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FKWLFranklin Wireless Corp.
$2.63$31M
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  4. Financial Ratios

Franklin Wireless Corp. (FKWL) Financial Ratios

Latest Ratios: P/E Ratio -127.7x · EV/EBITDA N/A · ROE -0.7%. (1998–2025 historical series)

Income StatementBalance SheetCash FlowRatios
AnnualQuarterly

FKWL Valuation Multiples

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

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Market Cap$31M$49M$43M$44M$37M$106M$59M$26M$19M$24M$25M
Enterprise Value$18M$36M$32M$32M$11M$61M$33M$19M$8M$10M$12M
P/E Ratio →-127.67————5.9910.62——28.1315.47
P/S Ratio0.671.071.390.951.530.580.790.710.650.490.41
P/B Ratio0.821.301.181.080.862.302.801.701.141.261.36
P/FCF17.1127.19———9.342.78186.40—24.2514.96
P/OCF16.8026.71———8.782.6933.41—16.129.13

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

FKWL EV Ratios

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

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
EV / Revenue—0.781.040.690.460.330.440.530.250.200.19
EV / EBITDA—————2.584.08——6.523.75
EV / EBIT—————2.674.60——8.395.46
EV / FCF—19.82———5.381.53139.99—9.817.00

FKWL Profitability

Margins and return-on-capital ratios measuring operating efficiency

Margins

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

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Gross Margin17.2%17.2%11.4%15.3%15.9%17.6%19.3%15.7%17.3%19.0%16.6%
Operating Margin-6.2%-6.2%-19.3%-5.1%-20.7%12.4%9.4%-5.6%-9.0%1.8%3.5%
Net Profit Margin-0.5%-0.5%-12.9%-6.2%-15.7%9.6%7.4%-4.0%-7.0%1.8%2.7%

Return on Capital

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
ROE-0.7%-0.7%-10.3%-6.9%-8.5%52.6%30.5%-9.1%-11.6%4.7%9.3%
ROA-0.5%-0.5%-7.6%-5.2%-6.8%28.7%12.8%-6.4%-7.3%2.7%5.7%
ROIC-8.6%-8.6%-16.5%-7.8%-41.6%1482.2%305.7%-22.1%-40.9%13.3%32.9%
ROCE-7.5%-7.5%-15.2%-5.6%-11.1%66.1%37.6%-12.6%-14.9%4.7%12.3%

FKWL Leverage & Debt

Solvency and debt-coverage ratios — lower is generally safer

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Debt / Equity0.040.040.040.000.010.020.08————
Debt / EBITDA—————0.030.21————
Net Debt / Equity—-0.35-0.30-0.30-0.61-0.97-1.25-0.42-0.70-0.75-0.72
Net Debt / EBITDA—————-1.90-3.30——-9.59-4.26
Debt / FCF—-7.37———-3.95-1.24-46.41—-14.44-7.96
Interest Coverage———————————

Net cash position: cash ($15M) exceeds total debt ($1M)

FKWL Liquidity & Efficiency

Short-term solvency ratios and asset-utilisation metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Current Ratio3.643.644.433.145.214.921.432.892.682.192.08
Quick Ratio3.453.454.272.914.744.831.152.722.491.931.91
Cash Ratio3.273.274.122.364.594.590.782.001.481.080.97
Asset Turnover—0.900.660.810.463.191.151.721.201.501.88
Inventory Turnover16.1916.1919.1410.264.62155.465.1429.1915.4011.6421.83
Days Sales Outstanding—15.7913.6971.9320.735.1477.9641.8397.5183.2175.58

FKWL 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 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Dividend Yield———————————
Payout Ratio———————————

Total Shareholder Return Metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Earnings Yield—————16.7%9.4%——3.6%6.5%
FCF Yield5.8%3.7%———10.7%36.0%0.5%—4.1%6.7%
Buyback Yield1.3%0.8%0.0%0.0%0.0%0.0%0.0%0.0%0.0%0.0%0.9%
Total Shareholder Yield1.3%0.8%0.0%0.0%0.0%0.0%0.0%0.0%0.0%0.0%0.9%
Shares Outstanding—$12M$12M$12M$12M$12M$11M$11M$11M$11M$11M

Key Metrics

Growth RegimeMixed
ProfitabilityNegative
Balance SheetHealthy
Cash FlowMixed
Top Statement Risk

High carrier revenue concentration

Verified Source

Metrics are mathematically derived from official filings.

SEC 10-K (2026Q3)

Market Valuation Reflects Operational Uncertainty

Based on reported figures, FKWL trades at a price-to-sales ratio of 0.64, which suggests that the market is heavily discounting the company's future growth prospects due to its persistent inability to generate consistent net income, as evidenced by the negative TTM P/E ratio of -121.84.

The current valuation appears to treat the company as a distressed asset rather than a growth-oriented technology firm. Investors should monitor whether the low P/S multiple represents a genuine value opportunity or a structural reflection of the company's limited pricing power and high customer concentration.

Capital Efficiency Remains Structurally Impaired

As reported in financial statements, FKWL's ROIC has fluctuated significantly, reaching a low of -6.5% in 2025Q3, which indicates that the company is currently destroying shareholder value rather than compounding it through its core hardware-centric business model and limited software-as-a-service initiatives.

The inability to maintain a positive ROIC suggests that the company's invested capital is not generating returns above its cost of capital. This trend warrants further investigation into whether management can pivot toward higher-margin software revenue to improve capital efficiency or if the hardware business will continue to drag on returns.

Working Capital Volatility Hinders Performance

According to recent SEC filings, the company's cash conversion cycle has exhibited extreme instability, swinging from 72 days in 2024Q3 to -64 days in 2025Q3, which highlights the company's vulnerability to inventory and receivable fluctuations tied to its major carrier partners.

The wide variance in the cash conversion cycle suggests that Franklin Wireless lacks control over its working capital, likely due to the lumpy nature of carrier procurement cycles. This inefficiency forces the company to maintain higher liquidity buffers than would otherwise be necessary for a firm of this size.

Misapplication of Traditional Profitability Metrics

Investors frequently misapply traditional P/E ratios to FKWL, which obscures the company's true operational health by ignoring the massive impact of non-recurring inventory write-downs and carrier-driven revenue lumpiness that frequently distort net income in this specific hardware-centric business model.

Instead of relying on P/E, analysts should focus on EV/Sales and free cash flow conversion to better understand the company's underlying demand and liquidity. The P/E ratio is particularly misleading here because it fails to account for the company's significant cash position relative to its market capitalization.

Download Financial Ratios Data

Includes 30+ ratios · 25 years · Updated daily

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FKWL — Frequently Asked Questions

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

What is Franklin Wireless Corp.'s P/E ratio?

Franklin Wireless Corp.'s current P/E ratio is -127.7x. The historical average is 19.0x.

What is Franklin Wireless Corp.'s ROE?

Franklin Wireless Corp.'s return on equity (ROE) is -0.7%. The historical average is 5.1%.

Is FKWL stock overvalued?

Based on historical data, Franklin Wireless Corp. is trading at a P/E of -127.7x. Compare with industry peers and growth rates for a complete picture.

What are Franklin Wireless Corp.'s profit margins?

Franklin Wireless Corp. has 17.2% gross margin and -6.2% operating margin.