Block Energy Plc (BLOE) AI Stock Analysis

• Market Cap: £8.03M
• Dividend Yield: N/A
• Average Volume (3M): 1.96M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.19
• Revenue Growth: -12.37%
• EPS Growth: 76.00%
• Country: UK
• Employees: 147
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): N/A
• Shares Outstanding: 1,004,372,100
• 10 Day Avg. Volume: 2,461,436
• 30 Day Avg. Volume: 1,962,824
• PEG Ratio: 0.14
• Price to Book (P/B): 0.24
• Price to Sales (P/S): 0.82
• P/FCF Ratio: 8.40
• 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: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 51 Neutral
• Price Target: 0.65p ▼(-18.38% Downside)

Block Energy Plc's overall stock score reflects significant financial and valuation challenges. The company's declining revenues, negative profitability, and bearish technical indicators weigh heavily on its score. While the balance sheet is strong, the lack of earnings and dividend yield further impacts its attractiveness.

Positive Factors

Cash Flow Management

The substantial improvement in free cash flow growth indicates effective cash management, enhancing the company's ability to fund operations and invest in growth opportunities.

Balance Sheet Strength

A low debt-to-equity ratio reflects financial stability and a solid capital structure, providing flexibility to navigate market challenges and invest in strategic initiatives.

EPS Growth

A significant EPS growth rate indicates improved profitability potential, which can enhance shareholder value and support future business expansion.

Negative Factors

Revenue Decline

Declining revenue growth suggests challenges in market demand or competitive positioning, potentially impacting long-term business sustainability and profitability.

Negative Profitability Margins

Persistent negative profitability margins indicate ongoing operational inefficiencies, which can hinder the company's ability to generate sustainable profits and reinvest in growth.

Operational Inefficiencies

Operational inefficiencies and weak returns on equity highlight challenges in optimizing resource utilization, which can limit competitive advantage and growth potential.

Block Energy Plc Business Overview & Revenue Model

Company Description

Block Energy Plc explores for, develops, and produces oil and gas in the Republic of Georgia. Its flagship field is the 100% owned West Rustavi onshore oil and gas field located in Kura basin. The company also owns 100% working interests in Block IX, Block XI, and Norio onshore oil fields, and 90% working interest in Satskhenisi onshore oil field located in Kura basin. The company was formerly known as Goldcrest Resources Plc and changed its name to Block Energy Plc in May 2017. Block Energy Plc was incorporated in 2005 and is headquartered in London, the United Kingdom.

How the Company Makes Money

Block Energy generates revenue primarily through the sale of crude oil and natural gas produced from its exploration and production activities. The company has established a revenue model that involves the extraction of hydrocarbons from its licensed areas in Georgia, followed by selling the produced resources to domestic and international markets. Key revenue streams include direct sales of oil and gas, as well as potential revenue from any joint ventures or partnerships it may form with local or international energy companies. Additionally, the company's operational efficiency and effective cost management contribute to its profitability, while favorable market conditions for oil and gas prices can significantly enhance earnings.

Block Energy Plc Financial Statement Overview

Summary

Block Energy Plc is facing financial challenges with declining revenues and negative profitability margins. Despite a strong balance sheet with low leverage and improved cash flow management, the company struggles with operational inefficiencies and weak returns on equity.

Income Statement

Block Energy Plc has shown a decline in revenue growth with a negative rate of -6.96% in the latest year, indicating a challenging market environment. The gross profit margin has decreased slightly to 36.89%, and the net profit margin remains negative at -8.08%, reflecting ongoing profitability challenges. Despite a slight improvement in EBITDA margin to 11.39%, the company still faces operational inefficiencies as indicated by the negative EBIT margin.

Balance Sheet

The company maintains a low debt-to-equity ratio of 0.079, suggesting conservative leverage and financial stability. However, the return on equity is negative at -2.41%, indicating that the company is not generating sufficient returns on shareholders' equity. The equity ratio is strong, highlighting a solid capital structure, but profitability remains a concern.

