Shinkong Synthetic Fibers Corp

Shinkong Synthetic Fibers Corp maintains a debt-to-equity ratio of 1.68, indicating a relatively leveraged capital structure. The company's liquidity position is assessed as medium, with a current ratio of 1.06, suggesting limited short-term liquidity cushion. Free cash flow of TWD 2,194,832,000 supports operational flexibility, though net cash is negative after subtracting total debt. Profitability metrics show a return on equity of 4.64% and a return on assets of 0.85%, both below the industry median for Textiles & Leather Goods. The operating margin of 9.99% (calculated from operating income of TWD 3,749,009,000 on revenue of TWD 37,512,114,000) is also below the industry median, indicating weaker profitability relative to peers. 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 supply chain disruptions. Recent financial performance shows a revenue of TWD 37,512,114,000, with a gross profit margin of 23.17% (TWD 8,690,630,000 on revenue). While the company has maintained positive net income of TWD 1,922,533,000, the outlook for the current fiscal year indicates a modest growth trajectory, with no significant changes in revenue or profit expected. The risk assessment highlights medium liquidity risk and low dilution risk. The company's capital structure includes long-term debt of TWD 69,401,968,000, which could increase financial risk if interest rates rise or cash flow declines. No dilution sources were identified in the latest filings, and the company has not issued new shares recently. Recent events include the filing of the latest financial report, which disclosed the company's financial position and performance. No significant earnings call transcripts or regulatory filings were identified that would suggest material changes in the company's strategic direction or risk profile.