Hoa Binh Rubber JSC

Hoa Binh Rubber JSC maintains a relatively low debt-to-equity ratio of 0.35, indicating a conservative capital structure. However, the company's current ratio of 0.28 suggests potential liquidity constraints, as current assets are significantly lower than current liabilities. The liquidity risk is further highlighted by the negative net cash position after subtracting total debt. Despite these liquidity concerns, the company reported a positive operating cash flow of 50,225,190,220 VND, which may support short-term obligations.

Profitability metrics for Hoa Binh Rubber JSC are weak, with a return on equity of 0.09% and a return on assets of 0.06%. These figures fall below the typical thresholds for healthy returns in the Tires & Rubber Products industry, suggesting underperformance relative to industry standards. The company also reported an operating loss of 1,115,465,550 VND, which contrasts with a net income of 499,192,520 VND, likely due to non-operating gains or cost reductions.

The company's revenue is concentrated in a single business segment, with no disclosed geographic diversification in the provided data. This lack of diversification increases exposure to regional economic fluctuations and industry-specific risks. The absence of segment or geographic breakdowns in the financial data limits the ability to assess the company's risk profile in detail.

Looking ahead, the company's growth trajectory appears uncertain. The capital expenditure of -6,006,122,960 VND indicates a reduction in investment, which may signal a strategic shift or financial constraints. Analyst estimates for the last actual revenue of 412,012,308,000 VND align with the reported revenue of 18,286,247,250 VND, suggesting a potential data discrepancy or reporting period mismatch. The company's diluted and basic shares outstanding are identical, indicating no immediate dilution risk.

The risk assessment highlights medium liquidity risk and low dilution risk, with the primary flag being the negative net cash position after total debt. The company's free cash flow of 401,536,850 VND is modest and may not be sufficient to fund significant growth initiatives or debt reduction. The absence of recent filings or transcripts in the provided data limits the ability to assess the company's strategic direction or management commentary.

Recent financial data does not include specific events or filings that would indicate major operational or strategic changes. The company's performance in the latest reporting period suggests a need for operational improvements to enhance profitability and liquidity.

Net income surged 261.7% year-over-year to 61.4 billion VND, demonstrating significant recent profitability improvement.

Free cash flow increased 439.5% year-over-year, indicating a substantial acceleration in cash generation capabilities.

Cash conversion ratio of 100.61% ranks as best-in-class within the Tires & Rubber Products cohort.

Debt-to-equity ratio of 0.35 is above the cohort median, suggesting a relatively conservative leverage position.

Dilution risk is assessed as low, providing some protection against equity value erosion from share issuance.

Return on equity of 0.09% ranks in the bottom quartile, indicating poor capital efficiency relative to peers.

Credit risk is flagged as high, signaling potential difficulties in meeting financial obligations or debt servicing.

Liquidity risk is assessed as medium, suggesting potential challenges in meeting short-term financial demands.

Revenue VND 244.15B, +13,9% YoY; Operating income +4,1% YoY.

• ▍Revenue VND 244.15B, +13,9% YoY
• ▍Operating income +4,1% YoY
• ▍Net income −42,8% YoY
• ▍Free cash flow −46,7% YoY
• ▍Net margin 14.4%