Archon Corp

Archon Corp's capital structure is characterized by a debt-to-equity ratio of 1.52, indicating a moderate reliance on debt financing. The company holds $35.1 million in cash and equivalents, but its total liabilities of $1.49 billion, including $82.8 million in long-term debt, suggest a liquidity risk. The current ratio of 2.15 implies the company can cover its short-term obligations, but the negative operating cash flow of -$54,730 and capital expenditure of -$1.19 million highlight potential near-term cash flow constraints.

Profitability metrics show a return on equity of 1.19%, which is below the industry median for Casinos & Gaming firms. The net income of $651,750 is modest relative to the company's total equity of $54.58 million, indicating limited returns for shareholders. Gross profit of $1.74 million and operating income of $1.72 million suggest the company is managing to maintain operational efficiency, but the low ROE indicates that capital is not being deployed effectively to generate returns.

Archon Corp's revenue is concentrated in a single business segment, with no disclosed geographic diversification. This lack of diversification increases exposure to regional economic downturns and regulatory changes. The company does not report revenue by geographic region, but its operations are likely concentrated in a few key markets, which could amplify risk during periods of economic contraction.

The company's growth trajectory is uncertain, with no disclosed revenue growth in the most recent fiscal year. Analysts reported a negative EPS of -$1.44, signaling a decline in profitability. The absence of a clear growth strategy and the company's reliance on a single revenue stream suggest limited upside potential in the near term. The outlook for the next fiscal year remains cautious, with no significant revenue expansion expected.

Risk factors include a medium liquidity risk due to the company's negative net cash position after subtracting total debt. The dilution risk is currently low, but the company's capital structure could shift if it requires additional financing to fund operations or capital expenditures. The risk assessment also highlights the need for close monitoring of cash flow trends and debt servicing capacity.

Recent events include a negative EPS report and a decline in operating cash flow, which may signal underlying operational challenges. No recent filings or transcripts have been disclosed that provide further insight into the company's strategic direction or financial health.

Dilution risk is assessed as low, suggesting limited immediate threat to existing shareholder equity value.

Debt-to-equity ratio of 1.52 is in the bottom quartile, indicating significantly higher leverage than peers.

Credit risk is flagged as high, pointing to significant potential issues with debt servicing or default.

Revenue $3.2M, −16,6% YoY; Operating income −513,9% YoY.

• ▍Revenue $3.2M, −16,6% YoY
• ▍Operating income −513,9% YoY
• ▍Net income −70,2% YoY
• ▍Net margin 3.5%

Revenue $3.2M, −20,6% YoY; Operating income +86,6% YoY.

• ▍Revenue $3.2M, −20,6% YoY
• ▍Operating income +86,6% YoY
• ▍Net income +113,7% YoY
• ▍Net margin 10.6%

Revenue $3.6M, −26,8% YoY; Operating income −123,8% YoY.

• ▍Revenue $3.6M, −26,8% YoY
• ▍Operating income −123,8% YoY
• ▍Net income +11 265,6% YoY
• ▍Net margin 4.0%

Revenue $4.2M, −27,6% YoY; Operating income −70,0% YoY.

• ▍Revenue $4.2M, −27,6% YoY
• ▍Operating income −70,0% YoY
• ▍Net income −42,7% YoY
• ▍Net margin 8.8%

Revenue $3.9M; Operating income $23.6k.

• ▍Revenue $3.9M
• ▍Operating income $23.6k
• ▍Net margin 9.7%

Revenue $4.1M; Operating income -$3.2M.

• ▍Revenue $4.1M
• ▍Operating income -$3.2M
• ▍Net margin -61.5%

Revenue $4.9M; Operating income $703.4k.

• ▍Revenue $4.9M
• ▍Operating income $703.4k
• ▍Net margin 0.0%

Revenue $5.9M; Operating income $1.7M.

• ▍Revenue $5.9M
• ▍Operating income $1.7M
• ▍Net margin 11.1%

Revenue $29.1M; Operating income $4.8M.

• ▍Revenue $29.1M
• ▍Operating income $4.8M
• ▍Net margin -11.5%