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Star Combo Pharma Limited
Consumer Defensive · Household & Personal Products
Updated just now
$0.14
MARKET CAP
$18.91M
P/E RATIO
3.6
DIV. YIELD
2.1%
FRANKING
100%
Star Combo Pharma Limited manufactures and distributes health food products and nutritional supplements in Australia and China. It operates in two segments, OEM and Retail.
View full descriptionThe Warsi Rating combines two proven approaches: value investing principles and dividend strategy. A stock must score 70+ on both to be rated Solid or higher.
Business quality and balance-sheet durability.
How much the company owes vs. what it owns
Excellent. Very low debt (0.12) means strong financial flexibility and minimal bankruptcy risk.
Current Snapshot
Current D/E
0.12x
Industry Limit
0.50x
Headroom
+0.38x
Why It Matters
Debt-to-equity shows balance-sheet risk. Lower leverage usually means more flexibility when earnings soften.
Formula
Total Debt / Shareholders' EquityMethod
Compare current D/E against the industry threshold used in the scoring framework, then assess remaining headroom.
Worked Example
This company's D/E is 0.12, meaning it carries 12 cents of debt for every $1 of equity. The consumer staples limit is 0.50, leaving 0.38 of headroom.
How to Interpret
Lower values generally imply lower refinancing pressure and lower dividend stress in downturns.
Very low debt means this company has maximum flexibility. They won't need to cut dividends to service loans during downturns - your income stream is protected by a fortress balance sheet.
Sources
Short-term assets vs. short-term debts
Profit generated per $1 of shareholder investment
Profit after production costs, before overhead
Real cash left after running the business
Negative free cash flow means the company is consuming cash. May need to raise debt or equity to fund operations.
Current Snapshot
Current FCF
$-2M
Pass Rule
> $0
Status
Negative
Why It Matters
Free cash flow is the cash available after core operating and capital needs. It is central to dividend capacity.
Formula
Operating Cash Flow - Capital ExpendituresMethod
Review whether free cash flow is consistently positive and whether it is sufficient relative to dividends and debt needs.
Worked Example
This company generated $-2M in free cash flow — cash left after operating costs and capital expenditure. Negative FCF means the company is consuming more cash than it generates.
How to Interpret
Persistently negative free cash flow can force reliance on borrowing or equity issuance to maintain payouts.
Negative cash flow means dividends may require borrowing - an unsustainable situation. The company is spending more cash than it generates, which can't continue indefinitely.
Sources
Price versus estimated intrinsic value and required return thresholds.
What percentage of the stock price comes back as earnings each year
How efficiently the company turns money into profit
Is the business growing — and is debt being managed responsibly?
Revenue growing with stable debt levels — a positive sign of organic growth that supports future dividends.
Current Snapshot
Revenue Change
+13.7%
Debt Change
-2.3%
Trend State
Improving
Why It Matters
Revenue trend shows whether the business is expanding or contracting. Debt trend adds context on whether growth is being funded conservatively.
Formula
Revenue Change (%) = (Latest Revenue - Earliest Revenue) / |Earliest Revenue| x 100; Debt Change (%) = (Latest Debt - Earliest Debt) / |Earliest Debt| x 100Method
Map annual revenue history and, where relevant, annual debt history. For financial companies, debt is excluded because deposits and reserves distort this signal.
Worked Example
Revenue changed by +13.7% across the displayed period, while debt changed by -2.3%.
How to Interpret
Rising revenue with stable or falling debt is typically stronger than rising revenue funded by rapidly rising leverage.
Revenue growing with stable debt levels — a positive sign of organic growth that supports future dividends.
Sources
Annual dividends as percentage of stock price
Star Combo Pharma Limited manufactures and distributes health food products and nutritional supplements in Australia and China. It operates in two segments, OEM and Retail. The company engages in the development, manufacturing, marketing, and sale of natural health supplements and skin care products and provision of Chinese health products through its e-commerce platform. It sells its products under the Living Healthy, Costar, Amax, and J&K brands.
