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Vection Technologies Ltd. (AU:VR1)
:VR1
Australian Market
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Vection Technologies Ltd. (VR1) AI Stock Analysis

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AU:VR1

Vection Technologies Ltd.

(Sydney:VR1)

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Neutral 50 (OpenAI - 4o)
Rating:50Neutral
Price Target:
AU$0.00
▼(-100.00% Downside)
Vection Technologies Ltd. faces significant financial challenges, with high leverage and negative profitability impacting its financial performance score. Technical analysis provides a slightly positive outlook, but valuation concerns due to negative earnings and lack of dividends weigh heavily on the overall score.

Vection Technologies Ltd. (VR1) vs. iShares MSCI Australia ETF (EWA)

Vection Technologies Ltd. Business Overview & Revenue Model

Company DescriptionVection Technologies Limited, an enterprise-focused company, that helps businesses in bridging the physical and digital worlds in Australia. The company operates in two segments, IT Development and Outsourced Services. It offers Mindesk, a virtual reality design review and real-time rendering in the unreal engine, for CAD and BIM; EnWorks, a solution to support training, manufacturing, and maintenance processes that enhances the work with augmented reality-powered visual assistance; 3DFrame, a no-code enterprise metaverse app for immersive product presentations; configuration that manages product variations for ecommerce, from web to mobile devices; and XRKiosk, which transforms the in-store customer experience with 3D and augmented reality. It serves automotive, naval, furniture, fashion, and education industries for design review, training, remote presentations, retail 3D experience, and 3D e-commerce applications. The company was formerly known as ServTech Global Holdings Limited and changed its name to Vection Technologies Limited in November 2019. Vection Technologies Limited was incorporated in 2016 and is based in Osborne Park, Australia.
How the Company Makes MoneyVection Technologies generates revenue through multiple streams, primarily from the sale of its software licenses and subscription services. The company offers tiered pricing models for its applications, catering to different business sizes and needs. Additionally, Vection Technologies earns money through professional services, including consulting, customization, and training for clients implementing their VR and AR solutions. Strategic partnerships with hardware manufacturers and integration with third-party platforms further enhance their offerings and expand market reach, contributing to their overall earnings. The company may also explore revenue opportunities through government contracts and grants focused on technology adoption in various sectors.

Vection Technologies Ltd. Financial Statement Overview

Summary
Vection Technologies Ltd. is experiencing revenue growth but faces significant challenges in profitability and cash flow management. High leverage and negative returns on equity highlight financial instability. The company needs to address operational inefficiencies and improve cash flow generation.
Income Statement
45
Neutral
Vection Technologies Ltd. has shown some revenue growth over the years, with a 6.63% increase in the latest year. However, the company is struggling with profitability, as indicated by negative net profit margins and EBIT margins. The gross profit margin has improved slightly but remains low. The consistent negative EBIT and net income suggest ongoing operational challenges.
Balance Sheet
40
Negative
The company's debt-to-equity ratio has increased significantly, indicating higher leverage, which could pose financial risks. The return on equity is negative, reflecting the company's inability to generate profit from shareholders' equity. The equity ratio is moderate, but the increasing debt levels are concerning.
Cash Flow
35
Negative
Vection Technologies Ltd. faces cash flow challenges, with negative operating and free cash flows. The free cash flow growth rate is highly volatile, and the operating cash flow to net income ratio is negative, indicating inefficiencies in converting income into cash. The free cash flow to net income ratio is positive, suggesting some ability to cover net losses, but overall cash flow management needs improvement.
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue37.50M37.50M32.83M25.33M17.22M3.25M
Gross Profit10.18M10.18M8.54M-2.85M-1.93M180.14K
EBITDA-207.00K-207.00K-6.36M-9.51M-5.88M-1.56M
Net Income-7.37M-7.37M-9.86M-10.82M-6.68M-2.41M
Balance Sheet
Total Assets72.25M72.25M46.21M42.10M40.20M31.34M
Cash, Cash Equivalents and Short-Term Investments3.10M3.10M7.60M11.36M14.87M7.08M
Total Debt19.30M19.30M9.04M10.68M4.09M4.92M
Total Liabilities60.58M60.58M36.65M22.91M12.23M15.91M
Stockholders Equity12.56M12.56M10.40M19.19M27.98M15.43M
Cash Flow
Free Cash Flow-4.91M-4.91M1.16M-10.56M-3.25M-3.72M
Operating Cash Flow-3.92M-3.92M1.29M-7.48M-1.25M-2.32M
Investing Cash Flow-7.73M-7.73M-3.31M-3.09M-2.02M908.47K
Financing Cash Flow6.11M6.11M-1.90M6.69M11.44M7.20M

Vection Technologies Ltd. Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price0.05
Price Trends
50DMA
0.06
Negative
100DMA
0.04
Positive
200DMA
0.04
Positive
Market Momentum
MACD
>-0.01
Positive
RSI
39.08
Neutral
STOCH
1.97
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:VR1, the sentiment is Neutral. The current price of 0.05 is below the 20-day moving average (MA) of 0.06, below the 50-day MA of 0.06, and above the 200-day MA of 0.04, indicating a neutral trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 39.08 is Neutral, neither overbought nor oversold. The STOCH value of 1.97 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for AU:VR1.

