Polygiene AB (POLYG) AI Stock Analysis

• Market Cap: kr233.77M
• Dividend Yield: 2.89%
• Average Volume (3M): 6.20K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.09
• Revenue Growth: 7.92%
• EPS Growth: 94.99%
• Country: SE
• Employees: 37
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Chemicals - Specialty
• EPS (TTM): -0.10
• Shares Outstanding: 36,526,990
• 10 Day Avg. Volume: 5,228
• 30 Day Avg. Volume: 6,198
• PEG Ratio: 0.28
• Price to Book (P/B): 1.22
• Price to Sales (P/S): 2.30
• P/FCF Ratio: -30.49
• 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): 0.9
• Revenue Forecast (FY): kr202.00M

• Rating: 49 Neutral
• Price Target: kr5.50 ▼(-40.35% Downside)
• Action: Reiterated Date: 02/18/26
• Date: Action: Reiterated 02/18/26

The score is held back primarily by uneven financial performance and unreliable cash flow (return to losses and negative free cash flow in 2025), alongside weak technicals with the price below key moving averages and negative MACD. A strong, low-debt balance sheet and a ~3.9% dividend yield provide some support but do not offset the profitability and momentum concerns.

Positive Factors

Conservative balance sheet / low leverage

Very low leverage and a substantial equity buffer reduce financial risk and give management flexibility to fund downturns or invest in product development and partnerships without depending heavily on external debt. That conservatism supports survival through profit volatility and enables strategic optionality over months.

Licensing-driven B2B business model

A licensing and brand-rights model scales without manufacturing capex, converting client production volumes into recurring, volume-linked fees. This asset-light structure preserves margin potential, reduces capital intensity, and allows growth via customer roll-outs across SKUs and seasons over the medium term.

Structural end-market applicability across textiles

Products address durable trends: hygiene, sustainability and reduced-wash cycles in apparel and home textiles. Broad applicability across categories (apparel, footwear, home textiles) supports multi-year adoption opportunities and cross-selling as brands incorporate antimicrobial/odor-control into more SKUs.

Negative Factors

Volatile cash generation

Wide swings from strong FCF in 2024 to negative operating and free cash flow in 2025 indicate unreliable internal funding. That inconsistency raises liquidity and execution risk, may force conservation of spend or external financing, and constrains consistent reinvestment or scaling over the coming months.

Earnings and revenue instability

Swinging profitability and recent revenue decline undermine predictability of margins and cash available for growth. While gross margins have been healthy at times, persistent swings from profit to loss reduce management's ability to commit to multi-period initiatives and weaken investor and partner confidence.

Limited scale and potential concentration

A very small headcount and low trading/activity levels imply constrained sales reach, limited operational scale, and possible customer concentration. That scale limitation can slow commercial rollouts, weaken negotiation leverage with large OEMs, and amplify the impact of single-account losses over the medium term.

Polygiene AB Business Overview & Revenue Model

Company Description

Polygiene Group AB develops, manufactures, and sells odor control and stay fresh solutions for clothes, sports equipment, textiles, and other materials in the Middle East, Africa, the Asia Pacific, the Americas, Europe, and internationally. It serves partners in the categories of sports and outdoor, fashion and lifestyle, workwear, hospitality, home and pets, healthcare, water, industrial, and paper and packaging. The company offers its products under the Polygiene brand. The company was formerly known as Polygiene AB (publ.) and changed its name to Polygiene Group AB in June 2022. Polygiene Group AB was founded in 2005 and is headquartered in Malmö, Sweden.

How the Company Makes Money

Polygiene makes money by licensing and selling its proprietary treatment technologies and associated branding/marketing rights to product manufacturers and brands that apply Polygiene’s solutions to their own goods. Revenue is generated primarily through B2B agreements where customers pay to treat specific product volumes (often tied to production runs, material quantity, or units produced) and may also pay for the right to use Polygiene’s trademarks and hangtags/labels in consumer marketing (“powered by Polygiene” type claims). The company typically does not manufacture end-products; instead it earns income from (1) treatment/technology fees linked to customer production volumes, (2) licensing/brand-support arrangements that help customers market treated products at a premium, and (3) expansion of adoption across additional product categories and customers as brands roll the technology out across more SKUs and seasons. Specific customer names, contract terms, and pricing structures are not available in the provided prompt and are therefore null.