Star Combo Pharma Limited was founded in 2004 and is based in Smithfield, Australia.
Who owns the company's shares and how much leadership has at stake
When leaders own 20%+, they win when you win and lose when you lose
Few fund managers own this — expect less research and analyst coverage
Shares freely traded on the ASX by individual investors like you
Leadership owns a solid 91.3% of the company, which is encouraging. However, professional fund managers aren’t heavily involved (2.6%), so there may be less analyst coverage and research available. This can mean the stock is overlooked — a potential opportunity if the fundamentals are strong.
Current Snapshot
Insider %
91.3%
Institutional %
2.6%
Float %
6.1%
Why It Matters
Ownership mix affects governance incentives, liquidity, and share-price behaviour under large portfolio rebalancing flows.
Formula
Public Float (%) = 100 - Insider Ownership (%) - Institutional Ownership (%)Method
Use reported ownership percentages, convert to percentage terms, and compute remaining public float as the residual.
Worked Example
If insiders own 91.3% and institutions own 2.6%, public float is 6.1%.
How to Interpret
Higher insider ownership can improve alignment of incentives, while dominant institutional concentration can amplify short-term price moves.
Leadership owns a solid 91.3% of the company, which is encouraging. However, professional fund managers aren’t heavily involved (2.6%), so there may be less analyst coverage and research available. This can mean the stock is overlooked — a potential opportunity if the fundamentals are strong.
Sources
Both value and dividend analyses may be affected by missing data.
Market data sourced from third-party financial data providers. Analysis generated using Warsi Criteria — proprietary scoring algorithms for value investing and dividend income analysis. Not financial advice. Learn how we analyse stocks →
Strong liquidity. 3.72 ratio means ample cash to cover short-term obligations.
Current Snapshot
Current Ratio
3.72x
Warning Floor
1.00x
Target
1.50x
Why It Matters
Liquidity supports operational stability. Companies with weak liquidity can face pressure even when long-term fundamentals are sound.
Formula
Current Assets / Current LiabilitiesMethod
Compare the current ratio to the warning floor and target level used in the framework.
Worked Example
This company's current ratio is 3.72x — it has $3.72 in short-term assets for every $1 of short-term liabilities. The target is 1.5x, with a warning floor at 1.0x.
How to Interpret
Ratios above the target suggest healthier short-term resilience; ratios below 1.0x can indicate immediate funding risk.
Strong liquidity means the company can keep paying dividends even during temporary revenue drops. There's ample cash cushion to weather storms.
Sources
-3.5% average is below the 20% threshold. This suggests the business may lack a durable competitive advantage.
Current Snapshot
10Y Avg
-3.5%
Threshold
20.0%
Worst Year
-21.8%
Why It Matters
ROE shows how effectively management turns shareholder capital into profit. High and stable ROE can signal pricing power, cost discipline, or both.
Formula
Net Income / Shareholders' Equity x 100Method
Use the 10-year average ROE and review the weakest year to check whether returns stayed resilient across cycles.
Worked Example
This company's 10-year average ROE is -3.5%, meaning each $1 of shareholder equity generates $-0.03 in annual profit. The threshold is 20%, and the worst single year was -21.8%.
How to Interpret
Higher and steadier ROE generally supports stronger long-term compounding. Large drawdowns in weak years can point to fragility.
Lower ROE means your investment compounds more slowly. At -3.5%, this business needs more capital to generate the same returns as competitors. Consider whether other strengths (yield, stability) compensate for weaker profitability.
Sources
Worst year margin (17.3%) fell below 35% minimum. Volatility suggests weak pricing power or one-time issues.
Current Snapshot
10Y Avg
23.0%
Threshold
40%
Worst Year
17.3%
Why It Matters
Gross margin indicates how much room a business has to absorb costs and still generate profit.
