/
Household audio & video equipment company · DE · FY ends Mar · Revenue $7M · -88.64% margin · -$3M FCF
The business is unprofitable at the operating level (-52.06% margin). The thesis depends entirely on whether and when it reaches sustainable profitability.
Revenue grew 18.9%, still solid. Margins contracted 14.6pp, which offsets some of the top-line progress.
ROIC dropped from -10.29% to -18.30%, capital efficiency is deteriorating. Negative free cash flow of -$4M. The business is consuming cash, not generating it.
Profitability & Returns
Revenue (TTM)
$7M
▲ +18.9% YoY
Net Income (TTM)
-$5M
▼ -717.6% YoY
Op. Margin
-88.64%
▼ -14.6pp YoY
ROIC
-22.79%
▼ -8.0pp YoY
Cash Flow & Balance Sheet
FCF (TTM)
-$3M
▲ +28.5% YoY
Op. Cash Flow (TTM)
-$3M
▲ +30.6% YoY
Net Debt
-$13M
Net Cash Position
Cash & Equiv.
$13M
5Y CAGR: +11.4%
Continue Research