Scully Royalty (SRL) AI Stock Analysis

• Market Cap: $93.49M
• Dividend Yield: 4.23%
• Average Volume (3M): 5.19K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.28
• Revenue Growth: -36.67%
• EPS Growth: -1568.10%
• Country: US
• Employees: 71
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Capital Markets
• EPS (TTM): N/A
• Shares Outstanding: 15,226,351
• 10 Day Avg. Volume: 2,062
• 30 Day Avg. Volume: 5,193
• PEG Ratio: <0.01
• Price to Book (P/B): 0.65
• Price to Sales (P/S): 5.59
• P/FCF Ratio: -6.23
• Enterprise Value/Market Cap: 0.00
• Enterprise Value/Revenue: 0.00
• Enterprise Value/Gross Profit: 0.00
• Enterprise Value/Ebitda: 0.00
• 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: 52 Neutral
• Price Target: $6.00 ▼(-1.48% Downside)

Scully Royalty's overall score is primarily impacted by significant financial challenges, including revenue contraction and negative cash flow. Technical analysis shows moderate strength, but valuation is hampered by a negative P/E ratio. The dividend yield offers some support, but overall financial instability remains a concern.

Positive Factors

Strong Equity Position

A strong equity position indicates financial stability and provides a buffer against economic downturns, supporting long-term resilience.

Low Debt Levels

Low debt levels enhance financial flexibility and reduce risk, allowing the company to navigate challenging market conditions more effectively.

Diverse Asset Portfolio

A diverse asset portfolio mitigates risk and capitalizes on various market opportunities, supporting sustained revenue generation across cycles.

Negative Factors

Revenue Contraction

Significant revenue contraction can strain financial resources and limit growth potential, challenging long-term business sustainability.

Negative Cash Flow

Negative cash flow indicates operational inefficiencies and can hinder investment in growth initiatives, affecting future profitability.

Profitability Challenges

Significant losses highlight challenges in maintaining profitability, impacting the company's ability to reinvest and grow sustainably.

Scully Royalty Business Overview & Revenue Model

Company Description

Scully Royalty (SRL) is a resource-focused company primarily engaged in the acquisition and management of mineral and royalty interests in North America. The company's portfolio includes a diverse range of assets in the oil and gas sector, as well as in mining, which enables it to leverage market opportunities across different commodities. SRL aims to provide investors with a steady stream of income through its royalty interests while contributing to sustainable resource development.

How the Company Makes Money

Scully Royalty generates revenue primarily through the collection of royalties from its mineral and royalty interests. These royalties are earned from companies that extract oil, gas, and minerals from properties in which SRL holds interests. The company benefits from an increase in commodity prices, as higher market prices translate to increased production and, consequently, higher royalty revenues. Additionally, SRL may engage in joint ventures or partnerships with exploration and production companies, which can provide upfront payments or additional revenue-sharing agreements. Key partnerships with established operators in the resource sector further enhance SRL's potential earnings by ensuring operational efficiency and sustained production levels.

Scully Royalty Financial Statement Overview

Summary

Scully Royalty faces significant financial challenges, particularly in revenue contraction and negative cash flow, impacting its profitability and liquidity. While the balance sheet shows a strong equity position, declining cash reserves and profitability issues present risks. The company needs to address operational inefficiencies and improve revenue generation to stabilize its financial performance.

Income Statement

Scully Royalty's income statement reveals challenges with profitability and revenue growth. The company has experienced a decline in revenue over the past year, with a significant drop from $54.9M in 2023 to $35.3M in 2024, indicating a revenue contraction of approximately 35.8%. Net income has also swung from a modest profit of $1.39M in 2023 to a substantial loss of $20.59M in 2024, severely impacting the net profit margin. The gross profit margin remains relatively strong but has not translated into bottom-line profitability due to high operating expenses. The negative EBITDA in 2024 further highlights operational inefficiencies.

Balance Sheet

The balance sheet shows a strong equity position with stockholders' equity accounting for a significant portion of total assets, reflected in an equity ratio of approximately 69%. However, the company has seen a decline in cash reserves, from $91.2M in 2023 to $42.5M in 2024, which could affect liquidity. The debt-to-equity ratio remains low, indicating limited leverage, but the reduction in equity highlights potential stability issues.

Cash Flow

Cash flow analysis indicates a concerning trend with negative operating cash flow of $31.54M in 2024, down from a positive $26.18M in 2023, which suggests operational cash flow challenges. Free cash flow has turned negative, indicating a cash burn scenario. The operating cash flow to net income ratio is unfavorable, reflecting inefficiencies in converting income into cash flow.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	35.30M	54.94M	63.69M	71.29M	59.43M
Gross Profit	28.24M	35.87M	33.81M	40.37M	32.56M
EBITDA	-9.31M	19.89M	-11.45M	30.50M	24.53M
Net Income	-20.59M	1.39M	-23.40M	7.56M	369.00K
Balance Sheet
Total Assets	438.10M	452.47M	475.48M	509.97M	509.13M
Cash, Cash Equivalents and Short-Term Investments	42.54M	91.21M	94.01M	74.13M	82.05M
Total Debt	36.55M	44.03M	43.35M	42.34M	43.66M
Total Liabilities	127.77M	122.80M	142.97M	137.43M	140.40M
Stockholders Equity	302.28M	322.46M	325.16M	365.60M	361.54M
Cash Flow
Free Cash Flow	-31.63M	26.00M	30.16M	-7.62M	-21.50M
Operating Cash Flow	-31.54M	26.18M	30.64M	-6.64M	-21.27M
Investing Cash Flow	2.76M	-6.31M	-4.68M	-971.00K	3.42M
Financing Cash Flow	-1.16M	-3.81M	-17.19M	-424.00K	-498.00K

Scully Royalty Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 6.09
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SRL, the sentiment is Neutral. The current price of 6.09 is above the 20-day moving average (MA) of 6.03, above the 50-day MA of 5.96, and below the 200-day MA of 6.39, indicating a neutral trend. The MACD of 0.09 indicates Negative momentum. The RSI at 51.17 is Neutral, neither overbought nor oversold. The STOCH value of 56.98 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for SRL.

Scully Royalty Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
WHG	74 Outperform	$171.32M	22.25	5.99%	3.29%	4.03%	151.19%
SIEB	72 Outperform	$162.11M	21.87	8.43%	―	8.47%	-32.22%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
HGBL	61 Neutral	$45.51M	14.48	4.65%	―	0.02%	-68.55%
SRL	52 Neutral	$93.49M	-5.96	―	4.23%	-36.67%	-1568.10%

Scully Royalty Corporate Events

Scully Royalty Ltd. Announces Annual General Meeting for December 2025

Scully Royalty Ltd., a company incorporated in the Cayman Islands, has announced its upcoming Annual General Meeting of Shareholders scheduled for December 27, 2025, in Hong Kong. The meeting will address key agenda items including the election of the board of directors and the ratification of AOGB CPA Limited as the company’s auditors for the fiscal year ending December 31, 2025. Shareholders are urged to participate in the decision-making process, with a record date set for November 24, 2025, to determine eligibility for voting. This meeting is crucial for stakeholders as it will shape the company’s governance and financial oversight for the coming year.