Ann: Preliminary Final Report, page-2

From Chat GPT"

Analysis of Range International Limited's Financial Report for FY24

1. Key Financial Metrics

• Revenue: $1.68M (+4% YoY), a modest increase from $1.62M in FY23.
• Net Loss: $1.40M, an improvement from $1.87M in the previous year (+25% YoY).
• Earnings per Share (EPS): Negative (not explicitly mentioned in the report).
• Net Tangible Assets (NTA) per Share: $0.12, down from $0.27 YoY.

2. Financial Observations

• Revenue Growth: The company's revenue grew by 4%, which is relatively low and may indicate limited market expansion.
• Loss Reduction: The company reduced its loss by $470K, showing some improvement in financial efficiency.
• Deterioration in NTA per Share: The decline from $0.27 to $0.12 suggests an erosion of tangible value per share, potentially due to continued losses or asset devaluation.
• Going Concern Risk: The audit report is expected to include an emphasis of matter on the company's ability to continue as a going concern, meaning there are significant financial risks that could affect future operations.

3. Dividend and Shareholder Returns

• No Dividends Paid: The company did not pay or declare dividends in FY24 or FY23, likely due to ongoing losses.
• No Share Buybacks or Reinvestment Plans: No dividend reinvestment plan was mentioned, which means investors must rely on capital appreciation for returns.

4. Strategic and Operational Risks

• Low Growth Rate: A 4% revenue increase is weak, especially for a company trying to reduce losses.
• Going Concern Risk: A warning from auditors about financial sustainability can reduce investor confidence and limit access to funding.
• Declining Net Tangible Assets: The reduction in tangible value per share suggests challenges in asset management and profitability.

Final Verdict

Range International Ltd has made some progress in reducing its losses, but growth remains weak, and financial sustainability is a concern. The auditor’s warning on going concern is a red flag, suggesting the company must improve its profitability and liquidity to remain viable in the long run.

Would you like a deeper analysis on any specific aspect, such as liquidity, cash flow, or business strategy?