New Risk • Jul 09New major risk - Dividend sustainabilityThe dividend is not well covered by earnings and cash flows. Payout ratio: 121% Cash payout ratio: 121% Dividend yield: 2.7% This is considered a major risk. Companies that pay out too much of their earnings and cash flows are at risk of having to reduce or cut their dividend in future. If earnings or cash flows stagnate or fall, then there may not be enough to maintain the same dividend. Or in extreme cases, companies may opt to dig into capital reserves or take on debt to maintain the dividend. For dividend paying companies, any reduction in the dividend can significantly impact the share price. Currently, the following risks have been identified for the company: Major Risk Dividend is not well covered by earnings and cash flows. Payout ratio: 121% Cash payout ratio: 121% Minor Risk Profit margins are more than 30% lower than last year (63% net profit margin).
New Risk • Jul 02New minor risk - Profit margin trendThe company's profit margins are lower than last year and have reduced by more than 30%. Net profit margin: 63% Last year net profit margin: 93% This is considered a minor risk. A large drop in profit margin could indicate the company does not have strong competitive advantages or it is yet to establish itself and its core business. Even if it is a well established business, this may make it a much riskier investment than one that has a combination of proven competitive advantages and a stable or growing profit margin. This is currently the only risk that has been identified for the company.
Reported Earnings • Jul 01Full year 2025 earnings releasedFull year 2025 results: Revenue: €7.37m (up 14% from FY 2024). Net income: €5.16m (down 14% from FY 2024). Profit margin: 70% (down from 93% in FY 2024). The decrease in margin was driven by higher expenses.