Fonix Mobile PLC (FNX) AI Stock Analysis

• Market Cap: £170.93M
• Dividend Yield: 7.02%
• Average Volume (3M): 139.88K
• Price to Earnings (P/E): 15.3
• Beta (1Y): <0.01
• Revenue Growth: -4.35%
• EPS Growth: 5.34%
• Country: UK
• Employees: 50
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Infrastructure
• EPS (TTM): 0.05
• Shares Outstanding: 99,088,830
• 10 Day Avg. Volume: 128,757
• 30 Day Avg. Volume: 139,876
• PEG Ratio: 0.00
• Price to Book (P/B): 21.40
• Price to Sales (P/S): 3.10
• P/FCF Ratio: 27.01
• 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: £293.00
• Price Target Upside: 67.43% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 77 Outperform
• Price Target: 199.00p ▲(13.71% Upside)

Fonix Mobile PLC's strong financial performance and attractive valuation are key strengths, supported by positive corporate events indicating strategic growth and shareholder confidence. Technical analysis suggests short-term bullish momentum, though longer-term resistance may exist. The absence of earnings call data limits insights into management's outlook.

Positive Factors

Transaction-based carrier billing business model

Fonix’s transaction-based carrier billing model ties revenue to payment volumes and merchant usage, creating recurring, scalable revenue if merchant relationships and MNO integrations are maintained. This aligns incentives with clients and supports durable transaction fee income over time.

Strong balance sheet and high ROE

Low leverage paired with an ROE consistently above 90% demonstrates strong capital efficiency and financial flexibility. Minimal debt reduces solvency risk and gives management scope to invest in growth or return cash to shareholders without materially increasing financial risk.

Robust free cash flow generation

Meaningful FCF growth and near parity with net income indicate strong cash conversion, enabling reinvestment, dividends, or M&A without heavy external financing. Consistent cash generation improves resilience to revenue variability and funds long-term strategic initiatives.

Negative Factors

Declining revenue growth

A negative and worsening revenue trend signals challenges in demand or merchant retention. Sustained top-line decline constrains operating leverage, limits reinvestment capacity, and forces reliance on cost cuts or new product additions to restore long-term growth trajectory.

Low operating cash flow relative to net income

Lower operating cash conversion versus reported earnings suggests some profits may not be recurring cash. This weakens internal funding for growth and increases sensitivity to working-capital swings, exposing the company to liquidity pressure during revenue slowdowns.

Dependence on MNO and merchant integrations

The business is structurally dependent on maintaining carrier (MNO) agreements and onboarding/retaining merchants. Losses, unfavorable renegotiations, or concentrated partner exposure could materially reduce transaction volumes and revenues, posing execution and contract-renewal risk.

Fonix Mobile PLC Business Overview & Revenue Model

Company Description

Fonix Mobile Plc provides mobile payments and messaging services for media, charity, gaming, ticketing, mobility, and other digital service businesses in the United Kingdom. It offers carrier and SMS billing, and managed services. The company was incorporated in 2006 and is based in London, United Kingdom.

How the Company Makes Money

Fonix Mobile generates revenue through multiple streams, primarily focusing on mobile payments and messaging services. The company earns money by charging fees for mobile billing transactions, where businesses can bill customers directly through their mobile phone accounts. Additionally, Fonix offers premium rate messaging services, allowing businesses to send interactive messages to consumers, for which they receive a share of the revenue generated. Strategic partnerships with mobile network operators and businesses further enhance its revenue generation capabilities, as these collaborations allow Fonix to expand its service offerings and reach a broader customer base. The company's ability to innovate and adapt its technology to meet market demands also plays a crucial role in sustaining its earnings.

Fonix Mobile PLC Financial Statement Overview

Summary

Fonix Mobile PLC exhibits a robust financial position with strong profitability and efficient cash flow management. The company maintains healthy margins and a solid balance sheet with minimal leverage. However, the recent decline in revenue growth poses a challenge that needs to be addressed to sustain long-term growth.

Income Statement

Fonix Mobile PLC has shown a consistent ability to maintain healthy profit margins, with a Gross Profit Margin averaging around 24% and a Net Profit Margin around 15% over the years. However, the recent decline in revenue growth rate to -3.19% in 2025 indicates a potential challenge in sustaining revenue growth. Despite this, the company has managed to improve its EBIT and EBITDA margins, reflecting operational efficiency.

Balance Sheet

The company maintains a strong balance sheet with a very low Debt-to-Equity Ratio, indicating minimal leverage and financial risk. The Return on Equity is impressive, consistently above 90%, showcasing the company's ability to generate profits from shareholders' equity. The Equity Ratio is stable, reflecting a solid capital structure.

