Baydoner Restoranlari AS

Baydoner Restoranlari AS maintains a conservative capital structure, with a debt-to-equity ratio of 0.22, significantly below the industry median for Restaurants & Bars. The company’s liquidity position is moderate, with a current ratio of 1.58, indicating sufficient short-term assets to cover liabilities. However, net cash is negative after subtracting total debt, signaling potential near-term liquidity constraints.

Profitability metrics show a return on equity of 8.25% and a return on assets of 5.07%, both below the industry median for Restaurants & Bars. The company’s operating margin is 6.45% (calculated from operating income of 52.9 million TRY on revenue of 820.8 million TRY), which is in line with the sector average. However, gross margin of 20.95% (171.99 million TRY gross profit on 820.8 million TRY revenue) is slightly below the median, suggesting potential pricing or cost control challenges.

The company’s revenue is concentrated in a single business segment, with no disclosed geographic diversification. This lack of diversification increases exposure to local economic conditions and regulatory changes in Turkey. No material revenue is attributed to international operations, and no segment-specific financials are disclosed.

Looking ahead, the company is expected to maintain stable revenue growth, with a projected increase of 3.5% in the current fiscal year and 2.8% in the following year. This growth is supported by a strong operating cash flow of 127.04 million TRY and a free cash flow of 30.23 million TRY, though capital expenditures of 185.08 million TRY may constrain near-term expansion.

Risk factors include moderate liquidity risk due to negative net cash and a current ratio just above 1.5. Dilution risk is low, with no recent share issuance and no dilutive securities outstanding. However, the company’s reliance on a single business model and geographic concentration increases vulnerability to sector-specific downturns.

Recent filings and transcripts indicate no material changes in business strategy or capital structure. The company has not disclosed any new restaurant openings or closures, and no significant legal or regulatory issues are reported in the latest filings.

A debt-to-equity ratio of 0.22 is well below the 0.71 cohort median, suggesting a conservative leverage profile.

Revenue grew at a 94.2% compound annual growth rate over the four-year period ending in FY0.

The company faces a high credit risk flag, suggesting significant concerns regarding its ability to meet financial obligations.

Net income remained negative at 101.0 million TRY in FY0, failing to return to profitability despite revenue scale.

Cash conversion of 1.27 is below the 1.67 cohort median, reflecting weaker efficiency in turning earnings into cash.