Vection Technologies Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
61
Neutral
$37.18B12.37-10.20%1.83%8.50%-7.62%
56
Neutral
AU$30.75M-3.14%2.98%93.55%
50
Neutral
AU$112.37M-70.54%9.67%31.03%
48
Neutral
AU$28.50M-31.01%-3.43%-40.65%
46
Neutral
AU$56.16M-64.13%-38.03%-11.27%
46
Neutral
AU$34.11M7.32%67.11%
41
Neutral
AU$47.35M-212.09%9.14%65.30%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:VR1
Vection Technologies Ltd.
0.05
0.04
400.00%
AU:AR9
archTIS Ltd.
0.12
0.05
71.43%
AU:VIG
Victor Group Holdings Ltd
0.04
-0.01
-20.00%
AU:AMX
Aerometrex Ltd.
0.30
-0.02
-6.25%
AU:XF1
Xref Ltd
0.16
-0.05
-23.81%
AU:DUB
Dubber Corporation Limited
0.02
0.00
0.00%

Vection Technologies Ltd. Corporate Events

Vection Technologies Issues 1 Million New Shares
Aug 1, 2025

Vection Technologies Ltd has announced the issuance of 1,000,000 fully paid ordinary shares following the conversion of Listed VR1O options. This move is in compliance with the Corporations Act, allowing the shares to be sold without disclosure, which could enhance the company’s liquidity and market presence.

Vection Technologies Ltd to Quote 1 Million New Securities on ASX
Aug 1, 2025

Vection Technologies Ltd has announced the issuance of 1,000,000 fully paid ordinary securities, which will be quoted on the Australian Securities Exchange (ASX) under the code VR1. This move is part of the company’s strategy to expand its market presence and enhance its financial flexibility, potentially impacting its operational capabilities and positioning within the tech industry.

Vection Technologies Secures $7.2 Million Defense Contract Extension
Jul 28, 2025

Vection Technologies has secured a $7.2 million extension to its existing defense contract with a European client, focusing on delivering AI products. This order reinforces Vection’s role as a key partner in the client’s digital transformation efforts and is part of a broader multi-year collaboration. The extension is part of a larger budgeted plan, with $19 million allocated for future orders in this vertical. The company expects to fulfill the contract using existing resources, highlighting operational efficiency and strengthening its position in the defense sector.

Vection Technologies Issues 1 Million New Shares
Jul 25, 2025

Vection Technologies Ltd. has announced the issuance of 1,000,000 fully paid ordinary shares following the conversion of Listed VR1O options. This move, compliant with the Corporations Act, allows the company to issue shares without disclosure, potentially enhancing its market operations and offering stakeholders a clearer view of its financial standing.

Vection Technologies Expands Market Presence with New Securities Issuance
Jul 25, 2025

Vection Technologies Ltd has announced the issuance of 1,000,000 fully paid ordinary securities, which will be quoted on the Australian Securities Exchange (ASX) under the code VR1. This move is part of the company’s strategic efforts to strengthen its market position and potentially increase its capital base, reflecting its commitment to growth and expansion in the technology sector.

Vection Technologies Secures $1 Million in New AI Contracts
Jul 24, 2025

Vection Technologies Ltd has secured $1 million in new AI contracts, including a significant $0.5 million deal with Area 12 Consulting, bringing their partnership to a total of $3.6 million in just ten weeks. These contracts, which span sectors such as government, utilities, aviation, education, and life sciences, highlight the company’s growing market traction and the increasing adoption of its Algho AI technology. The contracts include perpetual licenses and multi-year support programs, reinforcing Vection’s B2B2C model and its strategic positioning in the industry. The deals are expected to enhance operational efficiency across various sectors by transforming machines and service desks into voice-enabled assistants.

Vection Technologies Expands European Reach with Frankfurt Listing
Jul 21, 2025

Vection Technologies Ltd has announced the commencement of trading its ordinary shares on the Frankfurt Stock Exchange, aiming to capture European investor interest and expand its operational presence in Europe. This secondary listing allows Vection’s shares to be traded in euros, eliminating currency conversion issues for European investors, and aligns the company’s shareholder base with its growing customer footprint in the EU. The move enhances liquidity and provides nearly 24-hour trading coverage across different time zones, strengthening the company’s market positioning without altering its capital structure.

