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Epsilon Healthcare Limited (AU:EPN)
ASX:EPN
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Epsilon Healthcare Limited (EPN) AI Stock Analysis

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AU:EPN

Epsilon Healthcare Limited

(Sydney:EPN)

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Neutral 46 (OpenAI - Gpt-5.6Sol)
Rating:46Neutral
Price Target:
AU$0.02
▲(20.00% Upside)
Action:Reiterated
Date:08/27/26
The score is held back primarily by weak financial performance: persistent losses, consistently negative operating/free cash flow, and a sharp rise in leverage that increases financing risk. Technicals are mixed-to-neutral (some short-term improvement but still below the 200-day trend), while valuation is constrained by a loss-making profile (negative P/E) and no dividend support.
Positive Factors
Strong Revenue Rebound
The sharp revenue rebound indicates improved demand, customer activity or commercial execution. Sustaining this higher revenue base over the next several quarters could improve operating leverage and provide a foundation for eventual profitability.
Negative Factors
Sharp Leverage Increase
The step-up in leverage materially reduces financial flexibility and increases exposure to refinancing, covenant and interest burdens. With equity shrinking, the company has less balance-sheet capacity to absorb setbacks or fund growth internally.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong Revenue Rebound
The sharp revenue rebound indicates improved demand, customer activity or commercial execution. Sustaining this higher revenue base over the next several quarters could improve operating leverage and provide a foundation for eventual profitability.
Read all positive factors

Epsilon Healthcare Limited (EPN) vs. iShares MSCI Australia ETF (EWA)

Epsilon Healthcare Limited Business Overview & Revenue Model

Company Description
Epsilon Healthcare Limited operates as an Australian-based healthcare and pharmaceutical firm, with significant operations also extending into Canada. Established in 2016 and headquartered in Sydney, the company specializes in several areas: manuf...
How the Company Makes Money
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Epsilon Healthcare Limited Financial Statement Overview

Summary
Revenue rebounded strongly in 2025 (~53% growth) and losses improved, but profitability remains meaningfully negative (net margin around -22%). Balance sheet risk increased materially with leverage jumping to ~4.7x debt-to-equity alongside shrinking equity, and cash generation is consistently negative with ongoing negative operating and free cash flow.
Income Statement
28
Negative
Balance Sheet
24
Negative
Cash Flow
18
Very Negative
BreakdownTTMDec 2025Jun 2025Dec 2024Dec 2022Dec 2021
Income Statement
Total Revenue16.57M9.39M5.60M6.65M7.11M5.50M
Gross Profit5.00M2.09M4.17M4.81M-3.09M2.06M
EBITDA-320.67K-1.86M-2.13M-1.31M-10.86M-8.09M
Net Income459.56K-1.28M-3.25M-1.09M-13.29M-8.91M
Balance Sheet
Total Assets19.47M17.87M22.26M14.41M20.50M30.55M
Cash, Cash Equivalents and Short-Term Investments1.29M242.86K1.57M343.01K861.99K2.34M
Total Debt8.69M10.35M7.88M3.45M3.20M4.33M
Total Liabilities15.59M15.95M11.57M6.87M11.23M10.98M
Stockholders Equity3.88M1.91M10.70M7.54M9.27M19.57M
Cash Flow
Free Cash Flow574.68K-3.30M-3.50M-803.47K-3.10M-6.18M
Operating Cash Flow601.47K-3.13M-3.41M-703.37K-2.57M-5.43M
Investing Cash Flow-554.15K6.29M-97.73K-99.12K-529.40K-737.59K
Financing Cash Flow-25.45K-4.48M4.73M335.91K1.61M1.47M

Epsilon Healthcare Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (51)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
74
Outperform
AU$149.40M13.8519.91%4.33%12.19%22.36%
64
Neutral
AU$50.70M82.141.13%8.99%450.00%
55
Neutral
AU$52.99M-13.91-1.67%15.21%-141.82%
51
Neutral
$7.86B-0.30-43.30%2.27%22.53%-2.21%
50
Neutral
AU$19.38M-7.19-13.81%5.93%66.32%
46
Neutral
AU$8.95M-5.11-157.74%121.40%
39
Underperform
AU$18.68M-5.074388.00%-19.29%62.42%
* Healthcare Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:EPN
Epsilon Healthcare Limited
0.02
>-0.01
-4.17%
AU:VLS
Vita Life Sciences Limited
2.77
0.55
24.61%
AU:LGP
Little Green Pharma Ltd.
0.06
-0.06
-46.67%
AU:MVP
Medical Developments International Limited
0.46
-0.12
-20.69%
AU:PKP
Althea Group Holdings Ltd.
0.01
>-0.01
-36.36%
AU:IDT
IDT Australia Limited
0.05
-0.02
-29.23%

Epsilon Healthcare Limited Corporate Events

Epsilon Healthcare Posts Record Quarter as Integrated Platform Scales
Jul 30, 2026
Epsilon Healthcare reported record customer receipts of $3.66 million for the June 2026 quarter, a 72% year‑on‑year increase and the highest quarterly figure in its history. Consolidated group revenue rose to $4.7 million for the quart...
Epsilon Healthcare Director Boosts Stake via Small Holding Facility
Jul 6, 2026
Epsilon Healthcare has disclosed a change in director Zoe Hutchings’ shareholding, reporting the off-market acquisition of 1,500,000 fully paid ordinary shares. The purchase, executed on 3 July 2026 for approximately $30,000 including broker...
Epsilon Healthcare Restructures Related-Party Funding and Secures New Debt Facility
Jun 30, 2026
Epsilon Healthcare Limited, an ASX-listed Australian healthcare group, runs a vertically integrated portfolio that includes clinic operations, pharmaceutical contract development and manufacturing, pharmacy and biotechnology therapeutic products. ...
Epsilon Healthcare completes sale of small shareholdings to streamline register
Jun 26, 2026
Epsilon Healthcare Limited has completed its small holding share sale facility, aimed at consolidating its share register and managing administrative costs associated with small shareholdings. The facility resulted in the sale of 24,487,661 fully ...
Epsilon Healthcare Grants 32 Million Unlisted Director Options Under Incentive Scheme
Jun 9, 2026
Epsilon Healthcare has notified the market that it will issue 32 million unlisted director options under its employee incentive scheme, with the options expiring on 5 June 2029 and exercisable for no cash consideration. The move expands the compan...
Epsilon Healthcare Secures Shareholder Backing as All AGM Resolutions Pass
May 29, 2026
Epsilon Healthcare Limited has confirmed that all resolutions put to shareholders at its latest Annual General Meeting were passed by poll, underscoring solid support for the company’s current governance and strategic direction. The board&#8...
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: Aug 27, 2026