Traffic Technologies Ltd (TTI) AI Stock Analysis

• Market Cap: AU$3.77M
• Dividend Yield: N/A
• Average Volume (3M): 0.00
• Price to Earnings (P/E): ―
• Beta (1Y): >-0.01
• Revenue Growth: -56.22%
• EPS Growth: -40.40%
• Country: AU
• Employees: 521
• Sector: Industrials
• Sector Strength: 86
• Industry: Railroads
• EPS (TTM): -0.02
• Shares Outstanding: 1,257,147,100
• 10 Day Avg. Volume: 0
• 30 Day Avg. Volume: 0
• PEG Ratio: >-0.01
• Price to Book (P/B): 1.25
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 7.31
• 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

• Rating: 45 Neutral
• Price Target: ―

Traffic Technologies Ltd faces substantial financial challenges, with significant risks stemming from its negative equity and inconsistent profitability. While the technical outlook is neutral due to missing data, the valuation metrics are unappealing, given the negative P/E ratio and absence of dividends. These factors combine to result in a low overall stock score, highlighting the company's precarious financial situation.

Traffic Technologies Ltd Business Overview & Revenue Model

Company Description

Traffic Technologies Limited, together with its subsidiaries, provides traffic solutions in Australia and internationally. It designs, manufactures, and installs traffic signals, traffic controllers, pedestrian countdown timers, electronic road signs, emergency telephones, road lighting products, and control systems. The company also supplies a range of directional and regulatory traffic signs and traffic control products to road traffic authorities, municipal councils, and construction companies. In addition, its Traffic SmartCity Technology platform enables the integration of street lights and other traffic management equipment to a central control/management system through remote Internet of Things sensors primarily for the road industry, councils, and power authorities. Further, the company offers traffic control products, vests, brackets, cones, and bollards, as well as corporate signage for government and private sectors; sign installation and computer assessment of local government signage; and intelligent transport systems. Traffic Technologies Limited was founded in 2004 and is headquartered in Eltham, Australia.

How the Company Makes Money

Traffic Technologies Ltd generates revenue primarily through the manufacture and sale of traffic management products and services. Key revenue streams include the production and distribution of traffic signs and signals, which are sold to government agencies, construction companies, and infrastructure developers. Additionally, TTI offers intelligent transport systems (ITS), which include electronic road signage and traffic data analysis services. The company may also engage in partnerships or contracts with government bodies for large-scale infrastructure projects, contributing significantly to its earnings. Service contracts for maintenance and ongoing traffic management solutions also provide a steady income stream.

Traffic Technologies Ltd Financial Statement Overview

Summary

Traffic Technologies Ltd is encountering considerable financial hurdles, with persistent profitability issues, a precarious balance sheet, and fluctuating cash flows. While there is some positive cash flow, the overall financial health is undermined by high liabilities and equity deficits, posing a risk to long-term stability.

Income Statement

Traffic Technologies Ltd has faced significant challenges in maintaining profitability, with consistent net losses over the years. The gross profit margin has fluctuated, and the latest figures show a negative EBIT and EBITDA margin, indicating operational difficulties. Revenue growth has been inconsistent, with a sharp decline in the most recent period.

Balance Sheet

The company's financial structure is concerning, with a negative stockholders' equity indicating more liabilities than assets. The debt-to-equity ratio is not applicable due to negative equity, presenting a solvency risk. Stability is further threatened by declining equity over recent periods.

Cash Flow

While operating cash flow remains positive, providing some liquidity cushion, the free cash flow has shown volatility. The company managed to increase free cash flow recently, although this is driven by cost-cutting rather than revenue growth, which could be unsustainable long-term.

Breakdown	TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	20.60M	31.86M	58.05M	53.75M	52.33M	44.52M
Gross Profit	6.89M	11.73M	3.06M	4.76M	5.12M	2.89M
EBITDA	-13.64M	-10.88M	-3.91M	3.94M	4.53M	-9.15M
Net Income	-18.62M	-15.28M	-7.89M	-488.00K	201.00K	-13.98M
Balance Sheet
Total Assets	20.74M	21.03M	35.91M	42.14M	37.39M	33.11M
Cash, Cash Equivalents and Short-Term Investments	341.00K	455.00K	1.18M	1.01M	2.60M	3.64M
Total Debt	15.79M	11.18M	13.32M	13.02M	14.97M	12.76M
Total Liabilities	33.99M	28.61M	29.45M	27.76M	29.05M	25.97M
Stockholders Equity	-13.26M	-7.59M	6.46M	14.39M	8.34M	7.14M
Cash Flow
Free Cash Flow	-3.10M	2.44M	1.10M	-2.93M	-1.21M	3.21M
Operating Cash Flow	-2.89M	4.08M	3.41M	-568.00K	862.00K	5.25M
Investing Cash Flow	-1.22M	-1.54M	-1.58M	-3.10M	-2.78M	-2.08M
Financing Cash Flow	3.41M	-3.26M	-1.66M	2.08M	883.00K	-2.64M

Traffic Technologies Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
KLS	78 Outperform	AU$1.03B	20.48	5.35%	4.22%	22.28%	50.12%
SSH	62 Neutral	AU$9.70M	11.43	9.53%	―	11.60%	―
SRH	58 Neutral	AU$3.71M	―	-34.84%	―	-13.84%	27.42%
Sector *	58 Neutral	$1.34B	4.24	-2.93%	7.38%	3.67%	-51.13%
TTI	45 Neutral	AU$3.77M	―		―	-56.22%	-40.40%
AEI	41 Neutral	AU$9.59M	―	-203.38%	―	20.00%	17.22%
SP3	41 Neutral	AU$4.12M	―	-244.13%	―	7.28%	31.75%

Traffic Technologies Ltd Corporate Events

Traffic Technologies Ltd. Enters Voluntary Administration

Traffic Technologies Ltd. has entered voluntary administration with the appointment of Glenn J. Franklin and Jason G. Stone from PKF Melbourne as administrators. The company’s securities have been suspended on the ASX during this process, and investigations into the company’s financial position are underway, with further communication to creditors expected.