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Itaconix PLC (GB:ITX)
LSE:ITX
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Itaconix (ITX) AI Stock Analysis

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GB:ITX

Itaconix

(LSE:ITX)

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Neutral 50 (OpenAI - 4o)
Rating:50Neutral
Price Target:
Itaconix faces significant profitability and cash flow challenges despite revenue growth and a strong equity base. Technical indicators show bearish trends, and valuation metrics are weak. However, strategic initiatives and product innovations offer a positive future outlook, slightly boosting the overall score.

Itaconix (ITX) vs. iShares MSCI United Kingdom ETF (EWC)

Itaconix Business Overview & Revenue Model

Company DescriptionItaconix plc, together with its subsidiaries, designs, develops, manufactures, and sells bio-based polymers for personal care, home care, and industrial sectors in North America and Europe. The company's home care and industrial products include Itaconix TSI, Itaconix DSP, Itaconix CHT, and Itaconix VELASOFT water soluble polymers; and Itaconix ZINADOR 22L and 35L, which are water soluble odor neutralizers. Its personal care products comprise Itaconix VELAFRESH ZP20 and ZP30 that are water soluble fixating complexes; and Nouryon Amaze SP, a hair styling ingredient. The company was formerly known as Revolymer plc and changed its name to Itaconix plc in February 2017. Itaconix plc was incorporated in 2012 and is headquartered in Stratham, New Hampshire.
How the Company Makes MoneyItaconix generates revenue by producing and selling its plant-based polymers to manufacturers in various industries, including home care, personal care, and industrial sectors. The company forms strategic partnerships and collaborations with other businesses to expand its market reach and enhance product development. Revenue streams primarily consist of product sales, licensing agreements, and potentially royalties obtained from proprietary technology used by partners. Itaconix's focus on sustainable ingredients aligns with growing consumer demand for environmentally friendly products, a significant factor contributing to its earnings.

Itaconix Earnings Call Summary

Earnings Call Date:Sep 15, 2025
(Q2-2025)
|
% Change Since: |
Next Earnings Date:Jun 09, 2026
Earnings Call Sentiment Positive
The earnings call highlighted significant revenue growth and improved financial performance, with a path to profitability in sight. However, challenges remain, including low profit margins for certain segments and customer concentration risks. Overall, the company's outlook is optimistic with plans for future expansion.
Q2-2025 Updates
Positive Updates
Record Revenue Growth
Sales reached $4.8 million, a 73% increase from H1 2024, marking a record half for the business.
Improved Financial Performance
Gross profit increased to $1.7 million, maintaining a gross profit margin of 35%. EBITDA losses improved from $800,000 in H1 2024 to $200,000 in H1 2025.
Strong Performance in North America
Sales in North America were $3.3 million, comprising 68% of total sales, driven by the recovery in the North American detergent market.
SPARX Formulation Solutions Growth
Revenue from SPARX formulation solutions grew to $1.5 million, a 156% increase from H1 2024.
Path to Profitability
Company is one major revenue step away from reaching profitability, with a focus on expanding existing customers and new opportunities.
Negative Updates
Low Gross Profit Margin for SPARX
SPARX formulation solutions have a low gross profit margin of 13%, indicating limited profitability from this segment.
Dependence on a Few Key Customers
Three customers accounted for 49% of turnover, posing a risk if any of these customers are lost.
Limited Commercial Volume from BIO*Asterix
BIO*Asterix generated small e-commerce sales with no significant commercial volumes expected in the near term.
Company Guidance
During the recent call, Itaconix plc provided an optimistic outlook based on their performance in the first half of 2025. The company reported record sales of $4.8 million, marking a 73% increase from H1 2024, and a record gross profit of $1.7 million, maintaining a gross profit margin of 35%. Adjusted EBITDA losses were reduced to $200,000 from $800,000 in H1 2024. They ended the period with $6.6 million in net working capital, indicating strong resources for future growth. Their Performance Ingredients unit contributed $3.3 million in revenue, a 51% increase from the previous year, and the SPARX program's revenue grew by 156% to $1.5 million. The company is focused on expanding their scale inhibitors and odor neutralizers, with strategic initiatives like the SPARX and Bio*Asterix programs driving future growth. Despite a subdued share price, the company remains confident in their path to profitability, supported by a robust technology platform and a diversified customer base across North America and Europe.

Itaconix Financial Statement Overview

Summary
Itaconix demonstrates revenue growth and a solid equity base, but struggles with profitability and cash flow sustainability. Despite low leverage, the challenge lies in achieving positive net income and free cash flow to ensure long-term financial stability.
Income Statement
45
Neutral
The company shows a modest revenue growth from $6.22M in 2023 to $6.50M in 2024, indicating a positive trend. However, the net income remains negative, with a net profit margin of -28.68% in 2024, suggesting ongoing profitability challenges. The EBIT and EBITDA margins are also negative, highlighting operational inefficiencies.
Balance Sheet
65
Positive
The balance sheet reflects strong equity with a debt-to-equity ratio of 0.21, implying low financial leverage and reduced risk. The equity ratio is 70.80%, indicating a stable capital structure. However, the company has negative net income, which impacts return on equity calculations.
Cash Flow
50
Neutral
The free cash flow is negative, showing a decline, which is a concern for liquidity. However, the operating cash flow to net income ratio is unavailable due to negative values, complicating cash flow assessment. The company has managed to secure substantial financing cash flows in 2023, improving liquidity temporarily.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue6.50M6.22M4.57M
Gross Profit2.26M1.93M
EBITDA-1.52M-1.23M
Net Income-1.86M-1.54M
Balance Sheet
Total Assets13.18M11.98M2.43M
Cash, Cash Equivalents and Short-Term Investments6.73M6.92M
Total Debt1.97M2.24M
Total Liabilities3.85M3.10M
Stockholders Equity9.33M8.88M
Cash Flow
Free Cash Flow-3.34M-2.18M
Operating Cash Flow-2.75M-1.92M
Investing Cash Flow5.95M
Financing Cash Flow-279.00K9.07M

