Candy Club Holdings Ltd. (SCP) AI Stock Analysis

• Market Cap: AU$15.77M
• Dividend Yield: N/A
• Average Volume (3M): 32.15K
• Price to Earnings (P/E): 3.8
• Beta (1Y): -0.80
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: AU
• Employees: N/A
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Investment - Banking & Investment Services
• EPS (TTM): >-0.01
• Shares Outstanding: 143,404,600
• 10 Day Avg. Volume: 14,821
• 30 Day Avg. Volume: 32,145
• PEG Ratio: 0.01
• Price to Book (P/B): 0.89
• Price to Sales (P/S): 6.69
• P/FCF Ratio: -156.89
• 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: 69 Neutral
• Price Target: AU$0.12 ▲(20.00% Upside)
• Action: Reiterated Date: 03/24/26
• Date: Action: Reiterated 03/24/26

The score is driven by strong technical uptrend signals and an inexpensive valuation (low P/E). These positives are tempered by financial-quality risks: historically volatile earnings/returns and weaker FY2025 cash conversion with negative free cash flow.

Positive Factors

Strong revenue growth and high net margins

A 47.3% top-line lift combined with a 55.6% net margin indicates durable demand and strong unit economics. Such high margins provide pricing flexibility and buffer against cost shocks, supporting sustained profitability and reinvestment capacity over the medium term.

Very high EBIT/EBITDA margins

Exceptionally strong EBIT/EBITDA margins (73%) reflect operating leverage and a scalable cost base. This structural efficiency supports cash generation potential when revenues hold, enhancing long-term resilience and enabling margin-driven reinvestment or deleveraging.

Moderate leverage with solid ROE

A moderate D/E of 0.55 alongside a 14.2% ROE suggests prudent use of leverage to enhance returns without extreme balance-sheet risk. This capital structure grants room to fund growth or absorb shocks while preserving equity returns over coming quarters.

Negative Factors

Negative free cash flow and sharp deterioration

A strongly negative FCF and a -121.8% deterioration signal cash conversion problems despite accounting profits. Over months, sustained negative FCF forces reliance on external funding or asset sales, threatening investment plans and margin sustainability if unaddressed.

Thin operating cash coverage

Operating cash covers net income by just ~1.11x, leaving limited buffer for capex, debt service or working capital swings. This narrow coverage increases liquidity risk during revenue or margin variability and constrains strategic flexibility over the medium term.

Historical net income fluctuations

Documented past volatility in net income reduces predictability of earnings and undermines the reliability of current high margins. If earnings reversion occurs, leverage and cash profile could deteriorate quickly, making medium-term planning and financing harder.

Candy Club Holdings Ltd. Business Overview & Revenue Model

Company Description

Scalare Partners is a dynamic force in the tech start-up landscape, empowering visionary technology founders to transform their ideas into successful businesses. They offer hands-on guidance and support through scale-up services, expert advice, and tailored investments. Beyond traditional roles, Scalare actively engages in the broader technology ecosystem, driving change through initiatives like the Australian Technology Competition and the "Be the Change" program, fostering a thriving international tech community.

Candy Club Holdings Ltd. Financial Statement Overview

Summary

FY2025 shows a sharp rebound with strong revenue growth and very high reported net margin, and leverage appears manageable. Offsetting this, earnings and ROE have been highly volatile across years, and cash generation weakened with negative free cash flow in FY2025, raising durability and cash-conversion concerns.

Income Statement

Revenue growth re-accelerated in FY2025 (+47% vs. low-single-digit growth in FY2024), and profitability in FY2025 looks exceptionally strong (net margin ~56% vs. ~5% in FY2024). However, earnings have been highly volatile over the cycle (large loss in FY2023, unusually high profits in FY2021–FY2022), suggesting results may be influenced by non-recurring items or fair-value swings typical in financial services.

Balance Sheet

Leverage appears manageable for the sector, with debt-to-equity around ~0.55 in FY2025 (broadly stable vs. recent years). Equity has remained substantial relative to assets, providing balance-sheet support. The main weakness is consistency of returns: return on equity has swung from strong (FY2021–FY2022) to weak/negative (FY2023–FY2024) before improving in FY2025, indicating variable underlying profitability.

Cash Flow

Operating cash flow has been positive and fairly steady (roughly 145–183m across FY2020–FY2025), but cash conversion deteriorated in FY2025: free cash flow turned negative (-16.3m) and fell sharply versus FY2024. While operating cash flow covered net income in FY2025 (about 1.11x), the negative free cash flow points to weaker near-term financial flexibility and potential working-capital or investment-related cash demands.

