 2026
Reach Resources Limited has launched a pro-rata non-renounceable entitlement offer to existing shareholders in Australia, New Zealand and Singapore. The offer provides two new fully paid ordinary shares for every five shares held on the 31 March 2...
Reach Resources Notes Non-Binding de-SPAC Proposal Involving REEcycle Stake
Apr 1, 2026
Reach Resources Limited has disclosed that it holds approximately 4.9% of REEcycle Holdings Inc, which has entered into a non-binding letter of intent with Hall Chadwick Acquisition Corp for a proposed de-SPAC business combination. Reach emphasise...
Reach Resources Launches $3.15m Entitlement Offer to Fund Murchison Gold Push
Mar 25, 2026
Reach Resources Limited has launched a non-renounceable pro-rata entitlement offer to raise up to approximately $3.15 million, issuing two new shares for every five held at $0.009 per share to eligible shareholders in Australia, New Zealand and Si...
Reach Resources plans major pro rata share issue to expand equity base
Mar 25, 2026
Reach Resources Limited has announced a proposed non-renounceable pro rata issue of up to 349,772,540 new fully paid ordinary shares. The offer, structured as a standard entitlement issue to existing shareholders, is scheduled around a record date...
Reach Resources launches $3.15 million entitlement offer under highly speculative prospectus
Mar 25, 2026
Reach Resources Limited has released a transaction-specific prospectus detailing a pro-rata non-renounceable entitlement offer of two new shares for every five held at an issue price of $0.009, aiming to raise up to $3.15 million based on its curr...
Reach Resources releases interim half-year financial report
Mar 11, 2026
Reach Resources Ltd has released its interim financial report for the half-year ended 31 December 2025, covering the parent company and its controlled entities. The report includes the directors’ report, consolidated profit or loss and compr...
Reach Resources flags high‑grade rock chips and expansion potential at Murchison South
Mar 10, 2026
Reach Resources has reported high‑grade rock chip assay results from an exploratory sampling program at its Murchison South Gold Project in Western Australia, including grades up to 31 grams per tonne gold outside the current mineral resourc...
Reach Resources drills high-grade extensions at Murchison South gold project
Mar 4, 2026
Reach Resources has reported strong assay results from a 48-hole reverse circulation drilling campaign at its Blue Heaven deposit within the Murchison South Gold Project in Western Australia. The program, completed in December 2025, targeted both ...
Reach Resources Metallurgy Boosts Toll Milling Case for Murchison South Gold
Feb 9, 2026
Reach Resources has reported strong initial metallurgical testwork from its Murchison South Gold Project, showing the ore is free-milling, relatively soft and amenable to conventional gravity and cyanide leach processing with high gold recoveries ...
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.