Microlise Group Holdings Ltd. (SAAS) AI Stock Analysis

• Market Cap: £171.02M
• Dividend Yield: 1.23%
• Average Volume (3M): 133.50K
• Price to Earnings (P/E): 335.5
• Beta (1Y): 1.00
• Revenue Growth: 10.82%
• EPS Growth: -230.15%
• Country: UK
• Employees: 800
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): -0.02
• Shares Outstanding: 115,945,950
• 10 Day Avg. Volume: 194,597
• 30 Day Avg. Volume: 133,505
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: £204.50
• Price Target Upside: 38.64% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 57 Neutral
• Price Target: 127.00p ▼(-13.90% Downside)

The overall stock score of 57 reflects a company with strong revenue growth and cash flow generation but facing significant profitability challenges. The technical analysis indicates bearish momentum, which could present a buying opportunity if the stock is oversold. Valuation concerns due to negative earnings are a major risk factor. The company needs to improve profitability to enhance shareholder value.

Microlise Group Holdings Ltd. Business Overview & Revenue Model

Company Description

Microlise Group plc provides transport management technology solutions. The company offers SaaS platform that digitizes the business processes of enterprise organizations running logistics operations. Its hardware and software technology solutions capture and analyze real-time transport and logistics data events to allow fleet operators to enhance across a range of key performance indicators, including operating efficiency, greenhouse gas emissions, and safety standards. The company offers fleet telematics products, including fleet tracking, fleet utilization, driver performance, driver communications, trailer telematics, and temperature monitoring; fleet safety monitoring, multi-camera solutions, and vehicle health products; journey management products comprising schedule management, route management, planning and optimization, customer communications, and workforce and resource management; delivery management products, such as electronic proof of delivery and sub-contractor management. It also provides Smart Gateway device that communicates a range of vehicle data to its software platform; and DriveTab, a tablet that acts as the interface for driver communication, navigation, and feedback. It serves fleet operators in the original equipment manufacturer, haulage and logistics, retail and grocery, food manufacturing, food services, pharmaceuticals, post and parcel, construction, defence, and petrochemical markets. The company was founded in 1982 and is headquartered in Nottingham, the United Kingdom.

How the Company Makes Money

Microlise generates revenue primarily through subscription fees for its SaaS offerings, which provide ongoing access to its software tools and services. The company typically employs a tiered pricing model, allowing clients to choose from different service levels based on their specific needs. Additional revenue streams include consulting services, implementation fees, and training programs for clients. Partnerships with hardware manufacturers for telematics devices and collaborations with logistics firms further enhance its service offerings, contributing to its overall earnings. The company's focus on long-term contracts with clients ensures a stable and recurring revenue base.

Microlise Group Holdings Ltd. Financial Statement Overview

Summary

Microlise Group Holdings Ltd. demonstrates strong revenue growth and cash flow generation, which are positive indicators for future performance. However, profitability challenges are evident with negative net income and EBIT margins. The balance sheet is solid with low leverage, but the negative return on equity highlights the need for improved profitability. Overall, the company is positioned well for growth but must address profitability to enhance shareholder value.

Income Statement

The company shows a strong revenue growth rate of 19.65% in the latest year, indicating positive momentum. However, the net profit margin is negative at -2.58%, and EBIT margin is also negative, reflecting challenges in profitability. The gross profit margin is healthy at 65.43%, suggesting efficient cost management at the gross level.

Balance Sheet

The balance sheet is strong with a low debt-to-equity ratio of 0.018, indicating minimal leverage and financial risk. However, the return on equity is negative at -2.86%, which is a concern for shareholders. The equity ratio is not explicitly calculated, but the high stockholders' equity suggests a stable financial position.

Cash Flow

The cash flow statement is robust, with a significant free cash flow growth rate of 78.12%, indicating strong cash generation capabilities. The operating cash flow to net income ratio is 0.26, showing a healthy conversion of income to cash. The free cash flow to net income ratio is 0.57, suggesting efficient cash utilization.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	79.47M	71.72M	63.21M	58.78M	56.96M
Gross Profit	52.00M	43.58M	32.39M	29.06M	32.83M
EBITDA	5.78M	8.92M	6.50M	6.87M	7.36M
Net Income	-2.05M	1.58M	1.35M	-1.48M	1.12M
Balance Sheet
Total Assets	134.64M	131.18M	126.14M	121.34M	123.30M
Cash, Cash Equivalents and Short-Term Investments	11.40M	16.80M	16.68M	13.21M	9.72M
Total Debt	1.31M	1.55M	1.75M	1.71M	18.94M
Total Liabilities	62.74M	55.51M	52.52M	49.79M	66.12M
Stockholders Equity	71.90M	75.67M	73.47M	71.55M	57.19M
Cash Flow
Free Cash Flow	5.51M	4.02M	6.39M	5.45M	4.46M
Operating Cash Flow	9.70M	8.76M	9.45M	9.12M	6.85M
Investing Cash Flow	-11.00M	-7.29M	-5.06M	-4.67M	-3.39M
Financing Cash Flow	-4.06M	-1.34M	-915.00K	-1.28M	-3.81M

