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Pentanet Ltd (AU:5GG)
ASX:5GG
Australian Market
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Pentanet Ltd (5GG) AI Stock Analysis

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AU:5GG

Pentanet Ltd

(Sydney:5GG)

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Neutral 51 (OpenAI - Gpt-5.6Sol)
Rating:51Neutral
Price Target:
AU$0.02
▼(-30.00% Downside)
Action:Reiterated
Date:09/06/26
The score is primarily constrained by weak profitability and a significant margin squeeze in 2026 despite strong revenue growth, with equity erosion adding balance-sheet risk. Offsetting this, recent positive operating/free cash flow improves financial quality, while technicals are broadly neutral and valuation remains challenged due to negative earnings and no dividend.
Positive Factors
Recurring subscription model
Recurring broadband subscriptions can provide a repeatable revenue base as active services and customer retention develop. This model supports planning and reinvestment because revenue is distributed across ongoing residential and business relationships rather than relying only on one-time transactions.
Negative Factors
Persistent net losses
Ongoing net losses indicate that revenue growth has not yet translated into a sustainable earnings model. Persistent unprofitability can constrain internal reinvestment, weaken financial resilience, and make future growth more dependent on improving operating economics rather than scale alone.
Read all positive and negative factors
Positive Factors
Negative Factors
Recurring subscription model
Recurring broadband subscriptions can provide a repeatable revenue base as active services and customer retention develop. This model supports planning and reinvestment because revenue is distributed across ongoing residential and business relationships rather than relying only on one-time transactions.
Read all positive factors

Pentanet Ltd (5GG) vs. iShares MSCI Australia ETF (EWA)

Pentanet Ltd Business Overview & Revenue Model

Company Description
Based in Perth, Australia, Pentanet Limited functions as a telecommunications carrier and internet service provider. Formed in 2017, its business is bifurcated into two main divisions: Internet and Telecommunication Services, and Gaming Technology...
How the Company Makes Money
Pentanet makes money primarily by charging recurring subscription fees for internet access services delivered to customers (typically monthly broadband plans). Revenue is generated from residential and business connectivity services, with earnings...

Pentanet Ltd Financial Statement Overview

Summary
Mixed fundamentals: revenue has grown strongly over multiple years and operating/free cash flow turned positive in 2025–2026, but profitability remains weak with continued net losses and a sharp gross margin compression in 2026 (~4% vs ~20% in 2025). Balance sheet leverage is moderate (debt-to-equity ~0.51), but equity has declined materially since 2021, increasing risk if losses persist.
Income Statement
34
Negative
Balance Sheet
57
Neutral
Cash Flow
62
Positive
BreakdownJun 2026Jun 2025Jun 2024Jun 2023Jun 2022
Income Statement
Total Revenue24.40M22.80M20.88M19.73M16.83M
Gross Profit913.00K4.50M-2.60M-3.48M-2.65M
EBITDA1.97M-298.00K-1.27M-3.80M-4.48M
Net Income-6.89M-4.45M-6.38M-7.57M-7.92M
Balance Sheet
Total Assets24.74M33.57M41.58M48.10M46.14M
Cash, Cash Equivalents and Short-Term Investments1.51M2.82M5.30M7.37M13.39M
Total Debt7.42M7.22M8.82M8.10M5.58M
Total Liabilities10.31M12.23M15.84M16.94M12.58M
Stockholders Equity14.43M21.34M25.74M31.16M33.56M
Cash Flow
Free Cash Flow1.12M311.00K-7.75M-10.89M-14.72M
Operating Cash Flow1.60M1.36M-634.00K-3.62M-4.82M
Investing Cash Flow-2.28M-2.84M-4.62M-9.77M-13.89M
Financing Cash Flow-18.00K-1.61M3.18M7.37M-601.00K

Pentanet Ltd Technical Analysis

Technical Analysis Sentiment
Negative
Last Price0.03
Price Trends
50DMA
0.02
Positive
100DMA
0.02
Positive
200DMA
0.02
Negative
Market Momentum
MACD
<0.01
Positive
RSI
48.88
Neutral
STOCH
-20.63
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:5GG, the sentiment is Negative. The current price of 0.03 is above the 20-day moving average (MA) of 0.02, above the 50-day MA of 0.02, and above the 200-day MA of 0.02, indicating a neutral trend. The MACD of <0.01 indicates Positive momentum. The RSI at 48.88 is Neutral, neither overbought nor oversold. The STOCH value of -20.63 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:5GG.

