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Wellnex Life Ltd (AU:WNX)
ASX:WNX

Wellnex Life Ltd (WNX) AI Stock Analysis

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AU

Wellnex Life Ltd

(Sydney:WNX)

Rating:39Underperform
Price Target:
AU$0.50
▲(92.31%Upside)
Wellnex Life Ltd's overall stock score is heavily impacted by significant financial challenges, including declining revenue and persistent losses. The lack of positive technical indicators and negative valuation further contribute to a low score, indicating substantial risks and limited investment appeal.

Wellnex Life Ltd (WNX) vs. iShares MSCI Australia ETF (EWA)

Wellnex Life Ltd Business Overview & Revenue Model

Company DescriptionWellnex Life Ltd (WNX) is an Australian company operating in the health and wellness sector. The company specializes in the development, marketing, and distribution of health and wellness products. Wellnex Life focuses on providing innovative solutions that enhance the well-being of consumers, offering a diverse range of products including vitamins, supplements, and other health-related goods.
How the Company Makes MoneyWellnex Life Ltd generates revenue primarily through the sale of its health and wellness products. The company sources, develops, and markets a variety of consumer health products, which are distributed through multiple channels including pharmacies, health food stores, and online platforms. Key revenue streams include direct sales to retailers and consumers, as well as potential licensing and partnership agreements with other companies in the health sector. Strategic partnerships and collaborations with manufacturers and distributors also play a crucial role in expanding the company's market reach and boosting sales.

Wellnex Life Ltd Financial Statement Overview

Summary
Wellnex Life Ltd faces significant financial challenges, with declining revenue, persistent net losses, and negative margins. The balance sheet shows a heavy reliance on debt and low equity support, while cash flows remain negative, highlighting financial instability.
Income Statement
35
Negative
The income statement reveals significant challenges for Wellnex Life Ltd with declining revenue, evident from a 39% drop from 2023 to 2024. Additionally, the company has consistently reported negative margins, with a net profit margin of -81% in 2024. The EBIT and EBITDA margins are also negative, indicating operational inefficiencies. Despite some past revenue growth, these financial metrics highlight sustained profitability issues.
Balance Sheet
40
Negative
The balance sheet reflects moderate stability with a debt-to-equity ratio of approximately 1.76 in 2024, which suggests a significant reliance on debt financing. The company's equity has improved compared to prior years, but the overall equity ratio remains low at 19.6%, indicating limited asset backing. The return on equity is negative, driven by ongoing net losses, which further constrains financial flexibility.
Cash Flow
45
Neutral
Cash flow analysis shows persistent negative free cash flow, although operating cash flow improved from -$8.61M in 2022 to -$6.82M in 2024. The company's ability to cover net income with operating cash flow is weak, suggesting cash flow challenges despite financing efforts. The lack of positive free cash flow growth raises concerns about liquidity and capital management.
BreakdownTTMJun 2024Jun 2023Jun 2022Jun 2021Jun 2020
Income Statement
Total Revenue23.24M16.93M27.89M18.61M1.20M934.00K
Gross Profit6.19M4.11M4.75M4.50M-165.00K447.00K
EBITDA-5.83M-10.57M-6.82M-6.35M-18.41M-9.45M
Net Income-11.51M-13.74M-13.85M-7.45M-24.69M-46.27M
Balance Sheet
Total Assets31.92M30.92M15.04M19.61M10.42M19.23M
Cash, Cash Equivalents and Short-Term Investments280.00K903.00K322.00K3.18M7.78M1.14M
Total Debt12.37M10.67M6.95M7.86M9.31M5.80M
Total Liabilities28.87M24.86M14.45M15.25M10.67M16.41M
Stockholders Equity3.04M6.06M594.00K4.36M-249.00K18.63M
Cash Flow
Free Cash Flow-893.50K-6.82M-6.19M-8.65M-5.17M-31.34M
Operating Cash Flow-3.89M-6.82M-6.19M-8.61M-4.38M-7.57M
Investing Cash Flow-290.00K-13.42M-2.20M-3.65M9.45M-16.92M
Financing Cash Flow5.70M20.82M5.53M7.66M1.65M7.28M

Wellnex Life Ltd Technical Analysis

Technical Analysis Sentiment
Negative
Last Price0.26
Price Trends
50DMA
0.28
Negative
100DMA
0.40
Negative
200DMA
0.54
Negative
Market Momentum
MACD
>-0.01
Negative
RSI
45.57
Neutral
STOCH
50.16
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:WNX, the sentiment is Negative. The current price of 0.26 is below the 20-day moving average (MA) of 0.26, below the 50-day MA of 0.28, and below the 200-day MA of 0.54, indicating a bearish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 45.57 is Neutral, neither overbought nor oversold. The STOCH value of 50.16 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:WNX.

