The company's gross margin remains structurally compressed at 11.2% in 2024Q4, failing to offset ballooning operating expenses of $6.1M.
| Sales/Revenue | 3.6M | 2.9M | 6.14M | 9.62M | 6.3M | 6.51M |
| Revenue Growth % | 23.88% | -52.72% | -36.17% | 52.73% | -3.27% | - |
| Cost of Goods Sold | 3.23M | 2.09M | 4.86M | 8.17M | 5.11M | 5.73M |
| COGS % of Revenue | 89.84% | 71.83% | 79.18% | 84.95% | 81.17% | 88.03% |
| Gross Profit | 365.35K | 817.88K | 1.28M | 1.45M | 1.19M | 779.59K |
| Gross Margin % | 10.16% | 28.17% | 20.82% | 15.05% | 18.83% | 11.97% |
| Gross Profit Growth % | -55.33% | -36.02% | -11.72% | 22.09% | 52.13% | - |
| Operating Expenses | 12.39M | 1.86M | 1.38M | 1.67M | 912.45K | 1M |
| OpEx % of Revenue | 344.49% | 63.92% | 22.42% | 17.38% | 14.49% | 15.37% |
| Selling, General & Admin | 12.39M | 1.86M | 1.38M | 1.67M | 912.45K | 1M |
| SG&A % of Revenue | 344.49% | 63.92% | 22.42% | 17.38% | 14.49% | 15.37% |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - |
| Other Operating Expenses | 0 | 0 | 0 | 0 | 0 | 0 |
| Operating Income | -12.02M | -1.04M | -98.59K | -224.44K | 273.55K | -221.28K |
| Operating Margin % | -334.33% | -35.75% | -1.61% | -2.33% | 4.34% | -3.4% |
| Operating Income Growth % | -1058.58% | -952.69% | 56.07% | -182.05% | 223.62% | - |
| EBITDA | -11.12M | -938.49K | -2.55K | -115.23K | 396K | -97.84K |
| EBITDA Margin % | -309.07% | -32.33% | -0.04% | -1.2% | 6.29% | -1.5% |
| EBITDA Growth % | -1084.45% | -36732.38% | 97.79% | -129.1% | 504.73% | - |
| D&A (Non-Cash Add-back) | 908.46K | 99.36K | 96.04K | 109.21K | 122.45K | 123.44K |
| EBIT | -21.24M | -1.04M | -77.13K | -224.44K | 465.85K | -198.2K |
| Net Interest Income | 569.58K | 52.13K | -11.9K | -15.69K | -10.94K | 887 |
| Interest Income | 581.84K | 63.72K | 2.73K | 49 | 0 | 887 |
| Interest Expense | 12.26K | 11.6K | 11.9K | 15.69K | 10.94K | 0 |
| Other Income/Expense | -9.23M | 190.23K | 193.23K | 212.39K | 181.35K | 23.09K |
| Pretax Income | -21.25M | -847.62K | 94.64K | -12.05K | 454.91K | -198.2K |
| Pretax Margin % | -590.83% | -29.2% | 1.54% | -0.13% | 7.22% | -3.04% |
| Income Tax | -35.01K | 7.31K | 55.97K | 53.86K | 29.78K | -6.63K |
| Effective Tax Rate % | 0.16% | -0.86% | 59.13% | -446.98% | 6.55% | 3.34% |
| Net Income | -21.21M | -854.93K | 38.68K | -65.91K | 425.13K | -191.57K |
| Net Margin % | -589.85% | -29.45% | 0.63% | -0.69% | 6.75% | -2.94% |
| Net Income Growth % | -2381.44% | -2310.37% | 158.68% | -115.5% | 321.91% | - |
| Net Income (Continuing) | -21.21M | -854.93K | 38.68K | -65.91K | 425.13K | -191.57K |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | -1.41 | -0.08 | 0.00 | -0.01 | 0.03 | -0.02 |
| EPS Growth % | -1731.17% | - | - | -115.57% | 321.19% | - |
| EPS (Basic) | -1.41 | -0.08 | 0.00 | -0.01 | 0.03 | -0.02 |
| Diluted Shares Outstanding | 15.07M | 11.13M | 12.71M | 14.29M | 14.29M | 12.71M |
| Basic Shares Outstanding | 15.07M | 11.13M | 12.71M | 10.71M | 14.29M | 12.71M |
| Dividend Payout Ratio | - | - | 395.73% | - | - | - |
Unsustainable Operating Burn Rate
As indicated by recent financial filings, SUPX experienced a 130.4% revenue surge in 2024Q4, yet this follows a period of significant contraction, suggesting that top-line growth remains highly dependent on lumpy, project-based contract wins rather than a stable or recurring software-driven revenue model.
The extreme volatility in quarterly revenue figures highlights the company's reliance on the cyclical Hong Kong fit-out market. Investors should monitor whether the recent growth spike represents a sustainable recovery or merely the timing of project completions, as there is currently no evidence of recurring revenue streams.
Based on reported income statements, the company's gross margin has fluctuated significantly, reaching a low of 6.3% in 2024Q2, which underscores a structural inability to command pricing power within the highly competitive and labor-intensive Hong Kong interior design and fit-out services industry.
The thin gross margins suggest that SUPX functions primarily as a project coordinator with limited value-add, leaving it highly exposed to inflationary pressures in labor and materials. Without a transition to higher-margin software licensing, the current cost structure appears fundamentally incompatible with long-term profitability.
According to historical data, the company's operating expenses have ballooned to $6.1M in 2024Q4, creating a massive divergence from gross profit levels and resulting in an operating margin of -334.33%, which indicates that corporate overhead is scaling far faster than the underlying business activity.
The lack of operating leverage suggests that recent investments in corporate infrastructure or the 'AI' pivot are currently consuming capital without generating commensurate returns. This disconnect warrants further investigation into whether these expenses are temporary startup costs or a permanent, bloated cost structure.
As reported in financial statements, the company's net income has remained deeply negative, with a net margin of -589.85% in 2024Q2, a figure exacerbated by significant stock-based compensation of $3.1M that further dilutes shareholder value while the core business continues to burn through cash.
The reliance on non-cash compensation during periods of extreme operational loss raises concerns regarding the alignment of management incentives with shareholder interests. Investors should be wary of the quality of these earnings, as the path to positive net income remains obscured by persistent, high-level operating deficits.
While the rebranding to SuperX AI Technology suggests a shift toward high-growth software, the financial data reveals a legacy fit-out firm with a -334% operating margin, suggesting that the market may be mispricing the entity by applying technology multiples to a distressed construction business.
Short-sellers would likely focus on the rapid depletion of the $17.2M cash balance if the current burn rate persists without a successful technological transition. The lack of R&D expenditure in the provided data further challenges the legitimacy of the company's new AI-focused identity.
Quick answers to the most common questions about buying SUPX stock.
For fiscal year 2024, SuperX AI Technology Limited (SUPX) reported total revenue of $3.6M. This represents a 44.8% decline compared to $6.5M in 2019.
SuperX AI Technology Limited (SUPX) reported a net loss of $21.2M for the fiscal year ending 2024.
SuperX AI Technology Limited (SUPX) reported an operating income of $-12.0M, resulting in an operating profit margin of -334.3%. This margin reflects the operational efficiency of the business before interest and taxes.
SuperX AI Technology Limited (SUPX) generated $0.4M in gross profit for the year, representing a gross profit margin of 10.2%. This demonstrates the company's core pricing power and production efficiency.