Orsero SpA

Orsero's capital structure is characterized by a debt-to-equity ratio of 0.94, indicating a moderate reliance on debt financing. The company holds 88.04 million EUR in cash and equivalents, but its long-term debt of 228.74 million EUR suggests a net cash position that is negative after subtracting total debt. Free cash flow for the period was 5.41 million EUR, while operating cash flow was negative at -8.28 million EUR, signaling potential liquidity constraints.

Profitability metrics show a return on equity of 1.89% and a return on assets of 0.68%, both of which are below the typical thresholds for strong performance in the retail sector. Gross profit of 31.51 million EUR and operating income of 8.68 million EUR indicate a narrow margin structure, which is common in the Food Retail & Distribution industry but leaves little room for error in cost management.

Geographically and segment-wise, Orsero's revenue is concentrated in its core retail operations, with no disclosed diversification into other business lines or international markets. The company's exposure is primarily to the domestic market, and there is no indication of significant geographic diversification in the financial data.

Looking ahead, Orsero's growth trajectory appears modest. Analysts have assigned a mean price target of 26.07 EUR, with a median of 25.90 EUR, and a mean recommendation of 1.75, suggesting a generally positive outlook. However, the absence of a clear revenue growth rate or segment-specific growth projections limits the visibility into the company's future performance.

Risk factors include liquidity concerns, as the company's operating cash flow is negative and its free cash flow is relatively small. The risk assessment indicates a medium liquidity risk and a low dilution risk, with no immediate pressure for equity issuance. However, the negative net cash position after subtracting total debt raises concerns about the company's ability to meet short-term obligations without external financing.

Recent events and filings do not show any material changes in the company's operations or financial strategy. The absence of significant capital expenditures or new product launches in the latest financial data suggests a conservative approach to growth and investment.

Revenue grew at a 12.3% CAGR over four years, reaching EUR 1.7 billion in fiscal 2026.

Free cash flow surged 51.2% year-over-year to EUR 34.1 million in fiscal 2026.

Analysts project 73.4% upside to a mean price target of EUR 26.08 from current levels.

Net income expanded at a 12.4% CAGR over four years, reaching EUR 29.2 million in fiscal 2026.

Long-term debt decreased to EUR 193.1 million in fiscal 2026, down from EUR 217.4 million prior.

The company faces high credit risk, signaling potential difficulties in meeting financial obligations or debt servicing.

Cash conversion is in the bottom quartile of the cohort at -1.8, indicating poor cash generation efficiency.

Debt-to-equity ratio of 0.94 exceeds the cohort median of 0.51, indicating higher financial leverage.

Revenue €430.8M, +4,8% YoY; Operating income −4,1% YoY.

• ▍Revenue €430.8M, +4,8% YoY
• ▍Operating income −4,1% YoY
• ▍Net income +6,2% YoY
• ▍Free cash flow +166,4% YoY
• ▍Net margin 2.7%

Revenue €379.6M, +12,3% YoY; Operating income +39,2% YoY.

• ▍Revenue €379.6M, +12,3% YoY
• ▍Operating income +39,2% YoY
• ▍Net income +51,5% YoY
• ▍Free cash flow +60,2% YoY
• ▍Net margin 1.8%

Revenue €411.0M; Operating income €16.6M.

• ▍Revenue €411.0M
• ▍Operating income €16.6M
• ▍Net margin 2.6%

Revenue €337.9M; Operating income €8.7M.

• ▍Revenue €337.9M
• ▍Operating income €8.7M
• ▍Net margin 1.4%

Revenue €1.70B, +8,2% YoY; Operating income +2,7% YoY.

• ▍Revenue €1.70B, +8,2% YoY
• ▍Operating income +2,7% YoY
• ▍Net income +9,1% YoY
• ▍Free cash flow +51,2% YoY
• ▍Net margin 1.7%

Revenue €1.57B, +2,0% YoY; Operating income −32,2% YoY.

• ▍Revenue €1.57B, +2,0% YoY
• ▍Operating income −32,2% YoY
• ▍Net income −43,3% YoY
• ▍Free cash flow −62,5% YoY
• ▍Net margin 1.7%

Revenue €1.54B, +28,8% YoY; Operating income +62,6% YoY.

• ▍Revenue €1.54B, +28,8% YoY
• ▍Operating income +62,6% YoY
• ▍Net income +46,5% YoY
• ▍Free cash flow +57,5% YoY
• ▍Net margin 3.1%

Revenue €1.20B, +11,8% YoY; Operating income +72,7% YoY.

• ▍Revenue €1.20B, +11,8% YoY
• ▍Operating income +72,7% YoY
• ▍Net income +76,4% YoY
• ▍Free cash flow +143,5% YoY
• ▍Net margin 2.7%

Revenue €1.07B; Operating income €23.1M.

• ▍Revenue €1.07B
• ▍Operating income €23.1M
• ▍Net margin 1.7%