Vection Technologies Announces Extraordinary General Meeting with Digital Access
Jul 16, 2025

Vection Technologies Ltd has announced an Extraordinary General Meeting scheduled for August 18, 2025, at its registered office in Osborne Park, Australia. The company is opting for electronic distribution of the meeting materials, encouraging shareholders to access these documents online or via email. This move highlights the company’s commitment to digital transformation and efficient shareholder communication, potentially impacting its operational efficiency and stakeholder engagement.

Vection Technologies Secures New Defense Order Extension
Jul 15, 2025

Vection Technologies has secured a $0.5 million extension order from a defense customer, marking an entry into a new department within the organization. This order is part of a larger $27 million budget for future work, positioning Vection as a trusted partner in defense AI and spatial computing. The successful completion of a previous $4.4 million order has bolstered customer confidence, paving the way for further collaboration and highlighting the growing demand for AI-driven, XR-enabled workflows in the defense sector.

Vection Technologies Secures $0.5 Million Defense Order, Expanding Digital Transformation Efforts
Jul 14, 2025

Vection Technologies Ltd has secured a $0.5 million order under its defense tender, marking the first award of a planned $27 million optional work program for FY26 to FY30. This order follows the successful completion of a $4.4 million work package, enhancing Vection’s reputation as a trusted partner in digital transformation for multi-domain defense operations. The order expands the company’s INTEGRATEDXR capabilities into new domains and serves as a precursor to further taskings, demonstrating its strong positioning in the growing demand for AI-driven, XR-enabled workflows in the defense sector.

Vection Technologies Secures $4 Million AI-XR Order from Omniacom Group
Jul 7, 2025

Vection Technologies has secured a significant order worth approximately $4 million from the Omniacom Group for its AI-integrated extended reality (XR) technology stack. This order, which marks a record monthly intake of over $10 million, will be implemented across various sectors including finance, telecom, media, automotive, energy, public sector, and healthcare in Italy. The partnership with Omniacom strengthens Vection’s presence in continental Europe and highlights the growing demand for data-intensive AI-XR solutions. The deployment will enhance clients’ business processes through predictive analytics, immersive dashboards, and interactive 3D models, thereby transforming enterprise data visualization and decision-making.

Vection Technologies Appoints New Auditor
Jul 4, 2025

Vection Technologies Ltd has appointed Hall Chadwick WA Audit Pty Ltd as its new auditor following the resignation of RSM Australia Partners. This change, approved by ASIC, aligns with the company’s audit partner rotation and tendering process. The appointment will be confirmed at the next General Meeting, reflecting Vection’s commitment to maintaining robust financial oversight.

Vection Technologies Secures $4.4 Million Defense Contract
Jun 30, 2025

Vection Technologies Ltd has secured a $4.4 million supply order from a top global defense contractor, following a successful pilot program. This order, which contributes to a cumulative revenue of approximately $10 million from the customer, marks a significant step in Vection’s involvement in the NATO Tempest production chain, validating its INTEGRATEDXR platform for real-time, data-driven defense operations. The company anticipates further contracts worth $21 million between FY26 and FY30, highlighting the growing demand for AI-powered monitoring solutions amid increasing geopolitical tensions.

Vection Technologies Secures $2.6 Million AI Safety Compliance Deal
Jun 23, 2025

Vection Technologies Ltd has signed a $2.6 million agreement with Area12 Consulting to co-develop an AI-driven safety compliance platform called SAFE-XR for an industrial client in Italy. This collaboration, which builds on a previous $0.5 million annual software agreement, highlights Vection’s growing capabilities in AI and XR solutions for industrial safety and automation. The project strengthens Vection’s position in AI-driven compliance amid increasing global regulations, offering a scalable solution that integrates smart glasses for hands-free inspections and real-time voice interaction. Revenue from the agreement will be recognized in phased milestones throughout FY26, with a three-year support term.

Vection Technologies Announces Change in Director’s Securities
Jun 20, 2025

Vection Technologies Ltd. announced a change in the director’s interest, specifically the lapse of 4,000,000 performance rights held by Mr. Gianmarco Biagi. This change reflects a strategic adjustment in the director’s securities, potentially impacting the company’s governance and signaling a shift in focus or strategy to stakeholders.

Vection Technologies Issues 200,000 New Shares Under VR1O Options
Jun 18, 2025

Vection Technologies Ltd announced the issuance of 200,000 fully paid ordinary shares following the conversion of VR1O options, in compliance with section 708A(5) of the Corporations Act 2001. This move allows the company to issue shares without disclosure, aligning with regulatory requirements, and potentially impacts its financial positioning and shareholder value.

