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Lucas GC Limited Ordinary Shares

LGCL
49
Software - Application · Technology
Price
$0.06
-0.03 (-31.33%)
Market Cap
$137,339
Exchange
NASDAQ Capital Market
Winston Score
49
Winston is serious
Mixed quality — meaningful strengths and weaknesses.
Data as of Aug 23, 2026 · filings through Dec 31, 2025
How the score breaks down
Quality
Weak
Growth
Good
Cash Flow
Good
Stability
Strong
Valuation
Good

Share count rising — dilution

+21.1% over 4y

The company has issued more shares over this period, which dilutes each existing shareholder’s stake.

Diluted shares outstanding: 2.0M (2021) → 2.4M (2025)

Winston Score History

The full picture

Lucas GC Limited is a technology company based in China that provides software and digital services to businesses. Its core offerings include enterprise software solutions and IT services, primarily sold to corporate clients and government-related entities in China. The company operates in the business application software space, helping organizations manage operations and data more efficiently.

Lucas GC generates revenue by selling software licenses and providing related implementation and support services to its clients. It operates almost entirely within China, and with a market cap near zero, it is a very small company by global standards. The thin operating margin of under 2% signals the business has little pricing power and faces intense competition from much larger domestic software providers, which is the central risk — the company must find a way to differentiate its offerings or grow revenue meaningfully before larger rivals crowd it out of the market entirely.

Score breakdown

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Quality

Profit per sale
Gross Margin
33.8%
Modest — 33.8% gross margin
Profit after running costs
Operating Margin
0.7%
Thin — 0.7% operating margin
Return on the money invested
ROCE
4.8%
Weak — 4.8% return on capital

ROIC between 0% and 5%. They earn a few cents back per dollar invested in the business.

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Growth

Sales growth
Sales YoY
-3.6%
Shrinking sales (-3.6% YoY)
Profit growth
EPS YoY
>+1,000%
Earnings growing fast (>+1,000% YoY)

Earnings growing 25%+ a year. The compounder zone.

How steady the profit is
EPS Consistency
5/8 quarters
Mixed — about half the quarters showed growth

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Cash Flow

Profit that turns into cash
Cash Conversion
572%
Turns 572% of profit into real cash
Spare cash per sale
FCF Margin
-10.2%
Burning cash (-10.2%)

Free cash flow is negative. They are burning cash, not generating it.

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Stability

What it owes vs what it owns
Debt / Equity
0.30
Conservative — low debt load (0.30)
Covers its interest
Interest Cover
10.69x
Comfortably covers interest (10.7x)

Interest coverage above 8. Profits cover interest many times over.

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Valuation

Price vs profit
P/E Ratio (TTM)
0.0x
Attractive valuation — P/E 0.0

P/E under 10. The price tag is small relative to last year's profit.

Cheaper or dearer next year
P/E vs Forward
N/A
not available
Data not available

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Dividends

Not applicable for this business.
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