Iofina plc (IOF) AI Stock Analysis

• Market Cap: £48.92M
• Dividend Yield: N/A
• Average Volume (3M): 188.59K
• Price to Earnings (P/E): 13.1
• Beta (1Y): 0.42
• Revenue Growth: 8.48%
• EPS Growth: 29.33%
• Country: UK
• Employees: 108
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals - Specialty
• EPS (TTM): <0.01
• Shares Outstanding: 191,858,400
• 10 Day Avg. Volume: 227,450
• 30 Day Avg. Volume: 188,590
• PEG Ratio: -0.28
• Price to Book (P/B): 0.97
• Price to Sales (P/S): 0.85
• P/FCF Ratio: 22.95
• 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: £45.00
• Price Target Upside: 76.47% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 72 Outperform
• Price Target: 27.00p ▲(5.88% Upside)

Iofina plc's overall stock score is driven by its strong financial stability and strategic corporate developments. While technical indicators suggest caution due to overbought conditions, the company's valuation and growth prospects remain attractive.

Positive Factors

Cash Generation

Significant improvement in free cash flow growth indicates strong cash generation capabilities, enhancing financial flexibility and supporting future investments.

Balance Sheet Health

A low debt-to-equity ratio reflects financial stability and low leverage, providing the company with resilience against economic fluctuations and the ability to invest in growth opportunities.

Revenue Growth

Consistent revenue growth demonstrates the company's ability to expand its market reach and product adoption, supporting long-term business sustainability.

Negative Factors

Profitability Challenges

Declining net profit margins indicate pressure on profitability, which could affect the company's ability to reinvest in growth and reward shareholders.

Operational Efficiency

Reduced gross profit margins suggest challenges in maintaining operational efficiency, potentially impacting cost management and competitive positioning.

Return on Equity

A decrease in return on equity indicates reduced profitability on shareholder investments, which may deter potential investors and affect capital raising efforts.

Iofina plc Business Overview & Revenue Model

Company Description

Iofina plc engages in the exploration and production of iodine, iodine specialty chemical derivatives, produced water, and natural gas in the United States and the United Kingdom. It offers halogen chemicals, disinfectants, electronic specialty gases, sanitizers, heat stabilizers, preservatives, and specialty intermediates, as well as animal health, mineral separation, and odor control products for use in electronics/semiconductor, pharmaceutical, food and beverage, personal care, paints and coatings, dairy, chemical intermediates, gemological, fish and wildlife, and nylon markets. The company also provides turnkey mid-stream fee based solutions to third party brine stream operators to extract iodine. Iofina plc was founded in 2005 and is based in London, the United Kingdom.

How the Company Makes Money

Iofina generates revenue primarily through the sale of high-purity iodine and iodine derivatives, which are sold to various sectors including pharmaceuticals, agricultural chemicals, and industrial applications. The company employs a unique extraction technology that allows it to efficiently recover iodine from brine, enabling a competitive cost structure. Key revenue streams include direct sales to manufacturers and distributors in these sectors. Additionally, Iofina may engage in strategic partnerships or contracts with companies that require consistent iodine supply, further solidifying its market position and ensuring stable cash flows. Fluctuations in iodine pricing and demand dynamics in end-use markets also significantly influence the company’s earnings.

Iofina plc Financial Statement Overview

Summary

Iofina plc demonstrates a stable financial position with low leverage and strong cash flow generation. However, declining profitability margins and return on equity indicate challenges in maintaining growth and efficiency. The company needs to focus on improving operational performance to enhance profitability and shareholder returns.

Income Statement

Iofina plc has shown a moderate revenue growth rate of 5.32% in the latest year, with a declining trend in gross profit margin from 31.29% to 24.30%. The net profit margin also decreased from 13.12% to 5.36%, indicating pressure on profitability. The EBIT and EBITDA margins have similarly declined, reflecting challenges in maintaining operational efficiency.

Balance Sheet

The company has a strong balance sheet with a low debt-to-equity ratio of 0.09, indicating low leverage and financial stability. However, the return on equity has decreased from 14.67% to 6.11%, suggesting reduced profitability on shareholder investments. The equity ratio remains robust, highlighting a solid capital structure.