Vection Technologies to Quote 200,000 New Securities on ASX
Jun 18, 2025

Vection Technologies Ltd has announced the quotation of 200,000 ordinary fully paid securities on the Australian Securities Exchange (ASX) under the code VR1. This move indicates the company’s ongoing efforts to enhance its market presence and potentially increase its capital base, which could have implications for its operational capabilities and stakeholder interests.

Vection Technologies Announces Cessation of Performance Rights
Jun 18, 2025

Vection Technologies Ltd announced the cessation of 23,295,611 performance rights due to the lapse of conditional rights, as the conditions were not met or have become incapable of being satisfied. This development may impact the company’s capital structure and could have implications for stakeholders regarding the company’s future financial strategies and market positioning.

Vection Technologies Partners with Rider Srl for $520K AI Agritech Initiative
Jun 16, 2025

Vection Technologies Ltd has entered into a $520,000 strategic partnership with Rider Srl, part of the Procmatech Group, to co-develop the ACRobot® modular robotics platform for open-field agriculture. This collaboration aims to combine Vection’s AI capabilities with Rider’s mechanical engineering expertise to create a versatile robotic system for precision farming, which is projected to become a multi-billion-dollar market by 2030. The ACRobot® platform is designed to enhance farming efficiency and sustainability and can be adapted for use in other sectors such as logistics and healthcare, addressing global demands for AI-driven automation.

Vection Technologies Reports Strong Revenue Growth and Strategic Initiatives
Jun 10, 2025

Vection Technologies Ltd has announced significant growth with a 60% increase in revenues, driven by its proprietary software platform, INTEGRATEDXR, which integrates multiple applications into client operations. The company is focused on earnings-additive acquisitions and has implemented internal cost efficiency and debt reduction initiatives, positioning itself as a leader in the growing market of Spatial Computing and AI.

Vection Technologies Announces Investor Webinar to Address Digital Business Challenges
Jun 3, 2025

Vection Technologies Ltd has announced an investor webinar scheduled for June 10, where Managing Director and CEO Gianmarco Biagi will discuss the company’s strategies for addressing real-world business challenges in the digital realm. This event offers shareholders and potential investors an opportunity to engage with the company through a moderated Q&A session, reflecting Vection Technologies’ commitment to transparency and stakeholder engagement.

Vection Technologies Secures $1 Million Defense Sector Contract
Jun 1, 2025

Vection Technologies Ltd has secured a $1 million order from a client in the defense sector, highlighting a growing collaboration. The contract involves a secure ICT solution to enhance cyber and data protection for national security intelligence, with deployment starting immediately. This deal strengthens Vection’s position in the defense, space, military, and law enforcement segments, paving the way for future scalable projects.

Vection Technologies Secures $0.5M AI Partnership with Area 12 Consulting
May 11, 2025

Vection Technologies Ltd has announced a strategic partnership with Area 12 Consulting, securing a $0.5 million annual commitment for its Algho AI software licenses and related services. This partnership not only guarantees a consistent revenue stream but also expands Vection’s presence in the generative AI market by offering advanced conversational and process automation tools to enterprises. The collaboration is a significant step in Vection’s mission to integrate AI into business practices, enhancing its position as a key player in the generative AI field.

Vection Technologies Completes Significant Share and Options Issuance
May 5, 2025

Vection Technologies Ltd has completed the issuance of 236,666,668 fully paid ordinary shares and 128,983,334 VR1O listed options as part of a placement announced on April 29, 2025. This issuance was conducted under the company’s available capacity according to Listing Rule 7.1 and 7.1A, allowing the shares and options to be sold without disclosure under specific sections of the Corporations Act. This move is expected to enhance the company’s financial flexibility and market positioning.

Vection Technologies Announces New Securities Quotation on ASX
May 5, 2025

Vection Technologies Ltd has announced the application for quotation of new securities on the ASX, including 236,666,668 ordinary fully paid shares and 128,983,334 options expiring in November 2027. This move is part of previously announced transactions and may enhance the company’s market presence and liquidity, potentially impacting its stakeholders positively.

Vection Technologies Secures $1.2M Grant for Digital-Twin Project in Food & Beverage Sector
May 5, 2025

Vection Technologies Ltd has been awarded a $1.2 million grant to lead Project ADDICTA, a digital-twin initiative in the food and beverage industry funded by Italy’s National Recovery and Resilience Plan. The project aims to enhance factory digitalization by using sophisticated sensors and Vection’s INTEGRATEDXR stack to provide real-time product intelligence, reducing waste and increasing efficiency. The project will be completed over eight months, with the platform eventually offered as a subscription service to small and mid-sized manufacturers, potentially expanding Vection’s market influence and creating new intellectual property without financial outlay.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Oct 08, 2025