SKS Technologies Group Limited (SKS) AI Stock Analysis

• Market Cap: AU$445.06M
• Dividend Yield: 1.55%
• Average Volume (3M): 513.96K
• Price to Earnings (P/E): 31.1
• Beta (1Y): 1.75
• Revenue Growth: 91.96%
• EPS Growth: 109.56%
• Country: AU
• Employees: 739
• Sector: Industrials
• Sector Strength: 72
• Industry: Electrical Equipment & Parts
• EPS (TTM): 0.07
• Shares Outstanding: 114,705,940
• 10 Day Avg. Volume: 499,932
• 30 Day Avg. Volume: 513,959
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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$2.96
• Price Target Upside: -23.71% Downside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 3

• Rating: 73 Outperform
• Price Target: AU$3.50 ▼(-9.79% Downside)

SKS Technologies Group Limited's strong financial performance and positive technical indicators are the primary drivers of its stock score. The company's robust revenue growth, improved profitability, and solid cash flow management position it well for future growth. However, the moderate valuation and low dividend yield slightly temper the overall score.

Positive Factors

Revenue Growth

Significant revenue growth indicates robust market demand and effective sales strategies, supporting long-term business expansion and market positioning.

Cash Flow Generation

Strong cash flow generation enhances financial flexibility, enabling reinvestment in growth opportunities and providing a buffer against economic downturns.

Profit Margin Improvement

Improved profit margins suggest effective cost management and pricing strategies, contributing to sustainable profitability and competitive advantage.

Negative Factors

Moderate Equity Ratio

A moderate equity ratio may limit financial flexibility and increase vulnerability to financial stress, potentially impacting long-term growth.

Leverage Concerns

While leverage is reduced, maintaining a balanced capital structure is crucial to avoid over-reliance on debt, which can strain future cash flows.

Dividend Yield

A low dividend yield may deter income-focused investors, potentially limiting the investor base and affecting stock attractiveness in income-driven markets.

SKS Technologies Group Limited Business Overview & Revenue Model

Company Description

SKS Technologies Group Limited (SKS) is a leading provider of technology and communication solutions, primarily serving the Australian market. The company operates in sectors such as audio-visual, data and communications, and electrical services. SKS focuses on delivering comprehensive solutions that include design, installation, and maintenance of technology systems tailored to meet the unique needs of its diverse clientele.

How the Company Makes Money

SKS Technologies Group Limited generates revenue through a combination of project-based contracts and recurring service agreements. The company's key revenue streams include the sale and installation of technology systems, ongoing maintenance and support services, and consultancy fees for bespoke technology solutions. SKS leverages strategic partnerships with technology providers and manufacturers to enhance their service offerings and ensure competitive pricing, which in turn contributes to their profitability.

SKS Technologies Group Limited Financial Statement Overview

Summary

SKS Technologies Group Limited exhibits strong financial performance with significant revenue growth, improved profit margins, and robust cash flow generation. The balance sheet shows reduced leverage and strong returns on equity, indicating a solid financial position.

Income Statement

SKS Technologies Group Limited has demonstrated strong revenue growth with a 31.76% increase in the latest period, indicating robust expansion. The gross profit margin improved to 52.85%, showcasing efficient cost management. Net profit margin also increased to 5.26%, reflecting enhanced profitability. EBIT and EBITDA margins have strengthened, indicating improved operational efficiency. Overall, the income statement reflects a positive growth trajectory and profitability.

Balance Sheet

The company has improved its financial stability with a reduced debt-to-equity ratio of 0.34, indicating lower leverage. Return on equity is strong at 56.57%, suggesting effective use of equity capital. However, the equity ratio is moderate, reflecting a balanced capital structure. The balance sheet shows a solid financial position with reduced risk from debt.

