Rubicon Water Limited (RWL) AI Stock Analysis

• Market Cap: AU$42.14M
• Dividend Yield: N/A
• Average Volume (3M): 103.37K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.24
• Revenue Growth: 18.27%
• EPS Growth: 53.69%
• Country: AU
• Employees: 300
• Sector: Utilities
• Sector Strength: 65
• Industry: Regulated Water
• EPS (TTM): -0.03
• Shares Outstanding: 240,795,100
• 10 Day Avg. Volume: 161,238
• 30 Day Avg. Volume: 103,367
• PEG Ratio: 0.11
• Price to Book (P/B): 0.61
• Price to Sales (P/S): 0.57
• P/FCF Ratio: 8.42
• 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): >-0.01
• Revenue Forecast (FY): AU$82.30M

• Rating: 46 Neutral
• Price Target: AU$0.17 ▲(22.86% Upside)
• Action: Reiterated Date: 01/06/26
• Date: Action: Reiterated 01/06/26

The score is primarily constrained by weak financial performance, especially ongoing losses (negative margins/ROE) despite strong revenue growth and some cash flow improvement. Technicals are modestly supportive in the near term (above key short/mid-term averages, RSI ~61) but are mixed overall (negative MACD, below 200-day). Valuation is also a headwind due to the negative P/E reflecting unprofitable operations.

Positive Factors

Revenue Growth

Sustained ~21% revenue growth reflects growing adoption of Rubicon's irrigation and water-management solutions. Over 2–6 months this supports larger project pipelines and recurring services, enabling scale benefits and greater leverage of fixed costs to improve long-term profitability potential.

Improved Leverage

An improving debt-to-equity trend signals better capital structure discipline and reduced leverage risk. Stronger balance sheet flexibility supports funding of project deployments, R&D or selective M&A and lowers interest drag, enhancing resilience across multiple quarters.

Free Cash Flow Growth

Material free cash flow growth despite accounting losses suggests the business can generate cash from operations and project delivery. That cash capacity can fund working capital, sustain product deployment and modest investment without immediate external financing over the medium term.

Negative Factors

Negative Profitability

Persistent negative EBIT and net margins show core operations are not yet profitable, limiting retained earnings and ability to self-fund growth. Without margin recovery, structural losses can erode equity and restrict long-term investment in product development and commercial expansion.

Weak OCF Conversion

Low conversion of net income into operating cash highlights working-capital or collection inefficiencies and reduces free cash reliability. Over several quarters this can strain liquidity for project execution and elevate the need for external financing or tighter receivables management.

Negative Return on Equity

A negative ROE indicates shareholders' capital is not generating positive returns, weakening investor support for long-term capital raises. Continued negative ROE can limit strategic options and increase scrutiny on management's ability to deliver sustainable profitability.

Rubicon Water Limited Business Overview & Revenue Model

Company Description

Rubicon Water Limited designs, manufactures, installs, and maintains irrigation automation software and hardware in Australia, New Zealand, Asia, and internationally. The company offers network control solutions, such as total channel control, low energy pipeline, site management, and water and energy efficiency solutions; flow, water level, and climate measurement solutions; and operations software solutions. It also provides surface irrigation, irrigation automation, and precise irrigation scheduling solutions. The company was founded in 1995 and is headquartered in Hawthorn East, Australia.

How the Company Makes Money

Rubicon Water generates revenue primarily through the sale and subscription of its technology solutions. Key revenue streams include the sale of hardware systems, software licenses, and ongoing subscription fees for its data analytics services. The company may also earn income from consulting services related to water management optimization. Additionally, strategic partnerships with agricultural organizations and government agencies can lead to collaborative projects, further contributing to RWL's income by providing tailored solutions that meet specific market needs.

Rubicon Water Limited Financial Statement Overview

Summary

Revenue growth is strong (20.99%), but profitability is a key weakness with negative net profit and EBIT margins. Balance sheet leverage has improved, yet return on equity remains negative. Cash flow shows improvement (free cash flow growth) but weak operating cash flow conversion versus net income signals operational inefficiency.

Income Statement

Rubicon Water Limited has shown a mixed performance in its income statement. The company experienced a significant revenue growth rate of 20.99% in the most recent year, indicating a positive trajectory. However, profitability remains a concern with negative net profit margins and EBIT margins, reflecting ongoing operational challenges. The gross profit margin is relatively stable but not sufficient to offset the negative net income.

Balance Sheet

The balance sheet of Rubicon Water Limited shows moderate stability. The debt-to-equity ratio has improved over the years, indicating better leverage management. However, the return on equity remains negative, highlighting profitability issues. The equity ratio is reasonable, suggesting a solid asset base relative to equity.

Cash Flow

Cash flow analysis reveals some improvements but also significant challenges. The company has achieved a substantial free cash flow growth rate, but the operating cash flow to net income ratio is low, indicating inefficiencies in converting income into cash. The free cash flow to net income ratio is relatively high, suggesting that the company is managing to generate cash despite net losses.

