Equity Brief · Communication Services2026-10-27
4IG.BD·Communication Services

4iG Nyrt.

I · AI Analysis

The brief

4iG provides telecommunications services, custom software design and development, IT operations and support, and enterprise-level IT solutions across Hungary and the Western Balkans [Yahoo Finance]. The company also operates in digitalization, space technology, and serves as an IT systems integrator [Yahoo Finance].

4iG Nyrt. is a Hungarian telecommunications and IT services company operating in Hungary and the Western Balkans, offering custom software development, enterprise IT solutions, and telecom infrastructure [Yahoo Finance]. The company recently won a contract to digitalize Montenegro's law enforcement agencies [SeeNews]. However, financial health is weak: trailing net income was sharply depressed by one-off charges, the company carries 6.3x net debt to EBITDA, and the operating margin collapsed 9.9 percentage points in the latest quarter [Yahoo Finance] [Sentinellis calculation].

Financials show significant stress: heavy debt, depressed earnings from one-off charges, and a sharp drop in operating profitability.

The brief AI analysisConfidence 5/10

Sentinellis health

Significant risks

2.4/10

7.5+ strong · 4.5–7.5 moderate · under 4.5 weak

Profitability

14% of score0.0/10
Net margin+1.7%· need ≥ 5.5%, the lower third of Telecom Services in our libraryGross margin+37.0%· need ≥ 41.1%, the lower third of Telecom Services in our library

Returns on capital

14% of score0.0/10
ROIC+4.0%· need > 10%Return on equity+10.2%· need > 12%

Growth & momentum

19% of score5.0/10
Revenue growth+15.1%Operating margin trend-9.9pp YoY· need not down > 3pp YoY

Balance sheet

29% of score0.0/10
Current ratio1.1x· need > 1.2xNet debt / EBITDA6.3x· need < 3.5xInterest coverage1.1x· need > 3.0xDebt / equity2.26· need < 1.5

Cash generation

14% of score10.0/10
Free cash flowHUF 81.7BCash vs reported profitHUF 246.0B vs HUF -5.3B

Value creation

10% of score0.0/10
ROIC vs cost of capital-1.1pp· need ROIC above WACC

Sentinellis calculation from the published statements — not a score reported by any data source. Each category is scored on the checks that had data; missing inputs are excluded rather than counted as failures.

Market capitalisation

HUF 450.2B

Revenue (TTM)

HUF 803.8B

Explainers

How we read these numbers

Plain-English guides · no account needed

II · Recent news

What moved

1 story · ranked by relevance

  • Company2026-10-21

    Hungary's 4iG to digitalise Montenegro's law enforcement agencies - SeeNews

    SeeNews

Premium · Free with any account

Net debt stands at 6.3x EBITDA, a high leverage ratio that limits financial flexibility and raises refinancing risk [Sentinellis calculation].

1 of 5 risks in this report

Risks

5

Opportunities

4

Red flags

4

Leadership

9

12 more findings in the full report — free with any account.

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III · Related

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Produced 27 Oct 2026, 10:43 UTC

Figures come from company filings and market data. The Sentinellis health score and the wording attached to it are our interpretation of those figures, not numbers the company reported.

Not investment advice and not a recommendation to buy or sell. Sentinellis holds no positions in the companies it covers, takes no payment from issuers, and has no broker referral arrangements.

How every figure and score is calculated