EuroHold Bulgaria AD

EuroHold Bulgaria AD maintains a highly leveraged capital structure, evidenced by a debt-to-equity ratio of 4.2 and total liabilities of 2.86 billion BGN against total equity of 359.4 million BGN. The company holds 281.3 million BGN in cash and equivalents, but this is insufficient to cover its 1.51 billion BGN in long-term debt, resulting in negative net cash. Despite the high leverage, the current ratio stands at 1.7, indicating adequate short-term liquidity to meet immediate obligations. Operating cash flow is robust at 414.0 million BGN, providing a buffer against debt servicing requirements, although free cash flow is significantly lower at 59.8 million BGN after capital expenditures of 171.4 million BGN.

Profitability metrics present a contradictory picture when comparing income statement results to computed return ratios. The company reports a net income of 102.9 million BGN on revenue of 3.40 billion BGN, yielding a positive net margin. However, the computed return on equity is -0.47 and return on assets is -0.05, suggesting potential discrepancies in the equity base calculation or significant non-cash adjustments not reflected in the simple net income figure. The gross profit of 3.10 billion BGN indicates a high gross margin, typical for insurance or financial services where revenue recognition differs from traditional manufacturing. Without cohort median data, direct comparison to industry peers is not possible, but the negative ROE is a significant concern for equity holders.

Segment and geographic data are not provided in the available input, preventing an analysis of revenue concentration or regional exposure. The company is identified as operating in Bulgaria, but specific breakdowns of revenue by segment or geography are absent from the financial snapshot and classification sections.

Growth trajectory cannot be assessed due to the absence of historical period data. The financial snapshot provides only the latest normalized period figures, with no 5-year annual or 8-quarter quarterly trends available to determine revenue or net income momentum. Consequently, the company's growth profile remains undefined in this analysis.

Risk assessment highlights medium liquidity risk and low dilution risk. The key flag notes that net cash is negative after subtracting total debt, reinforcing the leverage concerns. The low dilution risk is supported by the fact that basic and diluted shares outstanding are identical at 260.4 million, indicating no significant options or convertible securities currently impacting share count. The high debt-to-equity ratio of 4.2 poses a substantial credit risk, requiring careful monitoring of interest coverage and refinancing needs.

Recent events, filing observations, and news are not provided in the input data. There are no disclosed management signals, competitor context, or recent news events to incorporate into the narrative. The analysis relies solely on the static financial and classification data provided.

Revenue BGN 6.40B; Operating income BGN 147.9M.

• ▍Revenue BGN 6.40B
• ▍Operating income BGN 147.9M
• ▍Net margin -2.7%