Star Combo Pharma Ltd. (S66) AI Stock Analysis

• Market Cap: AU$27.00M
• Dividend Yield: 1.54%
• Average Volume (3M): 6.77K
• Price to Earnings (P/E): 21.2
• Beta (1Y): -0.63
• Revenue Growth: 6.89%
• EPS Growth: 607.27%
• Country: AU
• Employees: N/A
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Household & Personal Products
• EPS (TTM): <0.01
• Shares Outstanding: 135,002,980
• 10 Day Avg. Volume: 4,300
• 30 Day Avg. Volume: 6,768
• PEG Ratio: 0.01
• Price to Book (P/B): 0.63
• Price to Sales (P/S): 0.86
• P/FCF Ratio: 2.08
• 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: 63 Neutral
• Price Target: AU$0.21 ▼(-16.80% Downside)
• Action: Reiterated Date: 03/17/26
• Date: Action: Reiterated 03/17/26

The score is driven primarily by solid financial performance (strong cash generation and low leverage), partially offset by weakening technical momentum (price below key moving averages and negative MACD) and a valuation that appears only fair (P/E ~21 with a modest ~1.9% yield).

Positive Factors

Strong cash generation

The company converted earnings into cash efficiently (OCF/net income 2.04) with FCF growth of 178.51%. Durable cash generation supports reinvestment, R&D, dividend capacity and buffer against cyclical stress, underpinning long-term operational flexibility.

Conservative leverage

A low debt-to-equity ratio (0.10) and healthy equity ratio provide financial resilience. Conservative leverage reduces bankruptcy risk, preserves borrowing capacity for strategic investments, and supports stability through economic cycles over the medium term.

Improving profitability metrics

ROE and margin improvements show better profitability and potential for higher shareholder returns. Sustained gross and net margin gains suggest improved cost control or pricing power, which can drive durable cash flow and support strategic growth investments.

Negative Factors

Revenue contraction

A decline in revenue undermines scale and the ability to spread fixed costs, putting pressure on operating leverage. If sales contraction persists, it can erode margins, limit reinvestment capacity, and challenge sustained cash generation over the next several quarters.

Negative EBIT margin

Negative EBIT despite positive net margins points to core operational losses or reliance on non-operating items. Persistent negative operating profitability risks earnings sustainability and suggests underlying inefficiencies that must be resolved for durable margin stability.

Limited forward visibility (no guidance)

Absence of management guidance and call highlights reduces visibility into near-term strategy and expected performance. Limited forward disclosure makes it harder to assess execution risks, plan capital allocation, and evaluate whether recent improvements are durable.

Star Combo Pharma Ltd. Business Overview & Revenue Model

Company Description

Star Combo Pharma Limited engages in the manufacturing and distribution of health food products and nutritional supplements in Australia and China. The company operates in two segments, Star Combo and Austoyou Retail. It develops, manufactures, markets, and sells natural health supplements and skin care products. The company provides its products through e-commerce platform to Chinese health product consumers; and two retail stores in Sydney. Star Combo Pharma Limited was founded in 2004 and is based in Smithfield, Australia.

How the Company Makes Money

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Star Combo Pharma Ltd. Financial Statement Overview

Summary

Financials are solid overall: cash flow strength (free cash flow growth 178.51% and operating cash flow to net income of 2.04) and a conservative balance sheet (debt-to-equity 0.10) support stability. Offsetting this, revenue declined (-6.34%) and the EBIT margin remains negative, indicating ongoing operating efficiency challenges.

Income Statement

Star Combo Pharma Ltd. has shown a mixed performance in its income statement. The company experienced a decline in revenue growth rate by 6.34% in the latest year, indicating a contraction in sales. However, the gross profit margin improved to 22.55%, reflecting better cost management. The net profit margin also increased significantly to 18.87%, driven by a substantial rise in net income. Despite these improvements, the EBIT margin remains negative, suggesting challenges in operational efficiency.