Microlise Group Holdings Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 147.50
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:SAAS, the sentiment is Positive. The current price of 147.5 is above the 20-day moving average (MA) of 137.32, above the 50-day MA of 133.82, and above the 200-day MA of 111.54, indicating a bullish trend. The MACD of 5.32 indicates Negative momentum. The RSI at 85.61 is Negative, neither overbought nor oversold. The STOCH value of 85.85 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:SAAS.

Microlise Group Holdings Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ACSO	77 Outperform	169.53M	22.42	4.61%	―	-3.95%	16.87%
NET	73 Outperform	202.63M	38.94	0.00%	0.73%	15.40%	-6.59%
APTD	64 Neutral	169.33M	38.57	8.60%	1.79%	-6.63%	-7.88%
ELCO	61 Neutral	124.11M	33.22	11.05%	0.67%	12.10%	27.35%
TRCS	59 Neutral	126.39M	248.54	0.00%	0.59%	1.71%	-89.07%
SAAS	57 Neutral	£171.02M	335.48	-2.78%	1.23%	10.82%	-230.15%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

Microlise Group Holdings Ltd. Corporate Events

Microlise Group Reports Strong H1 2025 Growth and Positive Outlook

Microlise Group plc reported strong revenue and profit growth for the first half of 2025, with a 12.6% increase in revenue to £44.1 million and a 19% rise in adjusted EBITDA to £6.2 million. The company added 216 new customers and maintained a low churn rate of 0.5%, reflecting strong customer retention. The growth was driven by increased recurring and non-recurring revenues, supported by improved vehicle availability and new customer acquisitions. Microlise’s strategic initiatives, including product enhancements and the development of the MicroliseOne platform, are expected to further drive demand and strengthen its market position. The company remains confident in meeting its full-year market expectations, supported by a robust pipeline and favorable market conditions.

The most recent analyst rating on (GB:SAAS) stock is a Buy with a £199.00 price target. To see the full list of analyst forecasts on Microlise Group Holdings Ltd. stock, see the GB:SAAS Stock Forecast page.

Microlise Group Sees Increase in Major Holdings by BGF

Microlise Group Holdings Ltd. has announced a change in its major holdings, with BGF Investment Management Limited increasing its voting rights to 7.030% from a previous 6.659%. This shift in voting rights reflects a strategic move within the company, potentially impacting its governance and future decision-making processes. The increase in holdings by BGF suggests confidence in Microlise’s market position and future growth potential, which could have implications for stakeholders and the company’s operational strategies.

The most recent analyst rating on (GB:SAAS) stock is a Buy with a £2.10 price target. To see the full list of analyst forecasts on Microlise Group Holdings Ltd. stock, see the GB:SAAS Stock Forecast page.

Microlise CFO Increases Stake in Company Shares

Microlise Group plc announced that its Chief Financial Officer, Nick Wightman, has purchased 18,827 ordinary shares of the company at a price of £1.062 per share, bringing his total holding to 139,353 shares, or 0.12% of the company’s total issued share capital. This transaction underscores the confidence of the company’s management in its market position and future prospects, potentially impacting stakeholder perceptions positively.

The most recent analyst rating on (GB:SAAS) stock is a Buy with a £2.10 price target. To see the full list of analyst forecasts on Microlise Group Holdings Ltd. stock, see the GB:SAAS Stock Forecast page.

Microlise Group Grants Share Options to Key Executives

Microlise Group plc has granted options over 1,452,472 ordinary shares to key managerial personnel as part of its remuneration policy. These options, tied to performance criteria including shareholder return, earnings growth, and environmental goals, will vest by December 2027, potentially impacting the company’s operational focus and stakeholder interests.

The most recent analyst rating on (GB:SAAS) stock is a Buy with a £2.10 price target. To see the full list of analyst forecasts on Microlise Group Holdings Ltd. stock, see the GB:SAAS Stock Forecast page.