Cash Flow

SKS Technologies has shown significant improvement in cash flow, with a 55.32% growth in free cash flow, indicating strong cash generation capabilities. The operating cash flow to net income ratio is 0.44, suggesting efficient cash conversion. The free cash flow to net income ratio is high at 0.93, reflecting strong cash flow relative to earnings. Overall, the cash flow statement indicates robust cash management and growth.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	261.65M	261.66M	136.31M	83.27M	67.29M	35.60M
Gross Profit	74.54M	138.28M	63.96M	3.19M	29.11M	13.35M
EBITDA	23.72M	23.66M	7.81M	2.32M	3.26M	1.93M
Net Income	13.88M	13.77M	6.63M	752.78K	3.02M	2.17M
Balance Sheet
Total Assets	110.37M	110.37M	59.74M	28.77M	30.58M	16.64M
Cash, Cash Equivalents and Short-Term Investments	32.48M	32.48M	3.37M	8.58K	39.53K	109.19K
Total Debt	8.39M	8.39M	7.59M	7.38M	7.67M	1.39M
Total Liabilities	85.82M	85.82M	47.60M	23.29M	25.51M	14.83M
Stockholders Equity	24.34M	24.34M	12.20M	5.61M	5.07M	1.82M
Cash Flow
Free Cash Flow	32.58M	32.43M	6.24M	2.26M	-1.71M	1.09M
Operating Cash Flow	34.99M	34.99M	8.42M	2.92M	-895.62K	1.43M
Investing Cash Flow	-2.92M	-2.41M	-2.16M	-356.50K	-784.89K	759.62K
Financing Cash Flow	-4.32M	-3.47M	-2.90M	-2.60M	1.61M	-2.31M

SKS Technologies Group Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3.88
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:SKS, the sentiment is Positive. The current price of 3.88 is above the 20-day moving average (MA) of 3.30, above the 50-day MA of 2.81, and above the 200-day MA of 2.09, indicating a bullish trend. The MACD of 0.32 indicates Negative momentum. The RSI at 90.20 is Negative, neither overbought nor oversold. The STOCH value of 86.36 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:SKS.

SKS Technologies Group Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FOS	75 Outperform	AU$20.17M	17.44	―	3.33%	3.94%	45.76%
SKS	73 Outperform	AU$445.06M	31.06	76.78%	1.55%	91.96%	109.56%
RFT	65 Neutral	AU$6.91M	-16.67	―	―	-39.95%	-220.00%
EGY	25 Underperform	AU$12.00M	-0.96	―	―	-37.44%	10.36%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%

SKS Technologies Group Limited Corporate Events

SKS Technologies Exceeds Profit Guidance with Strategic Market Expansion

SKS Technologies Group Limited announced a significant increase in its unaudited profit before tax for FY25, reaching $20.8 million, which is a 15.6% rise from its earlier guidance and more than three times the profit of FY24. The company’s sales revenue closely aligned with forecasts, showing a 90% increase from the previous year, and cash on hand surged to $32.5 million. This financial growth is attributed to the company’s strategic focus on high-margin projects and expanding market opportunities, leading to a strong work pipeline and confidence in future performance.

The most recent analyst rating on (AU:SKS) stock is a Buy with a A$2.30 price target. To see the full list of analyst forecasts on SKS Technologies Group Limited stock, see the AU:SKS Stock Forecast page.

SKS Technologies Releases General Information Document

SKS Technologies Group Limited has released a document providing general information about its activities as of the date of the presentation. The document emphasizes that it should not be relied upon for investment purposes as it does not consider individual investment objectives or financial positions. It also contains forward-looking statements based on estimates and assumptions about future events, which involve risks and uncertainties that may cause actual results to differ from those expressed.

The most recent analyst rating on (AU:SKS) stock is a Buy with a A$1.80 price target. To see the full list of analyst forecasts on SKS Technologies Group Limited stock, see the AU:SKS Stock Forecast page.

$100 Million Data Centre Project Awarded to SKS Technologies

SKS Technologies Group Limited has secured a $100 million contract for a data center project in Melbourne with Erilyan Group, marking the third facility for an international hyperscale operator. This award highlights SKS’s reputation for successful project execution and repeat business, with the project set to enhance their work portfolio to $220 million and funded through existing resources. The company continues to see strong opportunities across various sectors, with $492 million currently under open tender.

The most recent analyst rating on (AU:SKS) stock is a Buy with a A$1.80 price target. To see the full list of analyst forecasts on SKS Technologies Group Limited stock, see the AU:SKS Stock Forecast page.