Balance Sheet

The balance sheet of Star Combo Pharma Ltd. reflects a stable financial position with a low debt-to-equity ratio of 0.10, indicating conservative leverage. The return on equity improved to 13.78%, showcasing enhanced profitability for shareholders. The equity ratio stands at a healthy level, suggesting a strong capital structure. Overall, the balance sheet indicates financial stability with a low risk of financial distress.

Cash Flow

The cash flow statement shows a robust improvement with a free cash flow growth rate of 178.51%, highlighting strong cash generation capabilities. The operating cash flow to net income ratio is 2.04, indicating efficient cash conversion from earnings. The free cash flow to net income ratio is close to 1, suggesting that the company is effectively converting its profits into cash. These metrics reflect a solid cash flow position, supporting future growth and investment opportunities.

Breakdown	TTM	Jun 2025	Jun 2024	Jun 2023	Jun 2022	Jun 2021
Income Statement
Total Revenue	23.84M	27.81M	26.02M	24.70M	22.88M	26.72M
Gross Profit	5.42M	6.27M	5.44M	4.66M	5.61M	4.61M
EBITDA	6.69M	6.64M	2.79M	-2.53M	-126.71K	-6.40M
Net Income	5.39M	5.25M	747.33K	-4.00M	-696.35K	-7.88M
Balance Sheet
Total Assets	46.99M	48.45M	42.82M	42.23M	43.44M	43.32M
Cash, Cash Equivalents and Short-Term Investments	18.18M	18.11M	7.36M	9.49M	10.39M	17.32M
Total Debt	8.29M	3.93M	4.03M	4.19M	4.12M	3.30M
Total Liabilities	8.30M	10.19M	9.30M	8.97M	8.04M	7.13M
Stockholders Equity	38.54M	38.08M	33.32M	33.09M	35.41M	36.19M
Cash Flow
Free Cash Flow	254.05K	11.55M	-1.76M	-851.83K	-7.21M	-6.93M
Operating Cash Flow	602.90K	11.94M	-316.45K	1.88M	87.11K	331.53K
Investing Cash Flow	-1.26M	-9.72M	-136.79K	-3.23M	-3.24M	-7.53M
Financing Cash Flow	-626.09K	-795.12K	-370.93K	-53.44K	-169.08K	-2.08M

Star Combo Pharma Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.25
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:S66, the sentiment is Negative. The current price of 0.25 is above the 20-day moving average (MA) of 0.20, above the 50-day MA of 0.22, and above the 200-day MA of 0.20, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 46.04 is Neutral, neither overbought nor oversold. The STOCH value of 40.08 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:S66.

Star Combo Pharma Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
S66	63 Neutral	AU$27.00M	21.25	14.06%	1.54%	6.89%	607.27%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
LDX	49 Neutral	AU$223.36M	-7.39	-164.12%	―	12.96%	40.81%
NC6	47 Neutral	AU$23.22M	-2.45	-1964.93%	―	-100.00%	2.86%
SKN	45 Neutral	AU$15.00M	-0.26	2542.90%	―	12.92%	34.21%
ZNO	44 Neutral	AU$21.94M	-7.05	-108.90%	―	17.41%	67.94%

Star Combo Pharma Ltd. Corporate Events

Star Combo Pharma Files 2025 Half-Year Appendix 4D Report

Star Combo Pharma Ltd. has released its Appendix 4D half-year report for the six months ended 31 December 2025, covering the group’s financial statements, directors’ report, and auditor reviews. The publication of this statutory report provides investors and stakeholders with updated visibility on the company’s interim financial performance and governance, although detailed operational or earnings information is not disclosed in the brief release excerpt provided.

The most recent analyst rating on (AU:S66) stock is a Buy with a A$0.23 price target. To see the full list of analyst forecasts on Star Combo Pharma Ltd. stock, see the AU:S66 Stock Forecast page.