Investment Thesis
International Money Express exhibits severe operational deterioration with revenues declining 7.7% YoY and net income collapsing 44.5% YoY despite maintaining a $122M revenue base. Most critically, the company is burning cash with -$42.9M negative free cash flow, indicating the business cannot sustain itself from operations and is dependent on cash reserves for survival.
Strengths
- Strong cash position of $170.3M provides short-term liquidity buffer
- Current ratio of 2.84x indicates adequate working capital management
- Substantial asset base of $565.9M provides structural foundation
Risks
- Operating cash flow negative $37.4M signals fundamental business model distress
- Net margin of 0.4% and operating margin of 3.0% are unsustainably low with profitability collapsing YoY
- Interest coverage of 1.4x on $240.8M debt is dangerously tight; debt-to-equity of 1.48x limits financial flexibility
Key Metrics to Watch
- Operating cash flow return to positive; current burn rate is unsustainable
- Revenue stabilization and margin recovery; cost structure requires immediate restructuring
- Debt service capability as interest coverage deteriorates with declining profitability
Financial Metrics
Revenue
122.0M
Net Income
511.0K
EPS (Diluted)
$0.02
Free Cash Flow
-42.9M
Total Assets
565.9M
Cash
170.3M
Profitability Ratios
Gross Margin
N/A
Operating Margin
3.0%
Net Margin
0.4%
ROE
0.3%
ROA
0.1%
FCF Margin
-35.1%
Balance Sheet & Liquidity
Current Ratio
2.84x
Quick Ratio
2.84x
Debt/Equity
1.48x
Debt/Assets
1.9%
Interest Coverage
1.36x
Long-term Debt
240.8M
Disclaimer: This analysis is generated by AI based on publicly available SEC EDGAR filings.
It does not include stock price data and should not be considered financial advice.
All fundamental data is sourced from SEC public domain filings.
Always conduct your own research before making investment decisions.
Data Source: SEC EDGAR |
Analysis Date: 2026-05-12T07:38:32.650034 |
Data as of: 2026-03-31 |
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