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Services-prepackaged software company · NV · FY ends Aug · Revenue $5M · -21.12% margin · $92K FCF
The business is unprofitable at the operating level (-14.66% margin). The thesis depends entirely on whether and when it reaches sustainable profitability.
Revenue growth slowed to 2.3%, essentially flat. Margins also contracted 16.0pp. This is a business that needs a catalyst.
Free cash flow declined 91% versus the prior year, cash generation momentum has weakened. ROIC dropped from 1.44% to -18.75%, capital efficiency is deteriorating.
Profitability & Returns
Revenue (TTM)
$5M
▲ +2.3% YoY
Net Income (TTM)
-$937K
▼ -670.8% YoY
Op. Margin
-21.12%
▼ -16.0pp YoY
ROIC
-31.17%
▼ -20.2pp YoY
Cash Flow & Balance Sheet
FCF (TTM)
$92K
▼ -91.4% YoY
Op. Cash Flow (TTM)
$102K
▼ -84.8% YoY
Net Debt
-$1M
Net Cash Position
Cash & Equiv.
$1M
5Y CAGR: +3.4%
5Y CAGR: -29.6%
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