Safeture AB (SFTR) AI Stock Analysis

• Market Cap: kr150.87M
• Dividend Yield: N/A
• Average Volume (3M): 11.76K
• Price to Earnings (P/E): 224.8
• Beta (1Y): 0.19
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: SE
• Employees: 30
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): 0.01
• Shares Outstanding: 39,289,390
• 10 Day Avg. Volume: 2,094
• 30 Day Avg. Volume: 11,761
• PEG Ratio: 4.18
• Price to Book (P/B): 6.03
• Price to Sales (P/S): 3.10
• 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): kr64.10M

• Rating: 58 Neutral
• Price Target: kr4.50 ▲(0.90% Upside)
• Action: Reiterated Date: 03/05/26
• Date: Action: Reiterated 03/05/26

The score is driven primarily by improving financial quality (profitability and operating cash flow recovering, plus a debt-free balance sheet), but is held back by the major 2025 revenue contraction and weak valuation (very high P/E). Technicals are mixed, with short-term support but longer-term trend indicators still negative.

Positive Factors

Debt-free balance sheet

A debt-free balance sheet with rising equity materially reduces financial risk and preserves strategic optionality. This capital structure gives management flexibility to fund product development or weather demand shocks without near-term refinancing, improving durability over months.

Improving cash generation

Operating cash flow recovery signals the business is starting to convert revenues into real cash, lowering reliance on external financing. Sustained cash generation supports reinvestment and operational resilience, making the business model more stable over the next several months.

Profitability turning positive

Transitioning from recurring losses to small profits shows improving unit economics and cost containment. If sustained, positive earnings enhance self-funding capacity and validate the platform's business model, strengthening medium-term prospects for sustainable operations.

Negative Factors

Sharp 2025 revenue drop

An ~81% revenue contraction in a single year erodes scale advantages, undermines customer momentum, and can reverse margin improvements. Such a structural hit raises questions about demand, contract renewals or lost clients and materially increases execution risk over months.

Volatile free cash flow

Highly variable FCF reduces predictability of internal funding for growth and forces reliance on external capital if adverse trends recur. Even with no debt, volatile cash conversion heightens liquidity risk and limits ability to invest steadily over the medium term.

Weak margins & ROE history

Persistent weak margins and historically negative ROE imply limited pricing power or high fixed costs. This constrains free cash generation and the ability to build durable returns, making the company vulnerable if revenue declines persist or competitive pressures intensify.

Safeture AB Business Overview & Revenue Model

Company Description

Safeture AB (publ) provides a cloud-based IT platform designed to manage risk, safety, and crises involving employees. The company offers Safeture Enterprise platform that has various functions and components, such as mobile apps, travel tracking, flight updates, global real time alerts, e-learning, bulk messaging, and country and medical information; and allows clients to adopt internal processes and integrate it with external suppliers. It also provides Safeture Travel Risk Management software, which offers real-time status on warnings, alerts, security information, and travel plans. The company was formerly known as GWS Production AB (publ) and changed its name to Safeture AB (publ) in June 2019. Safeture AB (publ) was founded in 2009 and is headquartered in Lund, Sweden.

How the Company Makes Money

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Safeture AB Financial Statement Overview

Summary

Financials are improving overall: profitability moved from large losses to small profits (2024–2025), operating cash flow turned positive and strengthened, and the balance sheet is conservative with zero reported debt and rising equity. Offsetting this, 2025 revenue fell sharply (~81% vs. 2024) and free-cash-flow conversion was volatile (FCF reported at zero in 2025), which materially increases business-risk concerns.

Income Statement

Profitability has improved materially versus 2020–2023 (moving from large losses to a small profit in 2024 and 2025), showing the model is getting closer to sustainable earnings. However, the latest year shows a sharp revenue decline in 2025 (down ~81% vs. 2024), which is a major red flag on business momentum. Margins were very weak in 2024 (near break-even at the operating level) and the 2025 gross profit level is extremely low versus revenue, suggesting pressure on pricing/costs or potential one-offs in the reported figures.

Balance Sheet

The balance sheet looks conservative with zero reported debt from 2022–2025 and steadily rising equity from 2023 to 2025, which lowers financial risk and provides flexibility. Total assets are stable-to-up over time, supporting a reasonable capital base for the business. The main weakness is that returns on equity were negative in 2022–2023 and only modestly positive in 2024, indicating profitability still needs to strengthen to fully capitalize on the solid balance-sheet position.

Cash Flow

Cash generation improved significantly versus the heavy cash burn in 2020–2022, with positive operating cash flow in 2024 and stronger operating cash flow in 2025. That said, free cash flow is volatile: positive in 2024 but reported at zero in 2025, implying reinvestment or working-capital swings reduced cash available after spending. The earlier period (2020–2022) also highlights that cash flow can be meaningfully negative in weaker operating environments.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	57.42M	56.95M	56.40M	56.35M	35.83M	26.80M
Gross Profit	66.09M	1.55M	22.09M	14.84M	35.74M	22.52M
EBITDA	8.24M	8.81M	220.00K	-5.97M	-16.63M	-22.82M
Net Income	1.10M	785.00K	507.00K	-6.45M	-17.13M	-23.32M
Balance Sheet
Total Assets	61.97M	56.98M	52.20M	51.07M	51.60M	43.82M
Cash, Cash Equivalents and Short-Term Investments	25.77M	31.06M	23.79M	19.14M	26.34M	18.07M
Total Debt	0.00	0.00	0.00	0.00	0.00	857.00K
Total Liabilities	33.49M	27.73M	23.81M	23.41M	17.70M	19.27M
Stockholders Equity	28.48M	29.25M	28.40M	27.66M	33.90M	24.55M
Cash Flow
Free Cash Flow	13.30M	0.00	4.42M	-13.00K	-18.69M	-21.36M
Operating Cash Flow	13.30M	16.53M	12.02M	-13.00K	-10.58M	-15.00M
Investing Cash Flow	-8.75M	-9.32M	-7.60M	-7.27M	-8.12M	-6.36M
Financing Cash Flow	68.00K	68.00K	226.00K	89.00K	26.96M	38.14M

Safeture AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CDMIL	62 Neutral	kr215.90M	-160.32	―	3.25%	-18.05%	-71.19%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
SFTR	58 Neutral	kr150.87M	224.82	―	―	―	―
FLOWS	52 Neutral	kr55.05M	24.78	―	―	―	―
MOBA	46 Neutral	kr17.01M	-0.07	―	―	―	―
GREAT	42 Neutral	kr219.76M	-5.44	―	―	-69.94%	-7367.66%