Pyung Hwa Industrial Co Ltd

Pyung Hwa Industrial Co Ltd maintains a debt-to-equity ratio of 1.69, indicating a capital structure that is moderately leveraged. The company's liquidity position is assessed as medium, with a current ratio of 0.91, suggesting that its current liabilities slightly exceed its current assets. Free cash flow stands at 1,005,755,190 KRW, which is significantly lower than operating cash flow of 13,389,598,050 KRW, reflecting capital expenditures of -2,688,012,440 KRW.

Profitability metrics show a return on equity of 2.27% and a return on assets of 0.4%, both of which are below the typical thresholds for strong performance in the auto parts industry. These figures suggest that the company is generating modest returns relative to its equity and asset base. Gross profit of 9,790,738,960 KRW and operating income of 3,219,684,770 KRW indicate a relatively narrow margin structure, which may limit its ability to absorb cost increases or price pressures.

The company's revenue is concentrated in the automotive components segment, with no disclosed geographic diversification. This concentration may expose the company to sector-specific risks, such as supply chain disruptions or shifts in automotive demand. No specific geographic breakdown is provided, but the lack of diversification could increase vulnerability to regional economic downturns.

Looking ahead, the company's growth trajectory is constrained by its current financial position. With a net income of 1,006,530,630 KRW and a relatively low return on assets, the company may need to invest in innovation or cost optimization to drive future revenue growth. No specific outlook figures are provided, but the company's capital expenditures suggest a cautious approach to expansion.

Risk factors include a medium liquidity risk, as the company's cash and equivalents of 15,783,950,050 KRW are insufficient to cover its total debt of 74,989,720,880 KRW. The risk of dilution is assessed as low, with no significant changes in shares outstanding between basic and diluted shares. No recent events or filings are disclosed that would suggest immediate financial or operational risks.

No recent events or filings are disclosed that would suggest immediate financial or operational risks. The company's financial statements do not indicate any material changes in its business operations or strategic direction in the most recent reporting period.

Net income surged 309.7% year-over-year to 15.7 billion KRW, demonstrating significant recent profitability acceleration.

Free cash flow grew 40.1% to 10.8 billion KRW, indicating strong cash generation capabilities in the latest period.

Revenue achieved a 10.2% four-year CAGR, reflecting consistent top-line growth momentum over the analyzed historical span.

Cash conversion ratio of 13.3 ranks best-in-class among 465 peers, highlighting superior efficiency in turning earnings into cash.

Gross profit increased to 44.1 billion KRW, supporting the company's ability to maintain margins despite revenue fluctuations.

Debt-to-equity ratio of 1.69 sits in the bottom quartile of peers, signaling elevated financial leverage and credit risk.

Operating margin of 2.25% is significantly below the 4.43% cohort median, indicating weaker operational efficiency than competitors.

Operating income declined 5.1% year-over-year, contrasting with the sharp rise in net income and raising sustainability concerns.