Cash Flow

Block Energy Plc has shown significant improvement in free cash flow growth at 412.65%, indicating better cash management. The operating cash flow to net income ratio is 0.64, suggesting that the company is generating cash from operations, though the free cash flow to net income ratio of 0.53 indicates room for improvement in converting earnings into cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	7.22M	7.53M	8.37M	8.26M	6.11M	1.25M
Gross Profit	3.07M	2.78M	3.17M	2.31M	3.13M	-948.00K
EBITDA	453.00K	858.00K	-909.00K	415.00K	-1.79M	-4.72M
Net Income	-1.25M	-609.00K	-2.21M	-1.61M	-4.78M	-5.51M
Balance Sheet
Total Assets	28.45M	29.48M	29.96M	30.62M	30.93M	34.01M
Cash, Cash Equivalents and Short-Term Investments	845.00K	1.14M	713.00K	450.00K	1.24M	6.33M
Total Debt	2.00M	2.00M	2.00M	0.00	0.00	0.00
Total Liabilities	3.37M	4.17M	4.26M	3.42M	3.86M	4.32M
Stockholders Equity	25.08M	25.31M	25.71M	27.20M	27.07M	29.69M
Cash Flow
Free Cash Flow	771.00K	734.00K	-1.52M	-1.21M	-6.97M	-5.81M
Operating Cash Flow	1.18M	1.40M	1.57M	1.52M	-565.00K	-3.19M
Investing Cash Flow	-706.00K	-657.00K	-3.06M	-2.45M	-6.12M	-2.60M
Financing Cash Flow	-278.00K	-311.00K	1.75M	-1.00K	1.46M	5.34M

Block Energy Plc Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.80
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:BLOE, the sentiment is Neutral. The current price of 0.8 is above the 20-day moving average (MA) of 0.74, above the 50-day MA of 0.76, and below the 200-day MA of 0.88, indicating a neutral trend. The MACD of 0.02 indicates Negative momentum. The RSI at 55.31 is Neutral, neither overbought nor oversold. The STOCH value of 46.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for GB:BLOE.

Block Energy Plc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
BLOE	51 Neutral	£8.03M	-13.33	―	―	-12.37%	76.00%
ORCA	33 Underperform	£10.47M	-11.04	―	―	―	27.27%

Block Energy Plc Corporate Events

Block Energy plc Announces General Meeting to Discuss Strategic Initiatives in Georgia

Block Energy plc has announced a General Meeting scheduled for December 12, 2025, at its London office. This meeting is part of the company’s ongoing efforts to engage with shareholders and discuss its strategic initiatives in Georgia, where it aims to unlock significant energy potential. The company’s focus on the Georgian market, with its substantial gas resources, positions it to contribute to regional energy development and potentially impact the EU energy market.

Block Energy Simplifies Capital Structure with Share Option Overhaul

Block Energy plc has announced a simplification of its capital structure by canceling a significant portion of unexercised share options and issuing new ordinary shares to staff members. This move aims to reduce the complexity of the company’s capital structure and address the overhang of options, potentially improving market perception and shareholder value. The simplification exercise involves exchanging previously granted options for new shares, with the overall share capital increasing slightly while the number of options in issue decreases significantly. The company’s largest shareholder, the Block Energy plc Employee Benefit Trust, will utilize its shares as part of this exercise, and additional shares will be issued to balance the changes.

Block Energy Secures £1.5 Million Fundraise to Propel Growth Initiatives

Block Energy plc has successfully raised £1.5 million through an institutional equity fundraising, enhancing its financial flexibility to advance various growth initiatives. The funds will support farm-out projects, development of a CCS project, and exploration of new ventures in Georgia and internationally. The company is making significant progress on several projects, including Project IV and Project III, which involve strategic partnerships and potential gas production increases. The successful drilling of well KRT-39ST using ‘slim-hole’ technology marks a technical milestone for the company in Georgia.

Block Energy Secures £1.5 Million to Propel Georgian Energy Projects

Block Energy plc has successfully raised £1.5 million through an equity fundraising, strengthening its financial position to advance multiple projects in Georgia. The funds will support ongoing farm-out negotiations for Projects III and IV, as well as the development of a carbon capture and storage project and new ventures. The company is making significant progress in its operations, including the successful drilling of well KRT-39ST using slim-hole technology and advancing negotiations with international partners for strategic gas projects. This fundraising and operational update positions Block Energy to enhance its industry standing and deliver growth opportunities.

Block Energy Reports Interim Results with Strategic Advancements

Block Energy plc reported its interim results for the first half of 2025, highlighting stable production levels and strategic advancements despite a financial loss. The company faced a loss of $639,000 due to falling oil prices and reduced inventory levels, but maintained operationally positive cash flow and reduced general and administrative expenses. Key developments included acquiring operational rights to Samgori South Dome, progressing a CCS project, and securing a farm-in agreement with a leading E&P company, positioning Block Energy for future growth and enhanced shareholder value.

Block Energy Launches Cost-Effective Drilling Pilot in Georgia

Block Energy plc has announced the spud of KRT-39ST, a pilot project utilizing new ‘slim hole’ technology that significantly reduces drilling costs by approximately 40% compared to conventional methods. If successful, this technology could be applied to other projects, potentially enhancing the company’s operational efficiency and strengthening its position in the Georgian energy market.