Pentanet Ltd Peers Comparison

Overall Rating
UnderperformOutperform
Sector (60)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
65
Neutral
AU$1.31B35.355.50%1.45%9.12%7.51%
64
Neutral
AU$1.44B82.114.27%0.21%21.56%1694.74%
60
Neutral
$48.67B4.58-11.27%4.14%2.83%-41.78%
59
Neutral
AU$53.37B24.1317.30%4.37%-0.81%5.46%
58
Neutral
AU$7.54B72.871.20%46.87%-4.55%
58
Neutral
AU$1.43B44.755.72%3.36%5.50%-7.85%
51
Neutral
AU$9.10M-1.32-40.37%7.98%-54.37%
* Communication Services Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:5GG
Pentanet Ltd
0.02
>-0.01
-19.23%
AU:TPG
TPG Telecom Limited
3.84
0.49
14.80%
AU:TLS
Telstra Corporation Limited
4.80
0.15
3.31%
AU:SLC
Superloop Ltd.
2.80
-0.32
-10.26%
AU:MAQ
Macquarie Telecom Group Limited
55.49
-3.96
-6.66%
AU:ABB
Aussie Broadband Ltd.
4.15
-0.84
-16.85%

Pentanet Ltd Corporate Events

Pentanet outlines FY26 results amid strong risk and disclaimer focus
Sep 3, 2026
Pentanet Ltd has released a presentation covering its financial year 2026 results for the year ended 30 June 2026, alongside a strategy update outlining its current position and future priorities. The document emphasises that the information is su...
Pentanet schedules FY26 results and strategy webinar for investors
Sep 2, 2026
Pentanet Ltd. will host an investor webinar on 4 September 2026 to present its FY26 financial results and provide a strategy update, led by Managing Director Stephen Cornish and CFO Mart&#8209;Marie Derman. The briefing, which includes a formal pr...
Pentanet boosts earnings as cloud-gaming drives margin expansion
Aug 31, 2026
Pentanet reported FY26 group revenue of $24.4 million, up eight per cent year-on-year, with telco revenue rising seven per cent to $21.6 million and gaming revenue jumping 16 per cent to $2.8 million. Group EBITDA surged 74 per cent to $2.4 millio...
Pentanet Files Updated Corporate Governance Statement with ASX
Aug 31, 2026
Pentanet Ltd has lodged its latest corporate governance statement for the financial year ended 30 June 2026, making the document available via its investor centre under the governance tab. The statement, approved by the board on 28 August 2026, ou...
Pentanet issues FY26 business update with extensive risk disclosures
Aug 2, 2026
Pentanet Ltd has issued an FY26 business update for the year ended 30 June 2026, presenting unaudited financial information to the market. The document is framed as an informational presentation rather than investment advice, with the company stre...
Pentanet boosts FY26 earnings as cloud-gaming and telecoms strategy pays off
Aug 2, 2026
Pentanet reported a strong improvement in FY26 operating performance, with unaudited group revenue rising 8% to $24.4 million, EBITDA jumping 74% to $2.4 million and net operating cash inflow up 17% to $1.6 million, driven by operating leverage an...
Pentanet to Host Investor Briefing on Telecom and Cloud-Gaming Strategy
Jul 29, 2026
Pentanet has scheduled a business update presentation and investor QA livestream for Monday, 3 August 2026, featuring Managing Director Stephen Cornish and CFO Mart&#8209;Marie Derman. The company will release a covering announcement and presentat...
Pentanet director Timothy Cornish options lapse while major shareholding remains intact
Jul 1, 2026
Pentanet director Timothy Cornish has adjusted his indirect interests in the company following the expiry of 418,387 unlisted options exercisable at $0.093, which lapsed on 30 June 2026 without being exercised. Despite the option expiry, Cornish c...
Pentanet Director Stephen Cornish Sees Lapse of Unlisted Options
Jul 1, 2026
Pentanet Limited has disclosed a change in director Stephen Cornish&#8217;s interests following the expiry of a tranche of unlisted options. Cornish, through the Stemma Investment Trust where he is trustee and beneficiary, saw 1,373,418 unlisted o...
Pentanet Options Expire, Trimming Potential Share Dilution
Jun 30, 2026
Pentanet Ltd has announced the expiry of a tranche of unexercised options, with 2,784,585 options carrying an exercise price of $0.093 and an expiry date of June 30, 2026, lapsing without conversion. The cessation of these options slightly reduces...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Sep 06, 2026