Formula
(Revenue - Cost of Goods Sold) / Revenue x 100Method
Assess both the long-term average and the weakest year. The framework checks for both level and consistency.
Worked Example
This company's 3-year average gross margin is 23.0% — it keeps 23 cents of every revenue dollar after production costs. The threshold is 40%, and the weakest year was 17.3%.
How to Interpret
Sustained high margins usually support durability. Sharp margin swings can signal weaker control or cyclical pressure.
Thin margins leave no cushion for unexpected costs. A small increase in expenses or drop in prices could squeeze profits and threaten the dividend.
Sources
Excellent value. 27.8% earnings yield significantly exceeds the 7.5% required return.
Current Snapshot
Current Yield
27.8%
Required Yield
7.5%
Spread
+20.3pp
Why It Matters
Earnings yield reframes valuation as return on price paid. It helps compare equity earnings power against lower-risk alternatives.
Formula
(Earnings per Share / Stock Price) x 100Method
Calculate current earnings yield, then compare it to the required yield for the stock's industry setting.
Worked Example
With EPS of $0.04 and a share price of $0.14, earnings yield is 27.8%. The required yield for this industry is 7.5% (based on 4.5% government bond rate plus a risk premium).
How to Interpret
A yield above the required level suggests better valuation support; below it indicates thinner compensation for equity risk.
Strong earnings yield means you're well-compensated for owning shares instead of buying safe bonds. The business is priced to deliver solid returns.
Sources
0.4% ROIC is below the 11.0% threshold. Company may not be earning enough to justify the money invested in it.
Current Snapshot
5Y Avg
0.4%
Threshold
11.0%
WACC Delta
-8.6pp
Why It Matters
ROIC measures capital efficiency. Businesses that repeatedly earn above their funding cost can compound value more effectively.
Formula
After-Tax Operating Profit / Invested Capital x 100Method
Use the 5-year average ROIC and compare it with industry WACC plus the required spread in this framework.
Worked Example
This company's 5-year average ROIC is 0.4%, with a cost of capital (WACC) of 9.0%. The -8.6pp gap below WACC suggests it may be destroying value on each dollar invested.
How to Interpret
A healthy spread above WACC suggests value creation; a narrow or negative spread points to weaker capital efficiency.
Returns below the cost of borrowing mean the business destroys value over time. This can erode the foundation that supports dividends — proceed with caution.
Sources
Consistency of profits over time
4 loss year(s) found with only 4 years of data. Limited data requires 100% positive EPS - industry exemptions don't apply.
Current Snapshot
Positive Years
2/4
Allowed Losses
0 (limited)
EPS CAGR
607.3%
Why It Matters
Consistency in EPS helps distinguish resilient earnings power from one-off performance spikes.
Formula
Positive EPS Years / Available EPS YearsMethod
For 8+ years of data, apply industry-specific loss tolerance. For limited data, every available year must be positive.
Worked Example
This company reported positive earnings in 2 of the last 4 years, with 4 loss years. With only 4 years of data, every year must be positive. EPS growth rate (CAGR) is 607.3%.
How to Interpret
Fewer loss years and stronger EPS continuity generally improve confidence in future dividend and valuation assumptions.
Loss years signal unpredictable earnings. During loss periods, companies often cut dividends to preserve cash. Your income could be at risk in the next downturn.
Sources
Insufficient dividend history. Barsi methodology requires 6 years of data to calculate average yield.
Current Snapshot
6Y Avg Yield
N/A
6% Requirement
6.0%
Gross Yield
N/A
Why It Matters
Yield translates dividend income into a percentage of the price paid, which is central to income-first screening.
Formula
Annual Dividends per Share / Stock Price x 100Method
Use the 6-year average annual dividend for consistency and compare the result with the 6% framework requirement.
Worked Example
If annual dividends are $0.60 and the share price is $10, dividend yield is 6.0%.
How to Interpret
Higher sustainable yield improves upfront income, but unusually high yields may reflect elevated risk or weak coverage.
