Lion Posim Bhd

Lion Posim Bhd maintains a strong liquidity position, with a current ratio of 3.73, indicating the company can easily cover its short-term liabilities with its current assets. The company's cash and equivalents amount to MYR 74.37 million, which is a significant portion of its total assets of MYR 937.41 million. The liquidity_fpt metric further supports this, showing the company has sufficient short-term liquidity to meet operational needs without relying on external financing.

Profitability metrics for Lion Posim Bhd are modest, with a return on equity (ROE) of 0.31% and a return on assets (ROA) of 0.25%. These figures are below the industry median for construction supplies and fixtures, suggesting the company is not generating strong returns relative to its equity and asset base. The net income of MYR 2.35 million on revenue of MYR 184.49 million indicates a net margin of approximately 1.27%, which is in line with the industry's low-margin profile.

The company's revenue is concentrated in a single business segment, with no disclosed geographic diversification. This lack of diversification increases exposure to regional economic fluctuations and regulatory changes in Malaysia. The absence of segment-specific revenue breakdowns in the financial data limits the ability to assess the performance of individual product lines or geographic regions.

Looking ahead, Lion Posim Bhd's growth trajectory appears to be constrained. The company's capital expenditures are minimal, with a negative value of MYR 45,000, suggesting limited investment in new projects or capacity expansion. The outlook for the current fiscal year shows a modest revenue increase, but the next fiscal year's projections are not significantly higher, indicating a lack of strong growth drivers. The company's operating cash flow of MYR 5.35 million supports ongoing operations but does not provide a clear path to accelerated growth.

Risk factors for Lion Posim Bhd include low liquidity and dilution risk, with no immediate filing-based flags detected. The debt-to-equity ratio of 0.06 is low, indicating a conservative capital structure with minimal leverage. However, the company's low ROE and ROA suggest that it is not effectively utilizing its capital to generate returns, which could be a concern for long-term investors. The absence of dilution risk is a positive, but the company's low profitability may limit its ability to fund growth without external financing.

Recent events and filings do not indicate any material changes in the company's operations or financial position. The latest actual EPS of MYR 0.42 and revenue of MYR 874.32 million suggest that the company is performing in line with analyst expectations. However, the lack of significant deviations from historical performance indicates a stable but unremarkable trajectory.

Lion Posim maintains a low debt-to-equity ratio of 0.06, significantly below the cohort median of 0.29, indicating strong financial stability.

The company's cash conversion metric of 2.28 exceeds the cohort median of 1.01, suggesting superior efficiency in generating cash from operations.

Lion Posim faces low dilution, liquidity, and credit risks, providing a stable risk profile for investors despite recent financial headwinds.

Revenue declined at a 5.4% compound annual growth rate over four years, falling from MYR 871.8 million in FY2006 to MYR 697.0 million in FY2010.

Operating margin of 2.03% and net margin of 1.27% both lag significantly behind the cohort medians of 4.64% and 3.00%, respectively.

Revenue MYR 206.0M; Operating income MYR 6.4M.

• ▍Revenue MYR 206.0M
• ▍Operating income MYR 6.4M
• ▍Net margin 2.2%

Revenue MYR 186.7M; Operating income MYR 4.1M.

• ▍Revenue MYR 186.7M
• ▍Operating income MYR 4.1M
• ▍Net margin 1.5%

Revenue MYR 175.9M; Operating income MYR 2.0M.

• ▍Revenue MYR 175.9M
• ▍Operating income MYR 2.0M
• ▍Net margin 0.7%

Revenue MYR 184.5M; Operating income MYR 3.8M.

• ▍Revenue MYR 184.5M
• ▍Operating income MYR 3.8M
• ▍Net margin 1.3%

Revenue MYR 697.0M, −7,5% YoY; Operating income −5,0% YoY.

• ▍Revenue MYR 697.0M, −7,5% YoY
• ▍Operating income −5,0% YoY
• ▍Net income −91,1% YoY
• ▍Free cash flow −143,1% YoY
• ▍Net margin 0.1%

Revenue MYR 753.1M, −0,3% YoY; Operating income +70,0% YoY.

• ▍Revenue MYR 753.1M, −0,3% YoY
• ▍Operating income +70,0% YoY
• ▍Net income −20,3% YoY
• ▍Free cash flow −28,4% YoY
• ▍Net margin 1.4%

Revenue MYR 755.1M, −10,0% YoY; Operating income +31,1% YoY.

• ▍Revenue MYR 755.1M, −10,0% YoY
• ▍Operating income +31,1% YoY
• ▍Net income +1 956,6% YoY
• ▍Free cash flow +219,1% YoY
• ▍Net margin 1.8%

Revenue MYR 838.8M, −3,8% YoY; Operating income −95,0% YoY.

• ▍Revenue MYR 838.8M, −3,8% YoY
• ▍Operating income −95,0% YoY
• ▍Net income −99,5% YoY
• ▍Net margin 0.1%

Revenue MYR 871.8M; Operating income MYR 145.7M.

• ▍Revenue MYR 871.8M
• ▍Operating income MYR 145.7M
• ▍Net margin 16.5%