Geo Energy Resources Ltd. (RE4) AI Stock Analysis

• Market Cap: S$540.37M
• Dividend Yield: 1.53%
• Average Volume (3M): 7.79M
• Price to Earnings (P/E): 13.4
• Beta (1Y): 0.72
• Revenue Growth: 22.78%
• EPS Growth: -51.86%
• Country: SG
• Employees: 350
• Sector: Energy
• Sector Strength: 58
• Industry: Coal
• EPS (TTM): 0.02
• Shares Outstanding: 1,422,013,100
• 10 Day Avg. Volume: 8,731,910
• 30 Day Avg. Volume: 7,788,393
• 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: S$0.50
• Price Target Upside: 38.89% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 69 Neutral
• Price Target: S$0.50 ▲(38.89% Upside)

Geo Energy Resources Ltd. scores well due to its reasonable valuation and positive technical indicators, despite some financial performance concerns. The stock's resilience in operational profitability and improved leverage position are significant strengths, while the approaching overbought RSI suggests caution. The absence of earnings call data and corporate events limits additional insights.

Geo Energy Resources Ltd. Business Overview & Revenue Model

Company Description

Geo Energy Resources Limited, an investment holding company, engages in the mining, production, and trading of coal. The company operates through Coal Mining, Coal Trading, and Mining Services segments. The Coal Mining segment engages in the production and sale of coal. The Coal Trading segment is involved in the purchase and sale of coal from third parties. The Mining Services segment provides mining contracting and project management services for mining activities conducted at third party mines. The company owns and operates PT Bumi Enggang Khatulistiwa mining concession that covers approximately 4,570 hectares of land located in Kutai Barat, East Kalimantan; the PT Sungai Danau Jaya mining concession that covers 235 hectares of land located in Tanah Bumbu, South Kalimantan; PT Tanah Bumbu Resources mining concession covering an area of 489 hectares of land located in Tanah Bumbu, South Kalimantan; and PT Surya Tambang Tolindo mining concession covering an area of 4,600 hectares in Kutai Barat, East Kalimantan. It also engages in the power generation and general trading activities; and operates as a multimedia supplier, as well as offers management consultant services. The company operates in Indonesia, China, Thailand, India, the Philippines, Vietnam, South Korea, and Pakistan. Geo Energy Resources Limited was founded in 2008 and is based in Singapore.

How the Company Makes Money

Geo Energy Resources Ltd. generates revenue primarily through the extraction, production, and sale of thermal coal. The company's key revenue streams include the sale of coal to various clients, including power plants and industrial users, primarily in Asia. The company operates its own mining concessions, which helps in controlling production costs and ensuring a steady supply of coal. Additionally, Geo Energy Resources Ltd. is involved in coal trading activities, where it purchases coal from other producers and sells it to end-users. Partnerships with logistic companies and end-users, as well as strategic pricing and long-term contracts, contribute significantly to its earnings.

Geo Energy Resources Ltd. Financial Statement Overview

Summary

Geo Energy Resources Ltd. demonstrates resilience in operational profitability amidst revenue fluctuations. The company has improved its leverage position, though profitability metrics such as ROE and net profit margin have declined. Cash flow improvements indicate potential for better operational efficiency, though caution is warranted in free cash flow management.

Income Statement

Geo Energy Resources Ltd. has shown volatility in revenues, with a recent decline in 2024 compared to 2023. The gross profit margin decreased from 16.2% in 2023 to 13.1% in 2024, indicating reduced efficiency in cost management. The net profit margin also declined, from 12.7% to 9.2%. However, the company maintained positive EBITDA and EBIT margins despite the challenges, reflecting resilience in operational profitability.

Balance Sheet

The company's balance sheet reflects moderate leverage, with a debt-to-equity ratio of 0.52 in 2024, down from 0.60 in 2023, indicating improved financial stability. The equity ratio stands at 44.2%, suggesting a strong equity base relative to total assets. Return on equity decreased from 14.8% to 8.3%, reflecting lower profitability on equity investment.

Cash Flow

Geo Energy Resources Ltd. shows improvement in free cash flow from a negative position in 2023 to a positive one in 2024. The operating cash flow to net income ratio improved significantly, indicating better cash generation from operations. However, the free cash flow to net income ratio remains a concern, suggesting challenges in converting profits into free cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	522.02M	401.90M	488.97M	733.47M	641.89M	306.76M
Gross Profit	70.32M	52.64M	79.23M	272.06M	261.23M	46.23M
EBITDA	53.71M	44.51M	113.76M	253.99M	257.29M	139.24M
Net Income	30.06M	37.14M	61.98M	161.56M	177.94M	94.91M
Balance Sheet
Total Assets	1.00B	1.02B	937.37M	563.03M	525.71M	372.12M
Cash, Cash Equivalents and Short-Term Investments	78.68M	118.07M	170.80M	234.08M	190.60M	52.66M
Total Debt	215.51M	233.87M	250.01M	3.42M	3.74M	59.33M
Total Liabilities	432.39M	477.86M	437.76M	154.74M	176.60M	153.47M
Stockholders Equity	471.03M	449.45M	419.10M	407.36M	347.78M	218.46M
Cash Flow
Free Cash Flow	16.22M	60.00M	-54.50M	165.95M	266.60M	48.49M
Operating Cash Flow	48.59M	70.72M	-45.60M	169.89M	272.79M	56.33M
Investing Cash Flow	-91.97M	-49.12M	-187.97M	-2.25M	-4.07M	-6.78M
Financing Cash Flow	-27.04M	-40.23M	137.12M	-119.65M	-130.70M	-135.87M

Geo Energy Resources Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.36
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SG:RE4, the sentiment is Neutral. The current price of 0.36 is below the 20-day moving average (MA) of 0.36, above the 50-day MA of 0.35, and above the 200-day MA of 0.31, indicating a neutral trend. The MACD of <0.01 indicates Positive momentum. The RSI at 48.08 is Neutral, neither overbought nor oversold. The STOCH value of 61.19 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for SG:RE4.

Geo Energy Resources Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RE4	69 Neutral	S$540.37M	13.38	6.70%	1.53%	22.78%	-51.86%
Sector *	65 Neutral	$15.47B	7.30	2.96%	5.25%	4.27%	-62.52%
5WH	―	S$234.42M	―	-85.62%	―	―	―
BTP	70 Neutral	S$107.53M	6.64	-5.60%	3.74%	-40.02%	-176.13%
DU4	―	S$221.22M	22.08	-2.83%	―	―	―
M05	―	S$64.09M	13.26	5.27%	―	―	―
T13	―	S$157.15M	8.80	23.87%	―	―	―

Geo Energy Resources Ltd. Corporate Events

Geo Energy Resources Amends Deed of Cooperation

Geo Energy Resources Ltd. has announced the execution of an amendment deed to its existing deed of cooperation, following the approval of a resolution at its extraordinary general meeting. This amendment incorporates proposed changes to the non-competition undertaking, which could potentially impact the company’s operational dynamics and industry positioning.