Without 6 years of dividend history, we can't assess whether the yield is sustainable or a one-time spike. More data is needed to evaluate income potential.
Sources
Track record of consistent dividend payments
| Ex-Date | Pay Date | Gross | Franking | Net | Credit |
|---|---|---|---|---|---|
| 13 Oct 2026Final | 30 Oct 2026 | $0.00 | 100% | $0.00 | $0.00 |
| Ex-Date | Pay Date | Gross | Franking | Net | Credit |
|---|---|---|---|---|---|
| 14 Oct 2025Final | 11 Nov 2025 | $0.00 | 0% | $0.00 | $0.00 |
| 14 Oct 2024Final | 11 Nov 2024 | $0.00 | 0% | $0.00 | $0.00 |
Only 3 years of dividend history available. Barsi methodology requires 6+ years to evaluate consistency.
Current Snapshot
History
3yr
Predictability
N/A
Payout Health
N/A
Why It Matters
Payment consistency is a direct test of dividend reliability. Large cuts or skips often appear before confidence recovers.
Formula
Consecutive Years = count of years with dividend payments and no disqualifying skip/cut eventsMethod
Require at least 6 years of history, then check for skipped years and large cuts, allowing approved systemic-event exceptions.
Worked Example
This company has 3 years of dividend history (2024–2026). No suspensions detected — 3 consecutive years of payments. Predictability: N/A. Payout health: N/A. The minimum requirement is 6 years.
How to Interpret
Longer uninterrupted records generally signal stronger income reliability than high yield alone.
Without 6 years of history, we can't verify this company maintained dividends through economic cycles. Longer track records provide confidence your income will continue.
Sources
Industry category of the business
Consumer Defensive is not a BESST sector. Non-BESST stocks receive a lower base score but can still qualify with exceptional dividend metrics.
Current Snapshot
Industry
Household & Personal Products
BESST Match
No
Score Impact
No bonus
Why It Matters
Sector classification helps contextualise risk and demand durability, which can materially affect dividend stability.
Formula
BESST Match = Sector in {Banks, Energy, Sanitation, Insurance, Telecom}Method
Match company sector or industry against BESST categories. A match adds scoring support but does not replace core dividend checks.
Worked Example
This company operates in Household & Personal Products (Consumer Defensive sector). It does not match a BESST sector, so it receives the standard base score. Non-BESST stocks can still qualify with strong dividend metrics.
How to Interpret
BESST alignment is a positive context signal. Non-BESST stocks can still qualify with strong yield and dividend consistency.
Non-essential businesses face demand drops during recessions — discretionary spending is first to be cut. This increases cyclical risk for dividends, but companies with decades of consistent payments can still demonstrate durability.
Sources
How much of a company's earnings are paid out as dividends
A low 9% payout means the company keeps most earnings for growth. This can be a good sign — but only if the company creates more value with the money it retains than it would by paying it out to shareholders.
Current Snapshot
Latest Ratio
9.3%
Healthy Range
30%-75%
Zone
Low
Why It Matters
Payout ratio links dividends to earnings capacity and helps evaluate whether current distributions are likely to remain supportable.
Formula
Payout Ratio (%) = (Annual Dividend per Share / Earnings per Share) x 100Method
Calculate year-by-year payout ratios where EPS is positive, classify each year by sustainability zone, and compare with the current TTM ratio.
Worked Example
$0.00 dividend / $0.04 EPS equals 9.5% payout ratio.
How to Interpret
Ratios in the middle range are usually more sustainable than very high ratios. Values above 100% indicate dividends exceeded earnings in that period.
A low 9% payout means the company keeps most earnings for growth. This can be a good sign — but only if the company creates more value with the money it retains than it would by paying it out to shareholders.
Sources
Embark Early Education Limited
Elders Limited
Clover Corporation Limited
IDP Education Limited
GrainCorp Limited
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