Market cap
$421.7m
End-of-day close multiplied by current shares on issue.
Result releasedAnnolyse analysis published
Cash conversion fell to 22.1% of EBITDA from 33.0% while NPAT's 35.8% rise outpaced PBT's 9.6% gain on a lower tax rate.
Revenue context before the current result.
EBITDA margin across covered periods.
Operating cash flow across covered periods.
Statutory profit after tax across covered periods.
Market context
A close-dated read on what the market price implies next to the latest verified filing inputs. Unavailable metrics stay visible when the absence is useful context.
The latest close and share count context for the market price.
Market cap
$421.7m
End-of-day close multiplied by current shares on issue.
How the market price compares with recent earnings and cash-flow inputs.
P/E
22.4x
Recent market cap compared with trailing earnings.
EPS
0.17
Recent filing-derived earnings per share.
PEG
Not available
Not meaningful without positive comparable earnings growth.
EV/EBITDA
Not available
Not available for this company right now.
P/FCF
Not available
Not available for this company right now.
P/B
1.72x
Market value compared with latest reported equity.
Yield and fund-style valuation where the company shape supports it.
Dividend yield
0.0%
Trailing dividends compared with the latest close.
Total return
Not available
Available once dividend and adjustment data are verified.
Key metrics
HY25 vs HY24
Revenue
$112m
Caveat: metric quality flags apply; use this value with basis context.
EBITDA
$13m
Caveat: metric quality flags apply; use this value with basis context.
Net profit after tax
$7.2m
Caveat: metric quality flags apply; use this value with basis context.
Net cash inflow from operating activities
$2.9m
Caveat: metric quality flags apply; use this value with basis context.
Profit before tax
$9.1m
Caveat: metric quality flags apply; use this value with basis context.
Cash and cash equivalents
$70.7m
+80.1% ↑ vs $39.3m
Total assets
$300.3m
Caveat: metric quality flags apply; use this value with basis context.
Analysis ofGTK HY25Result releasedAnnolyse analysis published
What changed
Cash conversion (operating cash flow to EBITDA) fell to 22.1% from 33.0%. NPAT rose 35.8% to $7.2m, well ahead of PBT growth of 9.6% to $9.1m, because the effective tax rate dropped to 21.3% from 35.5%. Cash on hand rose to $70.7m from $39.3m with zero gross borrowings, and Utilities' revenue share slipped 1.9 percentage points as Veovo grew faster.
What matters
Tax distortion inflates the headline profit story: NPAT growth of 35.8% overstates underlying momentum because it is driven by the effective tax rate falling to 21.3% from 35.5%, while PBT growth of 9.6% is the cleaner operating read. Investors extrapolating the NPAT growth rate would overestimate the business's improvement.
Segment mix is shifting toward Veovo, whose disclosed gross margin of 24% exceeds Utilities' disclosed 9%, and Veovo's share rose 1.9 percentage points to 17.1% of revenue. This could lift blended margins over time, but Utilities remains the dominant segment, so its slower growth still caps near-term profitability.
Expectations
Full-year revenue has historically been second-half weighted, with HY24 representing only 47.8% of FY24 revenue. That skew means neither this half's cash-flow shortfall nor its earnings growth can be extrapolated straight-line to FY25 without further disclosure on second-half cash conversion.
Quality of result
But the profit quality is weaker than the NPAT headline implies: PBT growth of 9.6% is the more durable measure, while NPAT's 35.8% gain reflects a lower effective tax rate rather than commercial improvement.
Cash quality is the larger concern. Operating cash flow of essentially $0.003m against EBITDA of $13.0m means the business converted almost none of reported profit into cash this half, well below the prior half's 33.0% conversion rate. Trade debtors rose 13.4% to $28.0m and receivable days edged up to 45.6 from 44.2, consistent with some receivables build, though capex is not disclosed, so a full free-cash-flow bridge cannot be constructed from the supplied data.
Unresolved
This briefing cannot assess capex intensity, free cash flow after capex, or full-period dividend policy because capex and full-year dividend data are not disclosed in the supplied material.
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Informational only. No buy, sell, hold, price-target, or personal financial advice.
Informational only. No buy, sell, hold, price-target, or personal financial advice.
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Open to load key metrics.
1HFY25 Market Announcement
HY25 / results release1HFY25 Results Announcement
HY25 / results announcementHY25 Investor Presentation
HY25 / results presentationInterim Financial Statements March 2025
HY25 / financial reportFinancial Statements including Chair's Commentary
HY24 / financial reportMarket Announcement
HY24 / results releaseResults Announcement
HY24 / results announcementFY24 Financial Statements
FY24 / financial reportMarket Announcement
FY24 / results releaseResults Announcement
FY24 / results announcementHalf-Year Results Presentation Recording
HY25 / commentaryRelated insights
Cross-company views selected from the metrics in this briefing.
Cash conversion quality
This result converted 22.1% of EBITDA to operating cash flow, -10.8pp versus the prior comparable period.
Earnings quality and statutory distortions
PBT and NPAT growth diverged by 25.6pp, with a distortion flag in the result.
Dividend coverage and payout pressure
Dividend payout versus NPAT is 0.0%.
Leverage and balance-sheet risk
Net debt / EBITDA is -5.46x, -2.27x versus the prior comparable period.
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