Unison Co Ltd

Unison Co Ltd has a highly leveraged capital structure, with a debt-to-equity ratio of 1.75, indicating significant reliance on debt financing. The company's liquidity position is weak, as evidenced by a current ratio of 0.36 and negative free cash flow of -8.67 billion KRW, which suggests that the firm is not generating sufficient cash from operations to cover its short-term obligations.

Profitability metrics are deeply negative, with a return on equity of -9.12% and a return on assets of -2.72%, both well below the industry median for renewable energy equipment and services. These figures indicate that the company is not only failing to generate returns for shareholders but is also underperforming in utilizing its assets efficiently.

Geographically, Unison's revenue is concentrated in a single market, with no disclosed diversification across regions. This lack of geographic diversification increases exposure to local economic and regulatory risks, which could impact revenue stability. The company does not report segment-specific revenue, but its primary business activity is in renewable energy equipment and services, with no material diversification into other product lines or services.

The company's growth trajectory is currently negative, with a net income loss of 6.8 billion KRW and an operating loss of 3.18 billion KRW. Analyst estimates suggest a revenue of 166.15 billion KRW, but this does not reflect a clear upward trend in performance. The company's capital expenditures of 4.82 billion KRW indicate ongoing investment, but without a corresponding increase in operating cash flow, the sustainability of these investments is questionable.

Risk factors include a high debt load and negative free cash flow, which could lead to liquidity constraints. The company's dilution risk is currently low, but the presence of a large long-term debt balance of 130.34 billion KRW could necessitate future equity issuance if debt service becomes unmanageable. The risk assessment highlights a key flag: net cash is negative after subtracting total debt, which further underscores the company's liquidity challenges.

Recent events include a significant operating loss and negative cash flow from operations, which are consistent with the company's current financial performance. No recent filings or transcripts have been disclosed that indicate a strategic shift or improvement in financial health.

Revenue grew 59.8% year-over-year, demonstrating significant top-line expansion momentum in the latest reporting period.

Cash conversion ratio of 1.48 exceeds the cohort median of 0.57, indicating superior cash generation efficiency.

Long-term debt decreased to 97.9 billion KRW, reflecting a reduction in leverage compared to prior periods.

Gross profit turned positive at 19.5 billion KRW, showing improvement in core production profitability.

Dilution risk is assessed as low, suggesting limited immediate threat to existing shareholder equity value.

Credit risk is flagged as high, indicating significant potential for financial distress or default events.

Debt-to-equity ratio of 1.75 is in the bottom quartile, reflecting excessive leverage compared to the cohort median.

Revenue KRW 16.32B, +93,1% YoY; Operating income +30,7% YoY.

• ▍Revenue KRW 16.32B, +93,1% YoY
• ▍Operating income +30,7% YoY
• ▍Net income −25,0% YoY
• ▍Free cash flow −38,8% YoY
• ▍Net margin -31.3%

Revenue KRW 13.29B, +153,8% YoY; Operating income +111,9% YoY.

• ▍Revenue KRW 13.29B, +153,8% YoY
• ▍Operating income +111,9% YoY
• ▍Net income −13,3% YoY
• ▍Free cash flow −6,1% YoY
• ▍Net margin -58.0%

Revenue KRW 6.10B; Operating income -KRW 1.87B.

• ▍Revenue KRW 6.10B
• ▍Operating income -KRW 1.87B
• ▍Net margin -56.0%

Revenue KRW 6.56B; Operating income -KRW 3.55B.

• ▍Revenue KRW 6.56B
• ▍Operating income -KRW 3.55B
• ▍Net margin -61.9%

Revenue KRW 8.45B; Operating income -KRW 1.61B.

• ▍Revenue KRW 8.45B
• ▍Operating income -KRW 1.61B
• ▍Net margin -48.3%

Revenue KRW 5.23B; Operating income -KRW 3.18B.

• ▍Revenue KRW 5.23B
• ▍Operating income -KRW 3.18B
• ▍Net margin -129.9%

Revenue KRW 40.27B, +56,5% YoY; Operating income +59,8% YoY.

• ▍Revenue KRW 40.27B, +56,5% YoY
• ▍Operating income +59,8% YoY
• ▍Net income +7,4% YoY
• ▍Free cash flow −8,1% YoY
• ▍Net margin -51.8%

Revenue KRW 25.73B, −76,1% YoY; Operating income +36,9% YoY.

• ▍Revenue KRW 25.73B, −76,1% YoY
• ▍Operating income +36,9% YoY
• ▍Net income +13,7% YoY
• ▍Free cash flow +1,6% YoY
• ▍Net margin -87.6%

Revenue KRW 107.74B, −55,0% YoY; Operating income −1 332,5% YoY.

• ▍Revenue KRW 107.74B, −55,0% YoY
• ▍Operating income −1 332,5% YoY
• ▍Net income −99,7% YoY
• ▍Free cash flow −51,1% YoY
• ▍Net margin -24.3%