Revenue contraction and high fixed costs have pushed operating margins to -191.8%, despite the company maintaining a robust 83.9% gross margin.
| Sales/Revenue | 448.2K | 628.59K | 679.78K | 702.78K |
| Revenue Growth % | -28.7% | -7.53% | -3.27% | - |
| Cost of Goods Sold | 67.04K | 157.76K | 121.63K | 112.03K |
| COGS % of Revenue | 14.96% | 25.1% | 17.89% | 15.94% |
| Gross Profit | 381.15K | 470.83K | 558.15K | 590.74K |
| Gross Margin % | 85.04% | 74.9% | 82.11% | 84.06% |
| Gross Profit Growth % | -19.05% | -15.64% | -5.52% | - |
| Operating Expenses | 1.15M | 777.51K | 530.63K | 452.66K |
| OpEx % of Revenue | 256.81% | 123.69% | 78.06% | 64.41% |
| Selling, General & Admin | 1.06M | 693.03K | 456.91K | 371.44K |
| SG&A % of Revenue | 236.06% | 110.25% | 67.22% | 52.85% |
| Research & Development | 93.32K | 84.47K | 73.72K | 81.22K |
| R&D % of Revenue | 20.82% | 13.44% | 10.84% | 11.56% |
| Other Operating Expenses | -324 | 0 | 0 | 0 |
| Operating Income | -770K | -306.68K | 27.52K | 138.09K |
| Operating Margin % | -171.8% | -48.79% | 4.05% | 19.65% |
| Operating Income Growth % | -151.08% | -1214.35% | -80.07% | - |
| EBITDA | -697.57K | -243.55K | 81.61K | 204.04K |
| EBITDA Margin % | -155.64% | -38.74% | 12% | 29.03% |
| EBITDA Growth % | -186.42% | -398.44% | -60% | - |
| D&A (Non-Cash Add-back) | 72.43K | 63.13K | 54.08K | 65.95K |
| EBIT | -662K | -258.51K | 74.53K | 207.54K |
| Net Interest Income | 0 | 0 | 0 | 0 |
| Interest Income | 0 | 0 | 0 | 0 |
| Interest Expense | 0 | 0 | 0 | 0 |
| Other Income/Expense | 130.83K | 46.17K | 43.51K | 65.44K |
| Pretax Income | -639.17K | -260.51K | 71.03K | 203.53K |
| Pretax Margin % | -142.61% | -41.44% | 10.45% | 28.96% |
| Income Tax | 21.83K | -19.29K | -12.95K | 11.07K |
| Effective Tax Rate % | -3.42% | 7.41% | -18.24% | 5.44% |
| Net Income | -661K | -241.22K | 83.98K | 192.46K |
| Net Margin % | -147.48% | -38.37% | 12.35% | 27.39% |
| Net Income Growth % | -174.03% | -387.23% | -56.37% | - |
| Net Income (Continuing) | -661K | -241.22K | 83.98K | 192.46K |
| Discontinued Operations | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 |
| EPS (Diluted) | -0.05 | -0.02 | 0.01 | 0.01 |
| EPS Growth % | -212.65% | - | -56.39% | - |
| EPS (Basic) | -0.05 | -0.02 | 0.01 | 0.01 |
| Diluted Shares Outstanding | 12.72M | 14.5M | 14.5M | 14.5M |
| Basic Shares Outstanding | 12.72M | 14.5M | 14.5M | 14.5M |
| Dividend Payout Ratio | - | - | 474.45% | - |
Operational scale and liquidity
According to recent financial filings, PTHL experienced a 28.7% year-over-year revenue decline, reflecting significant volatility in its project-based procurement model within the Chinese healthcare sector, which raises concerns regarding the durability of its current market position and the effectiveness of its specialized software integration strategy.
The lumpy nature of revenue suggests that the company is highly susceptible to the procurement cycles of Chinese oncology departments. This downward trend implies that the firm is struggling to maintain its installed base, potentially due to increased competition or shifts in hospital capital expenditure priorities.
As reported in financial statements, PTHL maintains a robust 83.9% gross margin, yet this figure fails to translate into bottom-line profitability, suggesting that the company's software-centric value proposition is currently insufficient to offset the high fixed costs required to support its specialized medical device ecosystem.
While the gross margin profile is characteristic of a high-value software provider, the inability to leverage these margins indicates a lack of commercial scale. Investors should monitor whether this margin profile can be sustained if competitive pricing pressures from larger hardware-integrated peers continue to intensify.
Based on PTHL's reported figures, the company's operating margin has deteriorated to -191.8%, indicating that SG&A expenses are scaling disproportionately to revenue, which suggests that the current organizational structure is not optimized for the company's diminished revenue base and requires immediate rationalization to preserve remaining capital.
The widening gap between gross profit and operating income highlights a fundamental failure to achieve operating leverage. This suggests that the firm's administrative and selling overhead is too heavy for its current volume, necessitating a potential pivot in its go-to-market strategy to avoid further value erosion.
Financial data indicates that PTHL's cost structure is heavily weighted toward administrative and selling expenses, which, when combined with static R&D investments, has resulted in an operating loss of $456,000 in the most recent quarter, highlighting a lack of expense discipline relative to current market demand.
The company appears to be maintaining a fixed cost base that assumes a higher level of market penetration than is currently being realized. This misalignment between operational spending and actual revenue generation warrants further investigation into management's ability to right-size the organization during this period of contraction.
Quick answers to the most common questions about buying PTHL stock.
For fiscal year 2024, Pheton Holdings Ltd Class A Ordinary Shares (PTHL) reported total revenue of $0.4M. This represents a 36.2% decline compared to $0.7M in 2021.
Pheton Holdings Ltd Class A Ordinary Shares (PTHL) reported a net loss of $0.7M for the fiscal year ending 2024.
Pheton Holdings Ltd Class A Ordinary Shares (PTHL) reported an operating income of $-0.8M, resulting in an operating profit margin of -171.8%. This margin reflects the operational efficiency of the business before interest and taxes.
Pheton Holdings Ltd Class A Ordinary Shares (PTHL) generated $0.4M in gross profit for the year, representing a gross profit margin of 85.0%. This demonstrates the company's core pricing power and production efficiency.