Quartix Holdings (QTX) AI Stock Analysis

• Market Cap: £95.33M
• Dividend Yield: 1.42%
• Average Volume (3M): 51.77K
• Price to Earnings (P/E): 20.0
• Beta (1Y): -0.06
• Revenue Growth: 8.43%
• EPS Growth: N/A
• Country: UK
• Employees: 173
• Sector: Technology
• Sector Strength: 44
• Industry: Hardware, Equipment & Parts
• EPS (TTM): 0.10
• Shares Outstanding: 48,392,178
• 10 Day Avg. Volume: 86,376
• 30 Day Avg. Volume: 51,768
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 3.33
• Price to Cash Flow (P/CF): 47.10
• P/FCF Ratio: 47.40
• 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

Quartix Holdings scores well due to its strong financial performance marked by improved profitability and operational efficiency, alongside positive technical indicators suggesting upward momentum. The valuation appears fair, though not overly attractive for dividend investors. Recent corporate events underscore a strong growth trajectory, boosting overall confidence in the company's future performance.

Quartix Holdings Business Overview & Revenue Model

Company Description

Quartix Holdings (QTX) is a leading provider of vehicle tracking systems and telematics services, primarily serving small and medium-sized businesses. The company designs, develops, and markets innovative tracking solutions that help businesses manage their vehicle fleets more efficiently and safely. Quartix's products include real-time tracking, driver behavior monitoring, and fleet management tools, which are used by customers across various sectors including transportation, logistics, and service industries.

How the Company Makes Money

Quartix Holdings generates revenue primarily through the sale of its vehicle tracking systems and related subscription-based telematics services. The company's business model revolves around offering its tracking solutions on a subscription basis, which provides a recurring revenue stream. Customers pay a monthly or annual fee for access to the company's software and data analytics services, which facilitate fleet management and operational efficiency improvements. Additionally, Quartix may generate revenue through direct sales of its hardware devices, although the primary focus remains on long-term service subscriptions. The company also leverages partnerships with vehicle manufacturers and other industry players to expand its market reach and enhance its service offerings.

Quartix Holdings Financial Statement Overview

Summary

Quartix Holdings demonstrates strong financial health with significant improvements in profitability and operational efficiency. The company shows strong revenue growth, improved gross profit margin, and a positive net profit margin. While there is a slight decline in cash flow generation, the overall trajectory remains positive.

Income Statement

Quartix Holdings has shown strong revenue growth over the years, with a 8.45% increase from 2023 to 2024. The gross profit margin improved to 69.50% in 2024, indicating efficient cost management. Net profit margin turned positive at 14.71% in 2024 from a negative position in 2023, showing a significant turnaround in profitability. Both EBIT and EBITDA margins have improved markedly, reflecting strong operational efficiency.

Balance Sheet

Quartix Holdings maintains a solid equity position with a debt-to-equity ratio of 0.03, showing low leverage and financial stability. Return on Equity (ROE) improved to 24.31% in 2024, showing effective utilization of equity. The equity ratio of 64.42% indicates a strong capital structure. However, the slight decrease in total assets over the years is a point of concern.

Cash Flow

Operating cash flow remains positive, although it decreased in 2024. Free cash flow generation is strong, with a minimal decline from 2023 to 2024. The operating cash flow to net income ratio is 0.58 in 2024, suggesting strong cash generation from operations relative to net income. However, the free cash flow growth rate turned negative, indicating some pressure on cash flow generation.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
31.36M	32.40M	29.88M	27.52M	25.51M	25.84M
	Gross Profit
17.98M	22.52M	16.98M	19.70M	18.75M	17.05M
	EBIT
1.63M	6.46M	1.33M	5.45M	5.39M	5.70M
	EBITDA
-617.00K	6.66M	-813.00K	5.82M	5.72M	6.06M
	Net Income Common Stockholders
-769.00K	4.77M	-908.00K	5.04M	4.98M	4.73M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
6.78M	3.10M	2.38M	5.06M	5.41M	10.57M
	Total Assets
25.82M	30.44M	29.28M	30.10M	28.56M	30.81M
	Total Debt
0.00	559.00K	660.00K	748.00K	763.00K	957.00K
	Net Debt
-6.78M	-2.54M	-1.72M	-4.32M	-4.65M	-9.61M
	Total Liabilities
7.57M	10.84M	12.93M	9.21M	8.51M	9.38M
	Stockholders Equity
18.10M	19.60M	16.35M	20.90M	20.05M	21.43M
Cash Flow		Free Cash Flow
2.99M	2.74M	3.27M	3.79M	3.27M	5.53M
	Operating Cash Flow
3.02M	2.77M	3.28M	3.86M	3.33M	5.61M
	Investing Cash Flow
-2.02M	-202.00K	-1.99M	-68.00K	-61.00K	-72.00K
	Financing Cash Flow
-1.63M	-1.62M	-3.95M	-4.26M	-8.36M	-1.78M