Cash Flow

Iofina plc's free cash flow growth rate has significantly improved by 72.67%, showing enhanced cash generation capabilities. The operating cash flow to net income ratio is healthy at 0.93, indicating efficient cash conversion. However, the free cash flow to net income ratio has decreased, reflecting potential challenges in translating earnings into free cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	57.65M	54.47M	50.04M	42.20M	39.04M	29.69M
Gross Profit	14.36M	13.24M	15.65M	15.83M	10.73M	8.40M
EBITDA	8.37M	7.65M	10.64M	12.07M	7.13M	4.61M
Net Income	4.82M	2.92M	6.56M	7.87M	9.19M	1.28M
Balance Sheet
Total Assets	70.23M	63.78M	60.52M	52.71M	44.45M	39.83M
Cash, Cash Equivalents and Short-Term Investments	6.42M	6.86M	6.52M	5.93M	5.26M	4.38M
Total Debt	7.47M	4.26M	5.84M	7.20M	8.68M	12.62M
Total Liabilities	19.91M	15.99M	15.77M	14.73M	14.48M	19.18M
Stockholders Equity	50.32M	47.79M	44.75M	37.97M	29.96M	20.66M
Cash Flow
Free Cash Flow	-1.70M	2.02M	2.34M	2.46M	6.41M	1.33M
Operating Cash Flow	8.37M	11.53M	8.57M	5.55M	7.89M	3.78M
Investing Cash Flow	-9.94M	-9.34M	-6.10M	-3.07M	-1.47M	-2.43M
Financing Cash Flow	2.19M	-1.85M	-1.88M	-1.81M	-4.64M	-6.58M

Iofina plc Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 25.50
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:IOF, the sentiment is Positive. The current price of 25.5 is above the 20-day moving average (MA) of 23.26, above the 50-day MA of 22.78, and above the 200-day MA of 23.48, indicating a bullish trend. The MACD of 0.66 indicates Negative momentum. The RSI at 75.63 is Negative, neither overbought nor oversold. The STOCH value of 58.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:IOF.

Iofina plc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IOF	72 Outperform	£48.92M	13.14	10.25%	―	8.48%	29.33%
ZTF	62 Neutral	£189.29M	269.44	0.60%	2.00%	15.56%	-92.94%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
HAYD	55 Neutral	£22.99M	-1.31	―	―	-27.64%	35.09%
ITX	54 Neutral	£14.50M	-15.03	-12.88%	―	25.56%	35.12%
HDD	53 Neutral	£13.99M	-32.27	-11.10%	―	14.51%	77.27%
DCTA	51 Neutral	£7.05M	-1.95	-78.76%	―	-24.85%	40.28%

Iofina plc Corporate Events

Iofina Partners with Western Midstream for New IOsorb® Plant in Permian Basin

Iofina plc has announced an agreement with Western Midstream Partners to develop a new IOsorb® plant in the Permian Basin, which will utilize the company’s WET IOsorb® technology to extract iodine from produced water. This new facility, expected to be operational in the second half of 2026, will double the brine water processing capacity to 50,000 barrels per day and is projected to become Iofina’s largest producing plant. The partnership with Western Midstream, a leader in produced water infrastructure, is a strategic move to enhance Iofina’s production capabilities and expand its presence in the Permian Basin, a significant area for U.S. crude oil production.

Iofina Achieves Record Iodine Production in Q3 2025

Iofina plc reported a record quarter in iodine production, achieving a 32% year-on-year increase with 215.8 metric tonnes produced in Q3 2025. The company attributes this growth to the successful operation of its eight IOsorb® plants in Oklahoma, including the new IO#11 plant. With strong iodine prices and demand, Iofina is optimistic about meeting its production targets for the second half of the year and is in the final stages of negotiations for its IO#12 plant, indicating continued expansion and positive outlook into 2026.

Iofina Achieves Record Revenue and Iodine Production in H1 2025

Iofina plc reported record revenues and iodine production for the first half of 2025, with a 12.3% increase in revenue to $29.2 million and a 21.2% rise in gross profit to $6.3 million. The company achieved a 10.6% increase in iodine production, supported by strong market demand and high iodine prices. The commissioning of the new IO#11 plant is expected to significantly contribute to future production, with the company anticipating production of 400-440 metric tonnes of crystalline iodine in the second half of 2025. Iofina remains well-positioned to continue its growth strategy, leveraging strong cash generation and banking facilities to finance ongoing operational investments.