Cake Box Holdings (CBOX) AI Stock Analysis

• Market Cap: £81.40M
• Dividend Yield: 3.67%
• Average Volume (3M): 24.00K
• Price to Earnings (P/E): 14.9
• Beta (1Y): 0.43
• Revenue Growth: 7.46%
• EPS Growth: 9.36%
• Country: UK
• Employees: 173
• Sector: Consumer Cyclical
• Sector Strength: 59
• Industry: Grocery Stores
• EPS (TTM): 0.05
• Shares Outstanding: 44,000,000
• 10 Day Avg. Volume: 23,383
• 30 Day Avg. Volume: 24,002
• PEG Ratio: N/A
• Price to Book (P/B): 3.85
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 17.72
• 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: 79 Outperform
• Price Target: ―

Cake Box Holdings scores well overall, driven by strong financial performance and strategic corporate events. The company's solid revenue growth and profitability, combined with successful acquisitions and capital raises, underline its robust market position. Technical trends are positive, though high Stochastic levels suggest monitoring. Valuation is reasonable, backed by a healthy dividend yield, making it an attractive option for both growth and income investors.

Cake Box Holdings Business Overview & Revenue Model

Company Description

Cake Box Holdings Plc, through its subsidiaries, engages in the retail of fresh cream cakes in the United Kingdom. It offers cakes by celebration, cakes by design, and seasonal cakes, as well as wedding cakes. As of March 31, 2022, the company operated 185 franchise stores. It also engages in the property rental activities. Cake Box Holdings Plc was founded in 2008 and is headquartered in London, the United Kingdom.

How the Company Makes Money

Cake Box Holdings generates revenue primarily through its franchise model. The company's main revenue streams include franchise fees, sales of cakes and related products, and royalty fees based on franchisee sales. Franchisees purchase ingredients and supplies from the company, which provides a consistent revenue stream. Additionally, Cake Box Holdings benefits from economies of scale in its supply chain and leverages its established brand to attract new franchisees and customers. The company also engages in strategic marketing and promotional activities to drive sales and expand its market presence.

Cake Box Holdings Financial Statement Overview

Summary

Cake Box Holdings shows a well-rounded financial profile with strong income growth, effective cost management, and a stable financial structure with low leverage. Solid cash flow generation further supports its stability, though monitoring debt levels is advised.

Income Statement

Cake Box Holdings has demonstrated solid financial performance with consistent revenue growth over the years. The revenue growth rate from 2023 to 2024 was approximately 8.75%, indicating a strong upward trajectory. Gross Profit Margin stands at 51.83% for 2024, reflecting effective cost management. The Net Profit Margin is robust at 12.31%, showcasing solid profitability. With an EBIT Margin of 16.97% and an EBITDA Margin of 20.40%, the company is effectively converting sales into operating income. Overall, the income statement reflects strong growth and profitability metrics.

Balance Sheet

The balance sheet of Cake Box Holdings shows a healthy financial position. The Debt-to-Equity Ratio is low at 0.18, indicating prudent leverage levels. Return on Equity (ROE) is a strong 24.13%, signifying efficient use of equity capital. The Equity Ratio is 62.80%, suggesting a stable financial structure with a significant proportion of assets financed by equity. The company's solid equity base and low leverage enhance its financial stability, though potential increases in debt should be monitored.

Cash Flow

Cake Box Holdings exhibits strong cash flow metrics with a Free Cash Flow Growth Rate of 17.67% from 2023 to 2024, reflecting successful operational cash generation and efficient capital expenditure management. The Operating Cash Flow to Net Income Ratio is 1.35, indicating strong cash generation relative to net income. The Free Cash Flow to Net Income Ratio is a healthy 1.06, underscoring the company's capability to maintain its financial health and fund operations from its cash flow.

Breakdown
TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement		Total Revenue
38.62M	37.84M	34.80M	32.96M	21.91M	18.74M
	Gross Profit
20.47M	19.61M	16.04M	14.85M	10.26M	8.27M
	EBIT
6.77M	6.42M	5.53M	7.02M	4.71M	3.79M
	EBITDA
8.01M	7.72M	6.66M	8.80M	5.40M	4.28M
	Net Income Common Stockholders
4.95M	4.66M	4.24M	6.31M	3.37M	3.13M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
2.51M	8.45M	7.35M	6.57M	5.13M	3.68M
	Total Assets
8.46M	30.74M	27.82M	25.90M	19.15M	13.77M
	Total Debt
1.61M	3.57M	3.94M	4.31M	1.49M	1.61M
	Net Debt
-890.87K	-4.88M	-3.42M	-2.26M	-3.64M	-2.06M
	Total Liabilities
3.80M	11.44M	10.08M	9.12M	7.00M	4.29M
	Stockholders Equity
4.66M	19.30M	17.74M	16.78M	12.15M	9.48M
Cash Flow		Free Cash Flow
4.42M	4.93M	4.19M	4.08M	3.57M	2.05M
	Operating Cash Flow
6.12M	6.28M	6.15M	5.21M	4.28M	3.32M
	Investing Cash Flow
-2.38M	-1.14M	-1.90M	-1.12M	-678.51K	-587.78K
	Financing Cash Flow
-4.28M	-4.03M	-3.47M	-2.65M	-2.15M	-2.14M

Cake Box Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 185.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:CBOX, the sentiment is Positive. The current price of 185 is below the 20-day moving average (MA) of 191.03, above the 50-day MA of 184.04, and above the 200-day MA of 184.47, indicating a neutral trend. The MACD of 0.21 indicates Positive momentum. The RSI at 49.04 is Neutral, neither overbought nor oversold. The STOCH value of 33.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:CBOX.