Wellnex Life Ltd Peers Comparison

Overall Rating
UnderperformOutperform
Sector (49)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
AUHCT
51
Neutral
AU$18.76M
-5.86%98.26%
49
Neutral
AU$2.49B4.37-64.25%2.83%36.51%13.14%
AUNUC
44
Neutral
AU$23.47M-47.74%43.14%51.35%
AUWNX
39
Underperform
€17.96M-240.42%14.41%76.26%
AUEVE
34
Underperform
AU$8.62M-105.17%-3.82%51.47%
AUNGS
31
Underperform
AU$4.76M
-16.29%58.77%
* Healthcare Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:WNX
Wellnex Life Ltd
0.26
-1.10
-80.87%
AU:EVE
EVE Health Group Limited
0.04
0.01
33.33%
AU:NUC
Nuchev Pty Ltd
0.16
-0.02
-11.11%
AU:HCT
Holista Colltech Limited
0.06
0.05
500.00%
AU:NGS
Nutritional Growth Solutions Ltd.
0.02
>-0.01
-33.33%

Wellnex Life Ltd Corporate Events

Wellnex Life Divests The Iron Company to Focus on Core Brands
Jul 2, 2025

Wellnex Life Limited has divested the assets of The Iron Company brand to CW Retail Holdings Pty Ltd, part of the Chemist Warehouse group, as part of its strategy to focus on key brands like Pain Away, Wakey Wakey, and Nighty Night. This move follows an internal review post its AIM listing and aims to enhance trade activity within the Chemist Warehouse group, aligning with Wellnex’s renewed strategic focus.

Wellnex Life Securities Reinstated on ASX
May 29, 2025

Wellnex Life Limited (ASX: WNX) has announced the reinstatement of its securities to trading on the ASX following a suspension. This comes after the company addressed queries from the ASX regarding a previous announcement made on May 26, 2025. The lifting of the suspension is expected to positively impact the company’s market operations and reassure stakeholders about its compliance and transparency.

Wellnex Life Retracts Announcement Over Financial Report Concerns
May 29, 2025

Wellnex Life Limited has retracted its previous announcement from May 26, 2025, due to concerns over the accuracy and reliability of prospective financial information in a research report by SP Angel, its UK broker. The company clarified that while it provided financial data to SP Angel, it does not endorse the report’s prospective financial information, leading to the retraction to maintain compliance with regulatory standards.

Wellnex Life Ltd Retracts Financial Forecasts in SP Angel Report
May 29, 2025

Wellnex Life Ltd has retracted financial forecasts previously shared in a research report produced by SP Angel, one of its UK-based brokers. The company had initially provided SP Angel with both public and internal financial targets for FY25 and FY26, which were used to generate independent forecasts. However, the company has since withdrawn these projections, which were based on assumptions of continued revenue growth, increased product distribution, and realization of sales targets.

Wellnex Life Ltd Securities Suspended from Quotation
May 27, 2025

The securities of Wellnex Life Ltd have been suspended from quotation by the ASX to prevent a disorderly or uninformed market. This suspension is pending the company’s response to queries from the ASX regarding a recent announcement titled ‘Letter to Shareholders’, which may impact the company’s market positioning and stakeholder relations.

Wellnex Life Limited Reports Strong Growth and Strategic Advancements
May 25, 2025

Wellnex Life Limited has announced significant growth and strategic advancements, including a 46% increase in revenue and a 55% rise in gross profit for the period of January to April 2025 compared to the previous year. The company has also eliminated $13 million in liabilities, reducing financial risks and interest costs, and is focusing on profitable, sustainable growth by streamlining its offerings and concentrating on high-potential brands. This marks a pivotal point for Wellnex, as it aims to maximize shareholder value and achieve sustainable cash flow.

Wellnex Life Announces Director Departure
May 6, 2025

Wellnex Life Limited announced the cessation of George Tambassis as a director, effective from May 6, 2025. The notice indicates that Tambassis held no relevant interests in securities as a registered holder or through other entities, suggesting minimal immediate impact on the company’s operations or market positioning.

Wellnex Life Announces Leadership Changes Following Successful AIM Listing
May 6, 2025

Wellnex Life Limited has announced changes to its board and management following a successful dual listing on the AIM Market of the London Stock Exchange. Non-Executive Chairman George Tambassis has resigned due to external commitments, and Andrew Vidler, an independent Non-Executive Director, will serve as interim Chairman. The company has also appointed Zack Bozinovski as joint CEO to focus on business growth and shareholder value. These changes aim to ensure a seamless transition and continued expansion in the healthcare market.

Wellnex Life Expands into UK Market with Powermed Plus Partnership
Apr 10, 2025

Wellnex Life Limited has appointed Powermed Plus as its UK distributor to expand its innovative brands into the UK market. This strategic move follows Wellnex Life’s recent admission to the AIM market, which is expected to boost brand awareness and sales in the UK. The collaboration with Powermed Plus, a seasoned healthcare services provider, is set to commence in Q3 2025, with sales planned for 2026, marking a significant growth phase for Wellnex Life.

Wellnex Life Reports Strong Q3 Growth and Strategic AIM Listing
Apr 8, 2025

Wellnex Life Limited reported a significant increase in cash receipts and sales for Q3 FY25, with cash receipts rising by 69% and sales increasing by 35% compared to the previous quarter. The company achieved a positive net cash flow from operations and noted substantial growth in its high-margin brands and IP licensing. The completion of its admission to the AIM market of the London Stock Exchange is a pivotal development, expected to drive international expansion and result in annual cost savings of $1.4 million. This strategic move, along with the extinguishment of convertible notes and the acquisition of Pain Away, positions Wellnex Life for enhanced financial growth and operational scale.

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: Jun 25, 2025