Next Hydrogen Solutions Inc.

Next Hydrogen Solutions Inc. has a liquidity position that appears to be strong, with a current ratio of 2.75, indicating that the company has more than twice as many current assets as current liabilities. The company holds CAD 9,583,170 in cash and equivalents, which is a significant portion of its total assets of CAD 22,986,030. However, the company's operating cash flow is negative at CAD -1,109,240, and its free cash flow is also negative at CAD -3,312,660, suggesting that the company is not generating sufficient cash from operations to fund its activities.

In terms of profitability, the company is currently unprofitable, with a net income of CAD -3,418,720 and an operating income of CAD -3,485,670. The return on equity is -0.3655, and the return on assets is -0.1487, both of which are negative and indicate that the company is not generating returns for its shareholders or assets. The gross profit is also negative at CAD -45,620, which is a concern for a company in the renewable energy sector, where margins can be tight.

The company's revenue for the latest period is CAD 575,640, which is relatively low for a company in the renewable energy sector. There is no detailed breakdown of segments or geographic exposure provided in the available data, but the company's revenue concentration is likely to be in its core hydrogen production and fuel cell technologies. The company's growth trajectory is uncertain, as the available data does not provide a clear picture of future revenue expectations. The company's capital expenditure is CAD -115,930, which is a small amount relative to its total assets, suggesting that the company is not heavily investing in new projects or expansion.

The risk assessment indicates that the company has a low liquidity risk and a low dilution risk, with no immediate filing-based liquidity or dilution flags detected. The company's debt to equity ratio is 0.19, which is relatively low, indicating that the company is not heavily leveraged. The company's shares outstanding are the same for both basic and diluted shares, suggesting that there is no significant potential for dilution. The company's recent events, as reflected in the financial data, do not indicate any major changes or developments that would significantly impact its operations or financial position.

Revenue surged 306.3% year-over-year to CAD 3.4 million in fiscal 2024, demonstrating significant top-line growth momentum.

Net losses narrowed by 46.3% year-over-year to CAD 7.7 million in fiscal 2024, indicating improving operational efficiency.

Gross profit expanded to CAD 2.4 million in fiscal 2024, reflecting a positive shift from negative gross margins in prior years.

Free cash flow improved by 35.9% year-over-year to a loss of CAD 8.1 million, showing better cash management.

Dilution and liquidity risks are assessed as low, suggesting manageable capital structure pressures despite ongoing losses.

The company recorded a net loss of CAD 7.7 million in fiscal 2024, resulting in a negative net margin of -5.9%.

Operating income remained deeply negative at CAD 6.8 million in fiscal 2024, highlighting persistent core business unprofitability.

Long-term debt increased to CAD 8.3 million in fiscal 2024, up from CAD 4.7 million in the prior year.

Credit risk is flagged as high, signaling potential difficulties in meeting financial obligations or securing favorable financing terms.

Revenue C$523.4k, +356,4% YoY; Operating income +49,4% YoY.

• ▍Revenue C$523.4k, +356,4% YoY
• ▍Operating income +49,4% YoY
• ▍Net income +44,1% YoY
• ▍Free cash flow +49,5% YoY
• ▍Net margin -359.2%

Revenue C$2.3M, +1 802,8% YoY; Operating income +109,9% YoY.

• ▍Revenue C$2.3M, +1 802,8% YoY
• ▍Operating income +109,9% YoY
• ▍Net income +102,2% YoY
• ▍Free cash flow +105,7% YoY
• ▍Net margin 3.8%

Revenue C$274.6k, −50,2% YoY; Operating income +31,3% YoY.

• ▍Revenue C$274.6k, −50,2% YoY
• ▍Operating income +31,3% YoY
• ▍Net income +25,0% YoY
• ▍Free cash flow +11,4% YoY
• ▍Net margin -1063.2%

Revenue C$331.9k, −42,4% YoY; Operating income +20,3% YoY.

• ▍Revenue C$331.9k, −42,4% YoY
• ▍Operating income +20,3% YoY
• ▍Net income +14,0% YoY
• ▍Free cash flow +1,1% YoY
• ▍Net margin -886.0%

Revenue C$114.7k; Operating income -C$3.4M.

• ▍Revenue C$114.7k
• ▍Operating income -C$3.4M
• ▍Net margin -2930.8%

Revenue C$120.4k; Operating income -C$3.9M.

• ▍Revenue C$120.4k
• ▍Operating income -C$3.9M
• ▍Net margin -3257.2%

Revenue C$551.5k; Operating income -C$3.9M.

• ▍Revenue C$551.5k
• ▍Operating income -C$3.9M
• ▍Net margin -706.2%

Revenue C$575.6k; Operating income -C$3.5M.

• ▍Revenue C$575.6k
• ▍Operating income -C$3.5M
• ▍Net margin -593.9%

Revenue C$3.4M, +151,1% YoY; Operating income +53,7% YoY.

• ▍Revenue C$3.4M, +151,1% YoY
• ▍Operating income +53,7% YoY
• ▍Net income +47,6% YoY
• ▍Free cash flow +43,8% YoY
• ▍Net margin -223.7%

Revenue C$1.4M, +43,1% YoY; Operating income −17,2% YoY.

• ▍Revenue C$1.4M, +43,1% YoY
• ▍Operating income −17,2% YoY
• ▍Net income −21,5% YoY
• ▍Free cash flow −4,9% YoY
• ▍Net margin -1071.5%

Revenue C$951.9k, +31,9% YoY; Operating income +14,4% YoY.

• ▍Revenue C$951.9k, +31,9% YoY
• ▍Operating income +14,4% YoY
• ▍Net income +15,9% YoY
• ▍Free cash flow +22,4% YoY
• ▍Net margin -1262.1%