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Services-computer programming services company · E9 · FY ends Dec · Revenue $161M · -15.59% margin · -$6M FCF
The business is unprofitable at the operating level (-15.59% margin). The thesis depends entirely on whether and when it reaches sustainable profitability.
Revenue grew 43.2%, still solid. Margins contracted 16.0pp, which offsets some of the top-line progress.
Free cash flow declined 1109% versus the prior year, cash generation momentum has weakened. ROIC dropped from 2.45% to -115.10%, capital efficiency is deteriorating.
Profitability & Returns
Revenue (TTM)
$161M
▲ +43.2% YoY
Net Income (TTM)
-$25M
▼ -3368.4% YoY
Op. Margin
-15.59%
▼ -16.0pp YoY
ROIC
-115.10%
▼ -117.5pp YoY
Cash Flow & Balance Sheet
FCF (TTM)
-$6M
▼ -1109.1% YoY
Op. Cash Flow (TTM)
-$6M
▼ -1020.5% YoY
Net Debt
$8M
Cash & Equiv.
$3M
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