Sports Entertainment Group Limited (SEG) AI Stock Analysis

• Market Cap: AU$63.20M
• Dividend Yield: 10.34%
• Average Volume (3M): 9.16K
• Price to Earnings (P/E): 5.3
• Beta (1Y): <0.01
• Revenue Growth: -11.83%
• EPS Growth: -318.10%
• Country: AU
• Employees: 55
• Sector: Communication Services
• Sector Strength: 97
• Industry: Broadcasting
• EPS (TTM): 0.01
• Shares Outstanding: 280,874,760
• 10 Day Avg. Volume: 3,293
• 30 Day Avg. Volume: 9,159
• PEG Ratio: -0.02
• Price to Book (P/B): 4.27
• Price to Sales (P/S): 2.85
• P/FCF Ratio: 58.60
• 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: AU$0.52
• Price Target Upside: 108.00% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 55 Neutral
• Price Target: AU$0.23 ▼(-7.60% Downside)
• Action: Reiterated Date: 03/04/26
• Date: Action: Reiterated 03/04/26

The score is held back primarily by weak technicals (price below all major moving averages with soft momentum). Financial performance is mixed but supported by a strong balance sheet and improved profitability, while valuation is helped by the high dividend yield but offset by a negative P/E.

Positive Factors

Strong balance sheet and high ROE

A low debt-to-equity (0.43), 50% equity ratio and 31.19% ROE provide durable financial flexibility. This capital structure supports investment and dividend capacity, helps absorb shocks, and reduces refinancing risk, underpinning strategic options over the next several months.

High gross and improving net margins

A gross margin around 65.6% and an improved net margin of 20.85% indicate structural pricing power and cost control. These margins produce durable earnings that can fund reinvestment or distributions and cushion the business against cyclical revenue swings over a 2–6 month horizon.

Positive free cash flow growth

Positive free cash flow growth (2.09%) signals improving cash generation capability. While conversion remains modest, rising FCF supports debt repayment, selective reinvestment and shareholder returns, enhancing financial resilience and optionality in the medium term.

Negative Factors

Revenue contraction

A 7.21% decline in revenue points to weakening demand or market share loss. Sustained top-line contraction undermines scale economics and limits the company's ability to convert healthy gross margins into growing operating profit without new revenue initiatives or cost restructuring.

Weak profit-to-cash conversion

Operating cash flow covers only 37% of net income and free cash flow is 23% of net income, indicating weak conversion of accounting profits into cash. Persistent low conversion constrains reinvestment, dividend sustainability and debt reduction, increasing sensitivity to working capital swings.

Low EBIT/EBITDA margins

Despite strong gross margins, reported EBIT and EBITDA margins are relatively low, signaling limited operating leverage. Structural pressure on operating efficiency reduces the buffer for overhead and SG&A, making long-term margin sustainability more vulnerable to cost or revenue shocks.

Sports Entertainment Group Limited Business Overview & Revenue Model

Company Description

Sports Entertainment Group Limited engages in sports media content and entertainment business in Australia and New Zealand. It operates in four segments: Media Australia, Media New Zealand, Complementary Services, and Sports Teams. The company operates various radio stations, such as SEN 1116, SEN 1170, SEN 1629, SEN WA, SENQ, SENZ, SENTrack, and SEN Spirit; and publishes AFL Record, a weekly match-day magazine content, as well as Lifestyle1 magazine. It also broadcasts live sports and podcasts; and TV shows, such as The Oval Office, Footy SA & WA, Off The Bench, and Women's Footy. In addition, it operates Perth Wildcats basketball team. The company delivers its brand content stories to national, metropolitan, and regional audiences through various platforms, such as radio, print, television, online, in-stadium, events, and teams. The company was formerly known as Pacific Star Network Limited and changed its name to Sports Entertainment Group Limited in November 2020. Sports Entertainment Group Limited was incorporated in 1987 and is headquartered in Southbank, Australia.

How the Company Makes Money

SEG generates revenue through multiple streams including event ticket sales, sponsorship deals, and media rights. The company earns a significant portion of its income from organizing and promoting live sports events, where ticket sales are a primary revenue source. Additionally, SEG partners with commercial brands to secure sponsorships, providing companies visibility and engagement opportunities in exchange for financial support. Media rights agreements further contribute to revenues, allowing SEG to monetize broadcasting rights for the events it manages. Strategic partnerships with sports leagues and teams, as well as endorsements and representation fees from athletes, also play a crucial role in enhancing the company's earnings.

Sports Entertainment Group Limited Financial Statement Overview

Summary

Mixed fundamentals: profitability improved (net margin 20.85%) and the balance sheet is solid (debt-to-equity 0.43, ROE 31.19%), but revenue contracted (-7.21%) and cash conversion is weaker (operating cash flow to net income 0.37; free cash flow to net income 0.23).

Income Statement

Sports Entertainment Group Limited has shown mixed performance in its income statement. The company experienced a decline in revenue growth rate of -7.21% in the most recent year, indicating a contraction in sales. However, the gross profit margin remains healthy at approximately 65.6%, suggesting efficient cost management. The net profit margin improved significantly to 20.85%, reflecting better profitability. Despite these improvements, the EBIT and EBITDA margins are relatively low, indicating potential challenges in operational efficiency.

