Vonex Limited (VN8) AI Stock Analysis

• Market Cap: AU$15.80M
• Dividend Yield: N/A
• Average Volume (3M): 114.63K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.38
• Revenue Growth: -4.31%
• EPS Growth: 73.91%
• Country: AU
• Employees: N/A
• Sector: Communication Services
• Sector Strength: 92
• Industry: Telecommunications Services
• EPS (TTM): >-0.01
• Shares Outstanding: 752,603,500
• 10 Day Avg. Volume: 215,552
• 30 Day Avg. Volume: 114,625
• PEG Ratio: -0.30
• Price to Book (P/B): -2.52
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 4.30
• 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: 51 Neutral
• Price Target: AU$0.00 ▼(-100.00%Downside)

Vonex Limited's overall stock score is primarily impacted by its financial instability, high leverage, and negative equity. The technical indicators reflect a bearish sentiment, further weighing down the score. While positive cash flow is a strength, unprofitability and weak valuation metrics remain significant challenges.

Vonex Limited Business Overview & Revenue Model

Company Description

Vonex Limited provides telecommunications services to business customers in Australia and the United States. The company operates through Retail Telecommunications and Wholesale Telecommunications segments. The Retail Telecommunications segment offers data, internet, billing, and other services, as well as voice services, including IP voice services. The Wholesale Telecommunications segment provides Vonex PBX and call termination services, and NBN and 4G mobile broadband at wholesale rates via a white label model. Vonex Limited is headquartered in Milton, Australia.

How the Company Makes Money

Vonex Limited generates revenue primarily through the provision of telecommunications services, including hosted PBX and VoIP services to businesses, which are billed on a subscription or usage basis. The company also earns from providing broadband internet services to residential customers. Additionally, Vonex may engage in partnerships and collaborations to offer bundled services, enhancing its revenue streams. The development and commercialization of new technologies also contribute to its earnings by expanding its service offerings and customer base.

Vonex Limited Financial Statement Overview

Summary

Vonex Limited demonstrates strong revenue growth, but faces challenges with profitability and financial stability. The negative equity and high leverage pose risks, although positive cash flow generation is a strength. Strategic improvements in operational efficiency and leverage reduction are crucial.

Income Statement

Vonex Limited has demonstrated a strong revenue growth trend, with a notable increase in total revenue over the past years. However, profitability remains a challenge, as indicated by the negative net income and fluctuating EBIT and EBITDA margins. The gross profit margin is healthy, but the net profit margin is negative, reflecting operational inefficiencies or high costs.

Balance Sheet

The company's balance sheet shows high leverage with a negative stockholders' equity, indicating financial instability. The debt-to-equity ratio is high, and the negative equity ratio suggests that liabilities exceed assets. This poses significant risks to financial health and sustainability.

Cash Flow

Vonex Limited has shown improvement in free cash flow, with positive growth over recent years. The operating cash flow to net income ratio is favorable, indicating effective cash management despite the negative net income. However, the heavy reliance on financing activities in prior periods raises concerns about the sustainability of cash flows.

Breakdown	TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	47.02M	48.19M	45.45M	33.62M	18.26M	12.77M
Gross Profit	21.27M	21.36M	6.97M	8.58M	-185.76K	513.90K
EBITDA	4.62M	4.98M	-17.92M	2.92M	-3.24M	-751.96K
Net Income	-657.93K	-1.34M	-22.82M	251.69K	-3.98M	-705.96K
Balance Sheet
Total Assets	6.00M	35.32M	36.43M	48.45M	11.81M	12.23M
Cash, Cash Equivalents and Short-Term Investments	3.87M	2.93M	1.79M	3.20M	3.66M	4.81M
Total Debt	2.23K	25.71M	23.33M	15.61M	995.33K	950.55K
Total Liabilities	1.90M	39.00M	39.36M	29.24M	6.23M	5.42M
Stockholders Equity	3.95M	-3.68M	-2.93M	19.21M	5.58M	6.81M
Cash Flow
Free Cash Flow	4.73M	4.70M	2.24M	5.18M	-503.42K	-802.41K
Operating Cash Flow	4.77M	4.79M	2.56M	5.33M	-342.39K	-729.24K
Investing Cash Flow	-50.05K	-98.11K	-8.52M	-31.36M	-636.47K	1.23M
Financing Cash Flow	-3.66M	-3.55M	4.56M	25.57M	-173.64K	1.13M

Vonex Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.02
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Positive
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:VN8, the sentiment is Negative. The current price of 0.02 is below the 20-day moving average (MA) of 0.02, below the 50-day MA of 0.03, and below the 200-day MA of 0.04, indicating a bearish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 7.98 is Positive, neither overbought nor oversold. The STOCH value of 30.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:VN8.

Vonex Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	58 Neutral	C$3.18B	5.94	-0.75%	6.62%	-2.19%	-11.60%
VN8	51 Neutral	AU$15.80M	―		―	-4.31%	73.91%
TPGTF		$6.50B	280.66	-0.95%	3.36%	―	―
TTRAF		$35.82B	33.52	11.34%	3.71%	―	―
9SL		€851.16M	―	-1.05%	―	―	―
MAQ		AU$1.71B	46.23	8.93%	―	―	―
SPK		AU$4.25B	22.64	12.57%	9.83%	―	―

Vonex Limited Corporate Events

Vonex Limited Announces Cessation of Performance Rights

Vonex Limited announced the cessation of 8,000,000 performance rights due to the lapse of conditional rights which were not satisfied. This development may impact the company’s capital structure and could have implications for stakeholders regarding the company’s ability to meet certain performance conditions.

Vonex Limited Strengthens Financial Position and Leadership

Vonex Limited has announced several key developments for the quarter ending March 2025, including the appointment of Michael Blake as CEO and the successful completion of an entitlement offer and debt refinancing. The company raised approximately $13.89 million through a non-renounceable entitlement offer, which was used to repay existing debt, significantly improving its capital structure and financial flexibility. Additionally, Vonex refinanced the remaining debt with a new facility from Westpac Banking Corporation, providing longer-term financial stability. The company also received recognition from the Australian Communications and Media Authority for having the lowest number of complaints per 10,000 services for the second consecutive quarter, highlighting its commitment to operational excellence and customer satisfaction.