IPS Securex Holdings (42N) AI Stock Analysis

• Market Cap: S$16.00M
• Dividend Yield: N/A
• Average Volume (3M): 15.65M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.38
• Revenue Growth: -17.57%
• EPS Growth: -1600.00%
• Country: SG
• Employees: 57
• Sector: Industrials
• Sector Strength: 72
• Industry: Security & Protection Services
• EPS (TTM): >-0.01
• Shares Outstanding: 486,000,000
• 10 Day Avg. Volume: 16,507,100
• 30 Day Avg. Volume: 15,646,043
• PEG Ratio: <0.01
• Price to Book (P/B): 2.01
• Price to Sales (P/S): 0.99
• P/FCF Ratio: -21.94
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 52 Neutral
• Price Target: S$0.00 ▼(-100.00% Downside)

The overall stock score is primarily impacted by financial performance challenges, including declining revenues and negative profitability. Technical analysis provides some positive momentum, but poor valuation due to negative earnings significantly lowers the score.

IPS Securex Holdings Business Overview & Revenue Model

Company Description

IPS Securex Holdings (42N) is a leading provider of cybersecurity solutions and services, specializing in the protection of critical infrastructure and sensitive data across various sectors, including finance, healthcare, and government. The company offers a comprehensive range of products, including threat intelligence platforms, security software, and consulting services, aimed at enhancing the security posture of its clients in an increasingly digital and interconnected world.

How the Company Makes Money

IPS Securex Holdings generates revenue primarily through the sale of its cybersecurity software and services. Key revenue streams include subscription fees for its software solutions, one-time fees for consulting services, and recurring revenue from managed security services. Additionally, the company benefits from strategic partnerships with technology firms and government agencies, which enhance its service offerings and expand its client base. These partnerships often lead to joint ventures and collaborative projects that further contribute to the company's earnings.

IPS Securex Holdings Financial Statement Overview

Summary

IPS Securex Holdings is facing financial challenges with declining revenues and profitability. The income statement shows negative revenue growth and margins, while the balance sheet indicates improved leverage but negative return on equity. Cash flow management is weak, with negative operating and free cash flows.

Income Statement

The company has experienced declining revenue over the past few years, with a negative revenue growth rate of -6.51% in the most recent year. Gross profit margin has decreased from 42.20% to 36.74%, indicating pressure on profitability. The net profit margin turned negative, reflecting a net loss. EBIT and EBITDA margins are also negative, highlighting operational challenges.

Balance Sheet

The debt-to-equity ratio has improved to 0.03, indicating lower leverage compared to previous years. However, the return on equity is negative, suggesting inefficiencies in generating returns for shareholders. The equity ratio stands at 59.93%, showing a stable capital structure but with room for improvement in asset utilization.

Cash Flow

The company has faced significant challenges in cash flow management, with negative operating cash flow and free cash flow. The free cash flow to net income ratio is positive, indicating some ability to generate cash relative to net income, but overall cash flow performance is weak, with a significant decline in free cash flow growth.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	11.28M	11.28M	13.69M	11.54M	15.77M	8.69M
Gross Profit	4.10M	4.14M	5.78M	3.68M	5.77M	4.09M
EBITDA	-1.41M	-1.31M	312.65K	-1.82M	907.75K	10.30K
Net Income	-1.48M	-1.48M	103.64K	-2.01M	263.45K	95.44K
Balance Sheet
Total Assets	9.27M	9.27M	11.99M	12.67M	16.94M	17.62M
Cash, Cash Equivalents and Short-Term Investments	2.17M	2.17M	3.07M	6.96M	8.37M	7.21M
Total Debt	139.59K	139.59K	1.42M	2.59M	3.84M	4.93M
Total Liabilities	3.71M	3.71M	4.95M	5.74M	7.99M	8.94M
Stockholders Equity	5.56M	5.56M	7.03M	6.93M	8.94M	8.68M
Cash Flow
Free Cash Flow	-508.37K	-508.37K	-3.09M	1.12M	751.33K	79.15K
Operating Cash Flow	-363.94K	-363.94K	-3.04M	1.47M	846.08K	117.04K
Investing Cash Flow	-142.73K	-142.73K	-52.22K	-341.39K	-11.58K	-37.24K
Financing Cash Flow	-353.66K	-353.66K	-786.05K	-2.53M	879.77K	3.97M

IPS Securex Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	―	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
N01	―	S$44.15M	―	-13.95%	4.10%	-11.99%	-2666.67%
43Q	―	S$27.88M	19.82	4.26%	―	-0.07%	―
42N	―	S$16.00M	-11.00	-23.42%	―	-17.57%	-1600.00%
CYW	―	S$4.95M	-11.03	-4.27%	―	5.95%	64.63%

IPS Securex Holdings Corporate Events

IPS Securex Secures S$16.9 Million Government Contract

IPS Securex Holdings Limited has announced that its subsidiary, IPS Securex Pte. Ltd., has secured a contract valued at approximately S$16.9 million from a government agency. The contract, which spans 24 months starting from October 2025, involves the design, supply, and installation of security systems, enhancing the company’s market position in the security solutions sector.

IPS Securex Reports No Share Changes in H1 2025

IPS Securex Holdings Limited announced that there were no acquisitions or disposals of shares by the Group for the first half of 2025. This announcement, made in compliance with the Catalist Rules of the Singapore Exchange, indicates a stable period for the company without significant changes in its shareholding structure, potentially reflecting a steady operational phase.