Pires Investments (MFAI) AI Stock Analysis

• Market Cap: £3.42M
• Dividend Yield: N/A
• Average Volume (3M): 2.64M
• Price to Earnings (P/E): 1.9
• Beta (1Y): -1.18
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: UK
• Employees: 2
• Sector: Financial
• Sector Strength: 70
• Industry: Asset Management
• EPS (TTM): >-0.01
• Shares Outstanding: 526,662,100
• 10 Day Avg. Volume: 2,413,329
• 30 Day Avg. Volume: 2,641,762
• PEG Ratio: 0.00
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 48 Neutral
• Price Target: 0.59p ▼(-1.00% Downside)

The score is held back primarily by weak cash-flow conversion and minimal revenue visibility despite a sharp reported profit rebound and a conservatively levered balance sheet. Technicals are bearish with price below key moving averages and a negative MACD, while valuation appears optically cheap on P/E but is less reliable given earnings quality concerns.

Positive Factors

Balance sheet strength

Material equity growth and a sharply lower debt-to-equity ratio create lasting financial flexibility. Low leverage reduces insolvency risk, supports absorbing investment mark volatility, and preserves optionality for capital allocation or portfolio investment over the medium term.

Earnings recovery

A significant swing to positive net income and higher ROE signals the firm can generate investment gains that rebuild capital. If sustained, stronger earnings enhance retained capital for growth, improve investor confidence, and reduce strain on the balance sheet over several quarters.

Improving cash-flow trend

Progress toward less negative free cash flow indicates operational adjustments or portfolio outcomes edging cash conversion in the right direction. Continued improvement would reduce reliance on balance sheet moves and support longer-term financial sustainability.

Negative Factors

Negative cash generation

Persistent negative operating and free cash flow means reported profits are not converting into cash. This undermines the sustainability of distributions and reinvestment, increases reliance on financing or asset sales, and raises structural liquidity risk over months.

Low recurring revenue

Near-absent recurring revenue implies operating results hinge on portfolio marks rather than stable fee income. That structural lack of recurring revenue makes cash flow and margins highly sensitive to market cycles, complicating forecasting and client retention long-term.

Earnings volatility

Large year-to-year swings in net income indicate performance is driven by investment revaluations and not predictable operations. Such volatility weakens capacity for steady capital planning, heightens equity sensitivity to portfolio marks, and can deter longer-term investors or clients.

Pires Investments Business Overview & Revenue Model

Company Description

Mindflair Plc is a venture capital firm specializing in growth capital. It provides access for public market investors to companies at an early stage of their growth trajectory. The firm is focused on both direct and co-investment in technology companies and in specialist technology venture capital funds. It seeks to invest in artificial intelligence, Big Data, machine learning, cyber security, internet of things and augmented and virtual reality. It invests in the United Kingdom, Ireland and Europe more generally but will also consider investments in wider geographical regions. Pires Investments plc was incorporated in 1994 and is based in London, the United Kingdom.

How the Company Makes Money

Pires Investments Financial Statement Overview

Summary

Financials are mixed: reported profitability rebounded sharply in 2024 and leverage is low with rising equity, but earnings quality is weak due to persistent negative operating/free cash flow and minimal recurring revenue visibility. Ongoing cash burn is the key risk despite the balance-sheet improvement.

Income Statement

Profitability is volatile: the company swung from losses in 2022–2023 (net losses of about 0.4m and 2.7m) to a strong profit in 2024 (net income about 3.2m). However, reported revenue is effectively minimal/zero in most years (only ~0.01m in 2022), which makes margin and growth signals hard to rely on and suggests results are likely driven by fair-value/investment revaluations rather than recurring operating revenue. Overall: improving earnings momentum in 2024, but low revenue visibility and high year-to-year earnings variability.

Balance Sheet

The balance sheet looks conservatively levered with low debt relative to equity (debt-to-equity improved to ~0.08 in 2024 from ~0.23 in 2023), and equity increased materially (to ~10.8m in 2024 from ~5.8m in 2023). Returns on equity also rebounded sharply (about +29% in 2024 vs. -46% in 2023), reflecting the earnings recovery. Key watch-out: profitability swings imply equity value could be sensitive to investment marks and portfolio outcomes even if leverage is low.