Balance Sheet

The balance sheet of Sports Entertainment Group Limited shows a stable financial position. The debt-to-equity ratio has improved to 0.43, indicating a reduction in leverage and a stronger equity base. The return on equity is robust at 31.19%, showcasing effective utilization of shareholder funds. The equity ratio stands at 50.0%, reflecting a balanced capital structure. Overall, the company maintains a solid balance sheet with manageable debt levels.

Cash Flow

The cash flow statement reveals moderate performance. Free cash flow growth is positive at 2.09%, indicating some improvement in cash generation. The operating cash flow to net income ratio is 0.37, suggesting adequate cash flow coverage. However, the free cash flow to net income ratio is lower at 0.23, indicating potential constraints in converting profits into free cash flow. Overall, the cash flow position is stable but could benefit from stronger cash conversion efficiency.

Breakdown	TTM	Jun 2025	Jun 2024	Jun 2023	Jun 2022	Jun 2021
Income Statement
Total Revenue	125.72M	110.24M	107.89M	117.03M	108.09M	70.03M
Gross Profit	76.11M	72.29M	59.97M	66.43M	62.01M	36.97M
EBITDA	14.23M	9.70M	8.97M	9.26M	14.78M	10.94M
Net Income	-2.52M	22.99M	3.12M	-9.29M	3.17M	2.04M
Balance Sheet
Total Assets	156.65M	147.37M	147.16M	148.83M	148.91M	121.51M
Cash, Cash Equivalents and Short-Term Investments	27.79M	18.13M	10.74M	5.92M	12.63M	5.32M
Total Debt	46.81M	31.83M	43.52M	51.28M	48.41M	37.18M
Total Liabilities	81.94M	73.86M	90.95M	99.82M	90.03M	72.83M
Stockholders Equity	75.27M	73.69M	55.70M	49.02M	58.88M	48.69M
Cash Flow
Free Cash Flow	13.90M	5.36M	2.47M	3.46M	1.49M	-3.26M
Operating Cash Flow	17.64M	8.47M	4.26M	8.12M	9.95M	6.58M
Investing Cash Flow	1.68M	12.66M	3.98M	-15.22M	-11.42M	-10.46M
Financing Cash Flow	-4.46M	-16.92M	-3.43M	399.00K	8.95M	1.55M

Sports Entertainment Group Limited Technical Analysis

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

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:SEG, the sentiment is Positive. The current price of 0.25 is below the 20-day moving average (MA) of 0.27, below the 50-day MA of 0.26, and above the 200-day MA of 0.25, indicating a bullish trend. The MACD of <0.01 indicates Positive momentum. The RSI at 53.62 is Neutral, neither overbought nor oversold. The STOCH value of 18.75 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:SEG.

Sports Entertainment Group Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BBL	68 Neutral	AU$165.69M	18.29	15.24%	1.38%	13.97%	21.30%
PPL	62 Neutral	AU$47.96M	7.40	23.87%	―	18.95%	1200.00%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
SEG	55 Neutral	AU$63.20M	5.31	-7.82%	10.34%	-11.83%	-318.10%
MXO	54 Neutral	AU$15.83M	5.09	-1.65%	―	12.07%	98.72%
GTN	51 Neutral	AU$46.71M	-0.35	-2.90%	86.34%	-2.19%	-210.32%

Sports Entertainment Group Limited Corporate Events

Sports Entertainment Group Issues New Tranche of Unquoted Performance Rights

Sports Entertainment Group Limited has issued 166,667 unquoted performance rights under its employee incentive scheme, with an issue date of 26 February 2026. The move underscores the company’s continued reliance on equity-based remuneration to incentivise staff, which may help align employee interests with shareholder value and support the group’s longer-term operational and growth objectives.

While these performance rights will not be quoted on the ASX, their issuance expands the pool of unquoted equity securities on issue. For existing shareholders, this points to a modest potential future dilution, but also signals management’s focus on performance-linked rewards within the competitive sports media and entertainment sector.

The most recent analyst rating on (AU:SEG) stock is a Buy with a A$0.40 price target. To see the full list of analyst forecasts on Sports Entertainment Group Limited stock, see the AU:SEG Stock Forecast page.

Sports Entertainment Group Finalises $39.5m Exit From Perth Wildcats

Sports Entertainment Group Limited has completed the sale of its remaining 30.6% stake in Perth Wildcats Basketball Pty Ltd to MT Arena Capital Investment, finalising a staged divestment that began in August 2024 and has realised a total of $39.5 million across four tranches. The transaction underscores SEG’s ability to generate equity value from its sports assets and marks a strategic exit from team ownership, with the board now reviewing capital management options that could reshape the company’s financial position and resource allocation within its core sports media and events businesses.

The most recent analyst rating on (AU:SEG) stock is a Hold with a A$0.29 price target. To see the full list of analyst forecasts on Sports Entertainment Group Limited stock, see the AU:SEG Stock Forecast page.