Energys Group Ltd

UK LED/energy-services ESCO with high leverage, sub-1.0 liquidity, declining revenue, and sustained net losses.

Strengths

• Recent IPO raised ~$10M; net loss narrowed vs prior years (income growth ~89th pct)
• Established 23+ year ESCO with stable ~20% gross margin and recurring retrofit demand

Risks

• Debt-to-equity 4.1 (96th pct), current ratio 0.84 and quick 0.72 (~21st pct), cash runway ~1.5 quarters
• Revenue down ~28%, ROE -139% (9th pct); reliance on UK carbon-policy support and balance-sheet restructuring

Notable findings

• High leverageHigh leverage (debt/equity 4.11)
• Cash burnNegative free cash flow (-0.7M)
• Weak liquidityCurrent ratio 0.84 (<1)