Breakdown	TTM	Jun 2025	Dec 2024	Dec 2023	Jun 2023	Dec 2021
Income Statement
Total Revenue	389.80M	382.00M	372.10M	363.70M	311.80M	329.70M
Gross Profit	259.90M	244.70M	231.80M	235.70M	194.40M	229.60M
EBITDA	222.90M	278.90M	241.40M	240.60M	175.10M	146.20M
Net Income	310.70M	212.50M	17.30M	-123.60M	487.10M	462.90M
Balance Sheet
Total Assets	4.76B	4.59B	4.55B	4.62B	4.70B	4.21B
Cash, Cash Equivalents and Short-Term Investments	24.60M	8.50M	19.40M	31.90M	8.70M	11.60M
Total Debt	1.63B	1.57B	1.58B	1.52B	1.38B	1.34B
Total Liabilities	1.81B	1.73B	1.74B	1.69B	1.56B	1.48B
Stockholders Equity	2.95B	2.86B	2.81B	2.93B	3.13B	2.72B
Cash Flow
Free Cash Flow	4.00M	-16.30M	182.80M	176.80M	179.40M	145.00M
Operating Cash Flow	164.20M	154.40M	182.80M	176.80M	179.40M	145.00M
Investing Cash Flow	-45.50M	10.60M	-90.60M	-207.20M	-129.80M	-324.90M
Financing Cash Flow	-123.80M	-175.90M	-96.60M	45.50M	-52.50M	187.70M

Candy Club Holdings Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.10
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:SCP, the sentiment is Positive. The current price of 0.1 is above the 20-day moving average (MA) of 0.10, above the 50-day MA of 0.09, and below the 200-day MA of 0.11, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 65.73 is Neutral, neither overbought nor oversold. The STOCH value of 100.00 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:SCP.

Candy Club Holdings Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SCP	69 Neutral	AU$15.77M	3.79	10.68%	―	―	―
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
SKN	45 Neutral	AU$12.00M	-0.26	2542.90%	―	12.92%	34.21%
OMG	44 Neutral	AU$7.57M	-4.69	-35.12%	―	63.30%	70.00%

Candy Club Holdings Ltd. Corporate Events

Scalare Partners Director Increases Indirect Shareholding via On‑Market Trades

Scalare Partners Holdings Limited has disclosed a change in the relevant interests of director James David Walker, reflecting his indirect holdings through entities Burrill Skies Pty Ltd and Kirri Cove Pty Ltd. Walker’s interest arises from his roles as director and 50% shareholder in these entities, as well as a beneficiary of the Burrill Skies Trust.

According to the notice, Burrill Skies Pty Ltd acquired a total of 68,556 fully paid ordinary shares in two on-market trades on 6 and 12 March 2026 at a price of $0.08 per share. Following these transactions, Walker’s indirect holdings via Burrill Skies increased to 11,524,241 fully paid ordinary shares and 112,500 options, while his indirect holding through Kirri Cove Pty Ltd remains at 171,163 fully paid ordinary shares, with no disposals or contract-related interest changes reported.

The most recent analyst rating on (AU:SCP) stock is a Hold with a A$0.11 price target. To see the full list of analyst forecasts on Candy Club Holdings Ltd. stock, see the AU:SCP Stock Forecast page.

Scalare Director Lifts Direct Stake with On-Market Share Purchase

Scalare Partners Holdings director Giles Bourne has increased his direct holding in the company through an on-market purchase of 121,075 fully paid ordinary shares at $0.08 per share. Following the transaction, his direct interest via GBJR Super Fund Pty Limited rose to 494,075 shares, while his substantial indirect holding via Chalke Valley Pty Ltd remained unchanged at 11,479,067 shares.

The move consolidates Bourne’s overall equity exposure to Scalare Partners without altering his existing indirect position, signaling continued confidence in the company’s prospects. The purchase, disclosed under ASX listing rules, provides investors with greater visibility into board-level alignment with shareholder interests through increased personal capital at risk.

The most recent analyst rating on (AU:SCP) stock is a Hold with a A$0.07 price target. To see the full list of analyst forecasts on Candy Club Holdings Ltd. stock, see the AU:SCP Stock Forecast page.

Scalare Director Adelle Howse Lifts Stake With On-Market Share Purchase

Scalare Partners Holdings director Adelle Howse has increased her direct equity stake in the company through an on-market purchase. She acquired 32,225 fully paid ordinary shares at $0.08 per share on 3 March 2026, lifting her holding to 2,433,146 shares alongside existing options and performance rights.

The transaction, disclosed under ASX listing rules, signals a modest vote of confidence in Scalare Partners by a member of its board. While the purchase is relatively small in value, incremental director buying can be read by investors as a positive indicator of management’s outlook and continued alignment with shareholder interests.

The most recent analyst rating on (AU:SCP) stock is a Hold with a A$0.07 price target. To see the full list of analyst forecasts on Candy Club Holdings Ltd. stock, see the AU:SCP Stock Forecast page.

Candy Club scales unified founder platform as revenue surges in H1 FY26

Candy Club Holdings, via Scalare Partners, has built a scaled and integrated founder platform that supported more than 956 founders over the past 12 months through programs, memberships and commercial services. Following three strategic acquisitions – Inhouse Ventures, Tank Stream Labs and Planet Startup – the group has transitioned from discrete assets to a single ecosystem anchored by its new Founders Union platform.