Itaconix Technical Analysis

Technical Analysis Sentiment
Negative
Last Price110.00
Price Trends
50DMA
127.39
Negative
100DMA
117.98
Negative
200DMA
125.26
Negative
Market Momentum
MACD
-6.18
Positive
RSI
31.23
Neutral
STOCH
28.82
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:ITX, the sentiment is Negative. The current price of 110 is below the 20-day moving average (MA) of 121.65, below the 50-day MA of 127.39, and below the 200-day MA of 125.26, indicating a bearish trend. The MACD of -6.18 indicates Positive momentum. The RSI at 31.23 is Neutral, neither overbought nor oversold. The STOCH value of 28.82 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:ITX.

Itaconix Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
70
Outperform
3.70B26.586.94%3.58%2.36%-13.99%
70
Outperform
597.53M20.353.73%8.57%4.75%-3.29%
50
Neutral
£14.83M-12.88%25.56%35.12%
46
Neutral
117.44M-1.40-6.65%-4.41%2.29%
45
Neutral
10.70M-2.95-72.63%-24.85%40.28%
61
Neutral
$10.43B7.12-0.05%2.87%2.86%-36.73%
* Basic Materials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GB:ITX
Itaconix
110.00
-22.50
-16.98%
GB:DCTA
Directa Plus
10.25
-1.25
-10.87%
GB:HDD
Hardide
7.38
1.26
20.59%
GB:HAYD
Haydale Graphene
0.52
0.23
79.31%
GB:IOF
Iofina plc
22.50
2.50
12.50%
GB:GEX
Mining, Minerals & Metals plc
5.15
-4.47
-46.47%

Itaconix Corporate Events

Shareholder MeetingsFinancial Disclosures
Itaconix Releases 2024 Accounts and Announces AGM
Neutral
May 2, 2025

Itaconix has announced the availability of its statutory accounts for the year ended December 31, 2024, along with a Notice of Annual General Meeting (AGM) on its website. The AGM is scheduled for May 8, 2025, in London, providing shareholders with an opportunity to engage with the company’s performance and future direction.

Spark’s Take on GB:ITX Stock

According to Spark, TipRanks’ AI Analyst, GB:ITX is a Neutral.

Itaconix faces significant profitability and cash flow challenges despite revenue growth and a strong equity base. Technical indicators show bearish trends, and valuation metrics are weak. However, strategic initiatives and product innovations offer a positive future outlook, slightly boosting the overall score.

To see Spark’s full report on GB:ITX stock, click here.

Business Operations and Strategy
Itaconix Navigates US Tariffs with Strategic Adjustments
Positive
May 1, 2025

Itaconix plc has announced that recent US trade actions are expected to increase production costs but positively impact US and European revenues. The company is implementing price increases and supply chain cost reductions to maintain profit margins. Despite potential tariff impacts, Itaconix remains confident in sustaining demand growth and profit margins, benefiting from the Euro’s rise against the US dollar and geographic shifts in US detergent supply.

Spark’s Take on GB:ITX Stock

According to Spark, TipRanks’ AI Analyst, GB:ITX is a Neutral.

Itaconix’s overall score is driven by modest revenue growth and a strong equity position. However, substantial profitability and cash flow issues weigh heavily on the score. Despite weak technical indicators and poor valuation metrics, recent strategic initiatives and product innovations offer a positive outlook, potentially enhancing future performance.

To see Spark’s full report on GB:ITX stock, click here.

Executive/Board ChangesBusiness Operations and Strategy
Itaconix Announces Grant of Share Options to Key Executives
Positive
Apr 7, 2025

Itaconix has announced the grant of 66,500 options over ordinary shares under its employee share option plan, with 26,500 options allocated to key managerial personnel. This move is part of Itaconix’s strategy to incentivize its leadership team, potentially strengthening its market position in the sustainable consumer product sector.

Product-Related AnnouncementsBusiness Operations and StrategyFinancial Disclosures
Itaconix Strengthens Market Position with Strategic Shifts and Innovation
Positive
Mar 31, 2025

Itaconix announced its preliminary results for 2024, highlighting a strategic shift towards a more profitable customer base and improved gross margins. Despite a decrease in total revenue due to exiting a low-margin North American contract, the company saw significant growth in its remaining revenue base, particularly in Europe and non-cleaning segments. The launch of the SPARX™ innovation program and new products like Itaconix® TSI™ 422 have positioned the company for future growth. With a strong cash position and expanded regulatory approvals, Itaconix is poised to enhance its market presence and profitability in the specialty ingredients sector.

Financial Disclosures
Itaconix to Announce 2024 Preliminary Results with Live Presentation
Neutral
Mar 18, 2025

Itaconix announced that its Preliminary Results for the year ended 31 December 2024 will be released on 31 March 2025. The company will hold a live presentation on the same day, open to all interested parties, to discuss these results, allowing stakeholders to submit questions before and during the event.

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: May 01, 2025