Quartix Holdings Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 197.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:QTX, the sentiment is Neutral. The current price of 197 is below the 20-day moving average (MA) of 203.80, above the 50-day MA of 181.35, and above the 200-day MA of 169.19, indicating a neutral trend. The MACD of 9.76 indicates Positive momentum. The RSI at 50.43 is Neutral, neither overbought nor oversold. The STOCH value of 43.98 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for GB:QTX.

Quartix Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
QTX	77 Outperform	£95.33M	20.00	26.51%	1.42%	8.43%	―
IDOX	69 Neutral	£264.47M	50.00	6.94%	1.03%	19.55%	-6.45%
TRCS	63 Neutral	£112.16M	227.78	0.72%	0.65%	-1.22%	-92.99%
Sector *	57 Neutral	$20.97B	10.32	-14.01%	2.49%	4.46%	-23.38%
RCDO	55 Neutral	£156.12M	205.36	-5.28%	5.06%	-8.12%	-794.85%

Quartix Holdings Corporate Events

Quartix Technologies Announces New Share Allotment

Quartix Technologies PLC has announced the issuance and allotment of 37,978 new ordinary shares following the exercise of options by Daniel Mendis, the Commercial and Operations Director. This move increases Mr. Mendis’s shareholding to 51,978 shares, representing 0.11% of the company’s total issued share capital. The new shares are set to be admitted to trading on the AIM market of the London Stock Exchange on April 2, 2025, bringing the total number of ordinary shares and voting rights to 48,430,156. This development may impact shareholder calculations under the FCA’s Disclosure and Transparency Rules.

Quartix Technologies Reports Strong Start to 2025 with Increased Subscriptions

Quartix Technologies plc has reported a strong start to 2025, with a 20% increase in new unit subscriptions in the first quarter compared to the same period in 2024. The company anticipates significant improvement in annualised recurring revenue and new customer acquisition, aligning with market expectations for the year. The positive outlook for the remainder of 2025 is reinforced by the company’s consistent trading performance in the initial months, and further updates are expected in an upcoming webinar.

Quartix Technologies Reports Strong 2024 Financial Results and Growth

Quartix Technologies plc reported strong financial results for the year ended December 31, 2024, with an 8% increase in group revenue to £32.4 million and a 25% rise in adjusted profit before tax to £6.3 million. The company achieved record growth in its annualized recurring revenue (ARR), which increased by 12% to £32.2 million, driven by a focus on profitable growth in its fleet subscription base. New customer acquisition rose by 19%, and the subscription base expanded by 13%, reflecting the company’s strategic focus on organic growth and market expansion across six territories. The launch of a new telematics platform is expected to further reduce manufacturing costs, supporting continued profitability and growth in 2025.

Quartix Technologies Announces Investor Presentation for Final Results

Quartix Technologies plc will host a live investor presentation on March 3, 2025, to discuss its Final Results, led by Executive Chairman Andy Walters. The event is open to current and prospective shareholders, allowing them to submit questions and gain insights into the company’s performance and strategic direction.

Quartix Technologies Announces Strong 2024 Growth and Strategic Developments

Quartix Technologies plc experienced strong growth in 2024, with significant increases in revenue, adjusted EBITDA, and ARR. The company has focused on customer acquisition and product development, introducing the TCSV17 telematics system for cost efficiency. Strategic investments in marketing and overhead reductions have bolstered customer acquisition, particularly in the UK and Europe. The promotion of Sally Morton as Director of Finance and the continued liquidation of the Konetik subsidiary are also notable developments.