Polygiene AB Financial Statement Overview

Summary

Balance sheet strength is a major positive (very low leverage and substantial equity buffer), but this is offset by weak and unstable operating results (2025 revenue down 8.4% and a return to losses) and volatile cash generation (2025 negative operating cash flow and free cash flow after a strong 2024).

Income Statement

Profitability has deteriorated sharply versus prior years: 2025 revenue fell (-8.4%) and the company posted a net loss with near-breakeven operating profit. This follows a strong 2024 (solid margins and positive earnings) but also a very weak 2023 with exceptionally large losses. Gross margin remains healthy in most years, but earnings and margin stability are a key weakness given the swing from strong profits (2021/2024) to deep losses (2023/2025).

Balance Sheet

The balance sheet is conservatively financed with very low leverage across the period (debt-to-equity consistently near zero/low). Equity remains substantial relative to assets, providing a meaningful buffer to absorb earnings volatility. The main drawback is that returns to shareholders have been inconsistent, turning negative in loss years, but overall financial risk from debt appears limited.

Cash Flow

Cash generation is volatile: 2024 produced strong positive operating cash flow and free cash flow, but 2025 flipped to negative operating cash flow and negative free cash flow. Earlier years also show inconsistency, including a notably weak 2022 free cash flow and only modest cash conversion in 2023 despite losses. Overall, cash flow reliability is a concern and increases dependence on maintaining liquidity during downturns.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	146.65M	156.95M	113.54M	173.56M	181.61M
Gross Profit	48.32M	103.78M	77.16M	114.57M	115.24M
EBITDA	5.96M	18.80M	-305.61M	19.10M	43.99M
Net Income	-5.58M	16.83M	-321.95M	8.36M	32.83M
Balance Sheet
Total Assets	304.74M	350.84M	313.78M	621.90M	550.69M
Cash, Cash Equivalents and Short-Term Investments	38.78M	68.59M	44.15M	48.06M	52.40M
Total Debt	4.57M	2.63M	3.89M	1.64M	2.40M
Total Liabilities	28.56M	31.23M	22.53M	29.34M	31.54M
Stockholders Equity	276.17M	319.61M	291.25M	592.56M	519.15M
Cash Flow
Free Cash Flow	-11.04M	22.75M	-4.27M	-50.64M	34.15M
Operating Cash Flow	-9.79M	24.34M	3.79M	-1.54M	37.60M
Investing Cash Flow	-4.07M	-1.59M	-9.42M	-52.11M	-407.47M
Financing Cash Flow	-9.67M	-1.38M	1.95M	47.50M	416.27M

Polygiene AB Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 9.22
• 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 SE:POLYG, the sentiment is Negative. The current price of 9.22 is above the 20-day moving average (MA) of 6.11, above the 50-day MA of 7.58, and below the 200-day MA of 9.32, indicating a bearish trend. The MACD of -0.45 indicates Negative momentum. The RSI at 42.31 is Neutral, neither overbought nor oversold. The STOCH value of 66.03 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SE:POLYG.

Polygiene AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
NEXAM	55 Neutral	kr322.85M	-9.48	-9.48%	―	-1.89%	-59.17%
POLYG	49 Neutral	kr233.77M	-60.39	-7.45%	2.89%	7.92%	94.99%
AXIC.A	44 Neutral	kr109.38M	-6.99	-29.85%	―	114.57%	53.86%
LCLEAN	42 Neutral	kr13.05M	-0.73	-572.32%	―	-15.74%	44.98%
ORGC	42 Neutral	kr153.45M	-4.90	-153.91%	―	-18.29%	-48.74%