For the first half of FY26, the company reported total revenue of $7.1 million, up 360 per cent on the prior corresponding period, and a portfolio value of $11.9 million, with net assets rising 35 per cent to $18.2 million. Management highlights a unified brand and operating model, tighter financial governance and expanded leadership as foundations for operating leverage and margin expansion, signalling a push to scale the platform and deepen its role in the founder and innovation landscape.

The most recent analyst rating on (AU:SCP) stock is a Hold with a A$0.07 price target. To see the full list of analyst forecasts on Candy Club Holdings Ltd. stock, see the AU:SCP Stock Forecast page.

Scalare Partners’ Acquisitions and Ecosystem Strategy Drive 360% Revenue Surge and Positive Cash Flow

Scalare Partners reported a sharp uplift in first-half FY26 performance, with revenue surging 360% year-on-year to $7.13 million as recent acquisitions and an integrated founder ecosystem strategy took hold. The company posted its first positive operating cash flow of $632,000 and narrowed its net loss to $371,000, underpinned by $1.65 million in annualised revenue synergies and disciplined cost control.

The integration of coworking provider Tank Stream Labs and CFO services firm Planet Startup has materially expanded Scalare’s recurring revenue base and cross-sell potential, while new Sydney campuses at Martin Place and 333 Kent Street deepen its national infrastructure. The launch of The Founders Union and a record response to the Australian Technologies Competition further strengthen deal flow and ecosystem reach, positioning Scalare as a growing hub for investment-ready ventures and enhancing long-term value prospects for its stakeholder base.

The most recent analyst rating on (AU:SCP) stock is a Hold with a A$0.07 price target. To see the full list of analyst forecasts on Candy Club Holdings Ltd. stock, see the AU:SCP Stock Forecast page.

Scalare Partners Lifts Revenue but Stays in the Red Amid Acquisition-Driven Losses

Scalare Partners Holdings Limited reported a sharp 369.7% rise in revenue to $5.49 million for the half year to 31 December 2025, but remained loss-making with a net loss attributable to owners of $371,319, although basic earnings per share improved to a smaller loss of 0.30 cents from 1.67 cents. Net tangible assets per share fell significantly to 4.50 cents from 14.84 cents, no dividends were declared, and the company’s auditors flagged a material uncertainty regarding its ability to continue as a going concern.

During the period Scalare gained control of Tank Stream Labs Pty Ltd and Planet Startup Pty Ltd, whose combined contribution was a $920,728 loss before tax, highlighting the earnings drag from newly consolidated entities even as they may support longer-term strategic growth. The absence of a dividend reinvestment plan and the going-concern uncertainty underscore ongoing balance sheet and profitability pressures for shareholders while the group integrates these acquisitions and seeks to translate higher revenues into sustainable profits.

The most recent analyst rating on (AU:SCP) stock is a Hold with a A$0.07 price target. To see the full list of analyst forecasts on Candy Club Holdings Ltd. stock, see the AU:SCP Stock Forecast page.

Scalare Partners sets date for 1H FY26 results and investor webinar

Scalare Partners Holdings Ltd., an ASX-listed technology accelerator, supports early-stage technology companies with tailored products, services, advisory support and selective direct investment. It focuses on the Australian and U.S. technology sectors while building a geographically diverse portfolio across multiple regions and actively backs initiatives that promote female and culturally diverse founders.

The company will release its half-year results for the period to 31 December 2025 on 27 February 2026 and host an investor and analyst webinar on 3 March 2026, led by its CEO and an executive director. The upcoming briefing is expected to provide stakeholders with an update on operational and investment performance, reinforcing Scalare Partners’ positioning within the tech startup ecosystem and its strategic focus on inclusive, early-stage growth.

The most recent analyst rating on (AU:SCP) stock is a Hold with a A$0.08 price target. To see the full list of analyst forecasts on Candy Club Holdings Ltd. stock, see the AU:SCP Stock Forecast page.

Scalare Partners Surges on Q2 Revenue Jump and Ecosystem Integration Gains

Scalare Partners reported a sharp acceleration in growth for the December 2025 quarter, with quarterly cash receipts jumping 231% to $4.58 million and operating cash flow swinging to a positive $2.14 million as the first full-quarter contributions from Tank Stream Labs and Planet Startup flowed through. The company highlighted rising revenue synergies across the group, the expansion of Tank Stream Labs’ Sydney footprint and the successful launch of The Founders Union as key drivers of its expanding, integrated ecosystem, which management says is improving scale efficiencies, strengthening recurring revenue and cash generation, and creating a more robust, lower-risk deal pipeline for technology investments, despite a modest cash balance of $867,000 at quarter end.

The most recent analyst rating on (AU:SCP) stock is a Hold with a A$0.10 price target. To see the full list of analyst forecasts on Candy Club Holdings Ltd. stock, see the AU:SCP Stock Forecast page.