Cash Flow

Cash generation is weak: operating cash flow and free cash flow are negative in every year shown (roughly -0.5m to -1.0m annually). Despite improved free-cash-flow trends versus 2022–2023, cash flow still does not support reported profits—2024 shows positive net income (~3.2m) alongside negative operating cash flow (~-0.5m), indicating earnings are not converting into cash. Overall: persistent cash burn is the main financial statement risk.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2019
Income Statement
Total Revenue	342.00	0.00	0.00	14.00K	0.00	1.37K
Gross Profit	342.00	0.00	0.00	14.00K	0.00	1.37K
EBITDA	216.38K	3.15M	-2.67M	-1.21M	-2.67M	-1.44M
Net Income	216.38K	3.16M	-2.67M	-366.00K	1.49M	865.51K
Balance Sheet
Total Assets	2.43M	11.83M	7.39M	9.35M	7.40M	2.60M
Cash, Cash Equivalents and Short-Term Investments	2.41M	11.36M	6.70M	8.98M	7.39M	2.59M
Total Debt	0.00	885.00K	1.33M	1.24M	0.00	0.00
Total Liabilities	67.68K	1.04M	1.55M	1.53M	175.00K	38.93K
Stockholders Equity	2.36M	10.79M	5.84M	7.82M	7.22M	2.56M
Cash Flow
Free Cash Flow	―	-532.00K	-701.00K	-1.03M	-545.00K	-388.17K
Operating Cash Flow	―	-532.00K	-701.00K	-1.03M	-545.00K	-388.17K
Investing Cash Flow	254.03K	-1.11M	-538.00K	-694.00K	-955.00K	1.02M
Financing Cash Flow	187.36K	1.66M	595.00K	2.20M	855.00K	749.46K

Pires Investments Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
MFAI	48 Neutral	£3.42M	1.91	12.84%	―	―	―
PRIM	48 Neutral	£5.00M	-8.16	-12.33%	―	―	―
TERN	40 Underperform	£3.20M	-5.94	-19.70%	―	-77.04%	86.67%

Pires Investments Corporate Events

Mindflair’s Vizgard Selected for NATO’s DIANA 2026 Cohort

Mindflair plc announced that its portfolio company, Vizgard Limited, has been selected for NATO’s Defence Innovation Accelerator for the North Atlantic (DIANA) 2026 cohort. This selection from nearly 4,000 submissions highlights Vizgard’s innovative edge-to-cloud platform that automates visual autonomy for defence and security systems. Participation in DIANA provides Vizgard with €100,000 in non-dilutive funding, access to NATO test centers, mentorship, and a streamlined procurement pathway, enhancing its strategic positioning in the defence technology market.

Mindflair plc Invests in AI Data Security Innovator Mirror Security

Mindflair plc has announced that Sure Valley Ventures’ third fund, in which it holds an interest, has invested in Mirror Security Limited, a Dublin-based cybersecurity company specializing in data protection for the generative AI ecosystem. Mirror Security, founded at University College Dublin, addresses the critical issue of data confidentiality in AI adoption with its Fully Homomorphic Encryption technology, VectaX. The company has secured a strategic partnership with Inception AI to deploy its AI security stack globally, enhancing secure AI adoption across enterprise and government sectors.

Mindflair’s Stylus Education Secures DfE Funding for AI Development

Mindflair plc announced that its portfolio company, Stylus Education, has been awarded approximately £250,000 in funding by the UK’s Department for Education under the ‘AI Tools for Education’ programme. This funding will support Stylus in developing its AI-powered platform that automates the marking and feedback process for handwritten student work, aiming to reduce teacher workload and enhance feedback quality. The recognition by the DfE highlights the potential impact of Stylus’s technology in the education sector, promising scalable adoption and improved educational outcomes.

Mindflair’s Everyangle Expands AI Retail Innovations and Wins Industry Award

Mindflair plc announced that its portfolio company, Everyangle, is expanding its Vision AI platform, which is designed to optimize in-store retail performance. Everyangle’s technology has been deployed in Primark’s new flagship store in Kuwait and expanded across H&M stores in the GCC, reflecting strong demand from global fashion brands. The company also received the Cisco Global AI Innovation Award, highlighting its leadership in AI-driven retail analytics. These developments underscore Everyangle’s role as a key player in retail intelligence, enhancing operations and customer experience for leading global brands.

Mindflair plc Invests in Oxford AI Spinout Astut Limited

Mindflair plc has announced that Sure Valley Ventures’ second fund, in which it holds an interest, has invested in Astut Limited, a hybrid AI company spun out from the University of Oxford. Astut is developing technology for transparent decision-making in high-stakes scenarios, particularly in defense and security sectors. This investment aligns with Mindflair’s strategy to support innovative AI companies that address complex challenges, potentially enhancing its market position and offering significant implications for stakeholders in terms of technological advancements and strategic partnerships.