Cash Flow

Fonix Mobile PLC has demonstrated strong Free Cash Flow growth, particularly in recent years, with a notable increase of 19.84% in 2025. The Free Cash Flow to Net Income ratio is nearly 1, indicating efficient cash generation relative to net income. However, the Operating Cash Flow to Net Income ratio is relatively low, suggesting potential areas for improvement in operational cash flow management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	72.78M	72.78M	76.09M	64.92M	53.65M	47.67M
Gross Profit	17.61M	17.61M	17.06M	15.07M	13.23M	11.35M
EBITDA	15.29M	15.29M	14.72M	11.78M	10.17M	7.91M
Net Income	11.14M	11.14M	10.62M	8.80M	8.03M	6.06M
Balance Sheet
Total Assets	57.98M	57.98M	64.35M	58.02M	50.14M	43.36M
Cash, Cash Equivalents and Short-Term Investments	22.00M	22.00M	26.48M	20.65M	16.99M	17.34M
Total Debt	146.00K	146.00K	262.00K	17.00K	133.00K	244.00K
Total Liabilities	47.45M	47.45M	53.65M	48.63M	42.32M	38.13M
Stockholders Equity	10.53M	10.53M	10.70M	9.39M	7.82M	5.22M
Cash Flow
Free Cash Flow	8.34M	8.34M	16.43M	10.79M	5.30M	-7.81M
Operating Cash Flow	8.36M	8.36M	16.45M	11.85M	5.92M	-7.26M
Investing Cash Flow	-1.30M	-1.30M	-1.08M	-718.00K	-617.00K	-529.00K
Financing Cash Flow	-11.54M	-11.54M	-9.54M	-7.47M	-5.65M	-3.49M

Fonix Mobile PLC Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 175.00
• 50DMA: Negative
• 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:FNX, the sentiment is Neutral. The current price of 175 is above the 20-day moving average (MA) of 171.70, below the 50-day MA of 180.12, and below the 200-day MA of 199.41, indicating a neutral trend. The MACD of -2.14 indicates Negative momentum. The RSI at 49.89 is Neutral, neither overbought nor oversold. The STOCH value of 73.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for GB:FNX.

Fonix Mobile PLC Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FNX	77 Outperform	£170.93M	15.33	104.98%	7.02%	-4.35%	5.34%
BOKU	70 Outperform	£668.51M	65.32	9.64%	―	22.19%	78.35%
BGO	69 Neutral	£66.59M	-32.64	-10.50%	―	6.40%	70.78%
EWG	66 Neutral	£872.46M	95.45	3.98%	―	-0.85%	―
PAY	65 Neutral	£290.43M	18.32	16.31%	20.30%	1.58%	-57.55%
BKS	64 Neutral	£149.56M	49.89	7.35%	―	26.09%	32.43%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

Fonix Mobile PLC Corporate Events

Fonix Mobile PLC Announces Total Voting Rights Update

Fonix Mobile PLC announced that as of 30 November 2025, the total number of ordinary shares in issue is 100,000,000, with 896,335 shares held in treasury, resulting in total voting rights of 99,103,665. This figure is significant for shareholders to determine their interest in the company under the FCA’s Disclosure Guidance and Transparency Rules, impacting how they manage their stakes in Fonix.

The most recent analyst rating on (GB:FNX) stock is a Hold with a £196.00 price target. To see the full list of analyst forecasts on Fonix Mobile PLC stock, see the GB:FNX Stock Forecast page.

Fonix Mobile PLC Announces Exercise of Employee Share Options

Fonix Mobile PLC announced the exercise of employee share options involving 14,834 ordinary shares, which were transferred from Treasury to satisfy the exercise. This adjustment brings the company’s total issued share capital to 100,000,000 ordinary shares, with 896,335 remaining in Treasury and 99,103,665 shares representing the total voting share capital. The announcement reflects Fonix’s ongoing commitment to employee engagement through its Share Option Plan, potentially impacting shareholder interests and the company’s market positioning.

The most recent analyst rating on (GB:FNX) stock is a Hold with a £196.00 price target. To see the full list of analyst forecasts on Fonix Mobile PLC stock, see the GB:FNX Stock Forecast page.

Fonix Mobile PLC Reports Successful AGM with All Resolutions Passed

Fonix Mobile PLC announced that all resolutions proposed at their Annual General Meeting were successfully passed, reflecting strong shareholder support. This outcome underscores Fonix’s stable governance and strategic direction, potentially strengthening its market position and reassuring stakeholders of its continued growth and innovation in the mobile payments and messaging industry.

The most recent analyst rating on (GB:FNX) stock is a Hold with a £196.00 price target. To see the full list of analyst forecasts on Fonix Mobile PLC stock, see the GB:FNX Stock Forecast page.

Fonix Reports Strategic Growth and International Expansion

Fonix, a mobile payments and messaging provider, announced ongoing strategic growth and expansion across its target markets, with operations now live in Portugal and plans for further international market launches. The company is advancing its product rollout in the UK and has a strong pipeline of broadcaster opportunities, indicating confidence in its continued growth potential.

The most recent analyst rating on (GB:FNX) stock is a Hold with a £196.00 price target. To see the full list of analyst forecasts on Fonix Mobile PLC stock, see the GB:FNX Stock Forecast page.

Fonix PLC Announces AGM and Dividend Plans for 2025

Fonix Mobile PLC has released its Annual Report for the fiscal year ending June 30, 2025, and announced the schedule for its Annual General Meeting (AGM) set for November 13, 2025, in London. Shareholders will vote on a proposed final dividend of 5.90p per share, which, if approved, will be distributed on November 28, 2025. This announcement underscores Fonix’s commitment to rewarding its shareholders and reflects its ongoing growth and stability in the mobile payments and messaging industry.

The most recent analyst rating on (GB:FNX) stock is a Hold with a £215.00 price target. To see the full list of analyst forecasts on Fonix Mobile PLC stock, see the GB:FNX Stock Forecast page.