Breakdown	TTM	Jun 2025	Jun 2024	Jun 2023	Jun 2022	Jun 2021
Income Statement
Total Revenue	66.07M	69.07M	58.40M	55.22M	65.29M	81.53M
Gross Profit	12.80M	28.48M	23.46M	-2.00M	27.06M	14.38M
EBITDA	-11.25M	-6.82M	-6.45M	-7.99M	2.28M	10.55M
Net Income	-11.71M	-6.79M	-10.71M	-10.93M	-438.00K	8.32M
Balance Sheet
Total Assets	101.17M	103.94M	106.40M	111.58M	125.81M	106.95M
Cash, Cash Equivalents and Short-Term Investments	2.76M	5.51M	1.69M	8.49M	11.23M	9.03M
Total Debt	26.14M	23.13M	37.13M	30.69M	29.50M	32.69M
Total Liabilities	44.07M	39.98M	51.54M	45.78M	49.66M	57.80M
Stockholders Equity	57.66M	64.42M	55.13M	65.75M	75.86M	48.53M
Cash Flow
Free Cash Flow	-540.00K	4.70M	-9.13M	-3.92M	-20.48M	-12.06M
Operating Cash Flow	333.00K	5.45M	-6.95M	-1.36M	-16.81M	-10.45M
Investing Cash Flow	-2.92M	-2.44M	-2.10M	-2.60M	-3.38M	-2.87M
Financing Cash Flow	-1.66M	1.04M	1.28M	1.09M	26.18M	-4.20M

Rubicon Water Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.14
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:RWL, the sentiment is Negative. The current price of 0.14 is below the 20-day moving average (MA) of 0.18, below the 50-day MA of 0.18, and below the 200-day MA of 0.18, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 50.14 is Neutral, neither overbought nor oversold. The STOCH value of 20.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:RWL.

Rubicon Water Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	66 Neutral	$17.65B	18.10	5.60%	3.62%	6.62%	11.55%
WAT	58 Neutral	AU$175.79M	6.61	7.04%	2.95%	4.52%	-31.16%
EGL	54 Neutral	AU$83.71M	-82.07	10.86%	―	13.51%	5.08%
LPE	50 Neutral	AU$18.26M	3.47	-38.32%	―	2.69%	-273.87%
RWL	46 Neutral	AU$42.14M	-1.39	-11.36%	―	18.27%	53.69%
CCE	44 Neutral	AU$22.43M	-3.24	-11.34%	―	-8.52%	13.51%
DEL	43 Neutral	AU$23.13M	-4.53	-129.44%	―	-29.97%	-284.16%

Rubicon Water Limited Corporate Events

Rubicon Water Limits Access to H1 FY26 Results Presentation

Rubicon Water Limited has released a presentation covering its H1 FY26 results, framed primarily as a confidential, background information document for professional or sophisticated investors. The company stresses that the material is not a prospectus, may change without notice and should not be relied upon as the sole basis for investment decisions.

The release is dominated by legal and confidentiality disclaimers, highlighting that no warranty is given as to the accuracy or completeness of the information and that liability is broadly disclaimed. Access is tightly restricted to wholesale or equivalent investors under Australian law or compliant foreign recipients, underscoring the controlled distribution of its financial and operational disclosures.

The most recent analyst rating on (AU:RWL) stock is a Hold with a A$0.18 price target. To see the full list of analyst forecasts on Rubicon Water Limited stock, see the AU:RWL Stock Forecast page.

Rubicon Water Deepens Half-Year Loss as ANZ Sales Slide and FX Turns Adverse

Rubicon Water Limited reported a 9.4% decline in half-year revenue to $29.0 million for the period ended 31 December 2025, with weakness concentrated in the Australia and New Zealand segment due to lower hardware and spare parts sales. Revenue in the Rest of World segment was stable as stronger European activity offset U.S. project delays, and the company signalled expectations of a recovery in Asia in the second half on the back of increased project work.

Underlying EBITDA swung further into loss territory at $5.9 million, down by $4.2 million year on year, while the statutory EBITDA loss widened to $6.2 million and net loss after tax more than quadrupled to $6.4 million, pressured by lower revenue, higher depreciation, and adverse foreign exchange movements. Net tangible assets per share fell to $0.21 from $0.27, and the board again refrained from declaring a dividend, underscoring the earnings pressure and highlighting ongoing challenges in key markets despite management’s expectation of regional recovery ahead.

The most recent analyst rating on (AU:RWL) stock is a Hold with a A$0.18 price target. To see the full list of analyst forecasts on Rubicon Water Limited stock, see the AU:RWL Stock Forecast page.

Rubicon Water to Host Investor Webinar on 1H FY26 Results

Rubicon Water Limited will brief investors on its first-half fiscal 2026 results via a webinar hosted by Chief Executive Officer Bruce Rodgerson and Chief Financial Officer Andrew Bendall. The session, scheduled for 10:30 a.m. AEDT on 27 February 2026, signals continued engagement with the market and offers stakeholders an opportunity to gain insight into the company’s financial performance and strategic direction.

Investors can register online for the Zoom-based event and are invited to submit questions in advance or during the live Q&A, underscoring the company’s focus on transparency and active communication with shareholders. The announcement, authorised by Rubicon’s Disclosure Committee, highlights the company’s ongoing efforts to maintain visibility with the investment community around key reporting milestones.

The most recent analyst rating on (AU:RWL) stock is a Hold with a A$0.18 price target. To see the full list of analyst forecasts on Rubicon Water Limited stock, see the AU:RWL Stock Forecast page.