Cake Box Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ULTP	79 Outperform	£63.60M	9.20	14.20%	4.10%	-7.42%	-42.84%
CBOX	79 Outperform	£81.40M	14.94	27.25%	3.67%	7.46%	9.36%
GRG	76 Outperform	£2.02B	13.19	27.86%	1.91%	11.32%	7.29%
DOM	66 Neutral	£1.02B	11.33		5.78%	-2.25%	-18.24%
Sector *	63 Neutral	$6.98B	11.41	2.80%	4.24%	2.68%	-24.94%
DPP		£87.16M	―	-9.29%	―	―	―
VCP	41 Neutral	£84.58M	―	486.49%	―	-11.73%	-62.35%

Cake Box Holdings Corporate Events

Cake Box Holdings Completes Acquisition of Ambala Foods

Cake Box Holdings PLC has successfully completed the acquisition of Ambala Foods Limited, as previously announced. This strategic acquisition is expected to enhance Cake Box’s market position and expand its product offerings, potentially benefiting stakeholders by strengthening the company’s operations and competitive edge.

Cake Box Holdings Sees Shift in Voting Rights with New Acquisition

Cake Box Holdings PLC has announced a significant change in its voting rights structure following an acquisition by AC Securities Luxembourg SV SA, which now holds 10.75% of the company’s voting rights, up from a previous 8.21%. This change indicates a strategic move by the Luxembourg-based entity, potentially impacting the company’s governance and signaling increased interest from international investors.

Cake Box Holdings PLC Announces Change in Voting Rights

Cake Box Holdings PLC announced a change in the breakdown of voting rights, with Ennismore Fund Management Limited reducing its voting rights from 6.5% to 5.91%. This adjustment in shareholder voting rights could influence future company decisions and reflects a shift in stakeholder engagement, potentially impacting the company’s strategic direction.

River Capital Increases Stake in Cake Box Holdings

Cake Box Holdings Plc has announced a change in its shareholder structure, with River Capital Pty Ltd, an investment firm based in Melbourne, Australia, increasing its stake in the company. River Capital now holds 8.30% of the voting rights, up from a previous 7.00%. This acquisition of voting rights signifies a growing interest and confidence in Cake Box Holdings’ market position and potential growth, potentially impacting the company’s strategic decisions and stakeholder interests.

Cake Box Holdings PLC Successfully Closes Oversubscribed Retail Offer

Cake Box Holdings PLC announced the successful closure of its Retail Offer, issuing 111,111 shares at 180 pence each. The offer was significantly oversubscribed, highlighting strong investor interest, and the shares are set to be admitted for trading on AIM, enhancing the company’s capital structure and market presence.

Cake Box Holdings PLC Raises £7 Million in Oversubscribed Share Placing

Cake Box Holdings PLC has successfully raised £7 million through an oversubscribed placing of new ordinary shares, with strong support from both existing and new institutional investors. The funds raised will enhance the company’s financial position and potentially strengthen its market presence, with the new shares expected to be admitted to trading on the AIM market of the London Stock Exchange.

Cake Box Holdings Announces Retail Offer and Placing to Raise Capital

Cake Box Holdings PLC has announced a retail offer to raise up to £0.2 million through the issuance of new ordinary shares, alongside a separate £7 million placing. The proceeds are intended for general working capital and to reduce leverage following the acquisition of Ambala Foods Limited. The retail offer is open to UK shareholders and is expected to commence trading on the AIM market of the London Stock Exchange on March 17, 2025.

Cake Box Acquires Ambala Foods to Expand Product Range and Market Presence

Cake Box Holdings PLC has announced the acquisition of Ambala Foods Limited, a leading UK manufacturer and retailer of Asian sweets, for £22 million. This acquisition is expected to enhance Cake Box’s earnings immediately and expand its product range, leveraging synergies between the two brands. The acquisition will be financed through a combination of a £7 million share placing, a £15.2 million term loan, and existing cash resources. Additionally, Cake Box is offering a retail offer to existing shareholders to raise up to £0.2 million. This strategic move is anticipated to strengthen Cake Box’s market position and drive growth.

Cake Box Holdings Welcomes Andrew Boteler as Non-Executive Director

Cake Box Holdings plc has appointed Andrew Boteler as a Non-Executive Director and Chair of the Audit Committee, effective 19 February 2025. Andrew Boteler brings over 30 years of experience in the financial sector, with significant expertise in financial oversight and strategy execution, which is expected to enhance Cake Box’s operational integrity and support its sustainable growth.