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ESGLESGL Holdings Limited
$1.89$12M
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  4. Financial Ratios

ESGL Holdings Limited (ESGL) Financial Ratios

Latest Ratios: P/E Ratio -19.3x · EV/EBITDA 9.3x · ROE -5.6%. (2020–2024 historical series)

Income StatementBalance SheetCash FlowRatios
AnnualQuarterly

ESGL Valuation Multiples

Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow

MetricTTMFY 2024FY 2023FY 2022FY 2021FY 2020
Market Cap$12M$9M$9M———
Enterprise Value$18M$14M$16M———
P/E Ratio →-19.29—————
P/S Ratio2.001.411.43———
P/B Ratio0.830.581.10———
P/FCF——3.07———
P/OCF——1.80———

P/E links to full P/E history page with 30-year chart

ESGL EV Ratios

Enterprise-value multiples — capital-structure-neutral measures of total business value

MetricTTMFY 2024FY 2023FY 2022FY 2021FY 2020
EV / Revenue—2.372.66———
EV / EBITDA9.297.42————
EV / EBIT——————
EV / FCF——5.71———

ESGL Profitability

Margins and return-on-capital ratios measuring operating efficiency

Margins

Full margin charts and quarterly trend are on the Earnings History page

MetricTTMFY 2024FY 2023FY 2022FY 2021FY 2020
Gross Margin93.0%93.0%69.1%64.3%66.8%47.4%
Operating Margin-12.7%-12.7%-1531.3%-45.4%-15.5%-49.9%
Net Profit Margin-10.4%-10.4%-1540.9%-47.9%-16.9%-59.7%

Return on Capital

MetricTTMFY 2024FY 2023FY 2022FY 2021FY 2020
ROE-5.6%-5.6%-1184.2%-25.2%-11.6%-27.9%
ROA-2.5%-2.5%-370.5%-11.2%-4.0%-9.7%
ROIC-3.2%-3.2%-453.8%-9.7%-3.2%-6.9%
ROCE-5.7%-5.7%-907.3%-19.4%-8.1%-17.6%

ESGL Leverage & Debt

Solvency and debt-coverage ratios — lower is generally safer

MetricTTMFY 2024FY 2023FY 2022FY 2021FY 2020
Debt / Equity0.440.440.990.611.451.58
Debt / EBITDA3.333.33—236.946.8489.40
Net Debt / Equity—0.400.940.591.431.54
Net Debt / EBITDA3.003.00—229.526.7387.07
Debt / FCF——2.6417.119.75—
Interest Coverage-1.14-1.14-215.10-8.90-2.45-6.41

ESGL Liquidity & Efficiency

Short-term solvency ratios and asset-utilisation metrics

MetricTTMFY 2024FY 2023FY 2022FY 2021FY 2020
Current Ratio0.230.230.100.130.130.12
Quick Ratio0.180.180.090.110.070.08
Cash Ratio0.070.070.020.030.010.03
Asset Turnover—0.240.240.190.230.16
Inventory Turnover0.970.9729.6522.682.194.12
Days Sales Outstanding—40.9227.3428.6630.0639.30

ESGL Shareholder Yields

Earnings, FCF, buyback, and dividend yields — total returns to shareholders

Dividends

Full dividend history and growth charts are on the Dividend History page

MetricTTMFY 2024FY 2023FY 2022FY 2021FY 2020
Dividend Yield——————
Payout Ratio——————

Total Shareholder Return Metrics

MetricTTMFY 2024FY 2023FY 2022FY 2021FY 2020
Earnings Yield——————
FCF Yield——32.5%———
Buyback Yield0.0%0.0%0.0%———
Total Shareholder Yield0.0%0.0%0.0%———
Shares Outstanding—$6M$13M$9M$11M$9M

Key Metrics

Growth RegimeContracting
ProfitabilityNegative
Balance SheetVulnerable
Cash FlowBurning
Top Statement Risk

Imminent liquidity and solvency

Distressed Valuation Reflects Operational Uncertainty

Based on reported figures, ESGL trades at a P/S of 2.00 and a negative P/E of -19.29, suggesting that the market is pricing the company as a distressed asset rather than a growth-stage environmental technology firm, given the lack of a clear path to positive earnings.

The current valuation multiples appear to reflect significant skepticism regarding the company's ability to scale its circular regeneration model. Investors should monitor whether the EV/EBITDA of 9.29 is sustainable, as this metric may be artificially supported by the exclusion of critical operating costs from EBITDA calculations.

Capital Efficiency Remains Fundamentally Impaired

According to quarterly financial data, ESGL's ROIC has consistently languished in negative territory, reaching -0.8% in 2023Q2, which indicates that the company is failing to generate adequate returns on its invested capital compared to the cost of maintaining its specialized industrial infrastructure.

The persistent decay in returns on capital suggests that the firm's heavy investment in treatment facilities has not yet yielded the necessary operational efficiencies. This trend warrants further investigation into whether the company's core technology can ever achieve the scale required to exceed its cost of capital.

Liquidity Constraints Threaten Operational Continuity

As reported in recent financial statements, the company's current ratio has deteriorated to 0.25 as of 2023Q2, signaling that ESGL lacks the liquid assets necessary to cover its short-term obligations, which poses a severe risk to the firm's ability to maintain ongoing operations.

The rapid decline in liquidity suggests that the company is operating with an extremely thin margin for error. Given the negative cash flow profile, the current liquidity position appears insufficient to support the business without immediate external financing or a significant restructuring of its short-term liabilities.

Gross Margin Misrepresents Operational Reality

While reported gross margins often exceed 70%, this metric is frequently misapplied by investors to suggest high profitability, when in reality, it obscures the heavy fixed-cost burden of ESGL's industrial waste regeneration model as evidenced by persistent negative operating margins in recent filings.

Analysts should prioritize operating margin and free cash flow over gross margin to assess the company's true earning power. Relying on gross margin alone ignores the significant depreciation and energy costs that are essential to the company's business model but are excluded from the cost of goods sold.

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Includes 30+ ratios · 5 years · Updated daily

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ESGL — Frequently Asked Questions

Quick answers to the most common questions about buying ESGL stock.

What is ESGL Holdings Limited's P/E ratio?

ESGL Holdings Limited's current P/E ratio is -19.3x. This places it at the 50th percentile of its historical range.

What is ESGL Holdings Limited's EV/EBITDA?

ESGL Holdings Limited's current EV/EBITDA is 9.3x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 7.4x.

What is ESGL Holdings Limited's ROE?

ESGL Holdings Limited's return on equity (ROE) is -5.6%. The historical average is -17.6%.

Is ESGL stock overvalued?

Based on historical data, ESGL Holdings Limited is trading at a P/E of -19.3x. This is at the 50th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.

What are ESGL Holdings Limited's profit margins?

ESGL Holdings Limited has 93.0% gross margin and -12.7% operating margin.

How much debt does ESGL Holdings Limited have?

ESGL Holdings Limited's Debt/EBITDA ratio is 3.3x, indicating high leverage. A ratio between 2-4x is manageable but warrants monitoring.