Create Capital Vietnam JSC Ltd

Create Capital Vietnam maintains a conservative capital structure with a debt-to-equity ratio of 0.59 and a current ratio of 2.05, indicating adequate short-term liquidity coverage. The balance sheet shows total assets of 1.39 trillion VND against total liabilities of 573.4 billion VND, resulting in total equity of 817.8 billion VND. However, the company holds only 13.1 billion VND in cash and equivalents against 483.4 billion VND in long-term debt, resulting in a negative net cash position. This leverage profile is reflected in a medium liquidity risk assessment, as the firm relies on operating cash flows to service debt obligations rather than liquid reserves.

Profitability metrics indicate modest returns, with a return on equity (ROE) of 8.18% and a return on assets (ROA) of 4.81%. The company generated net income of 57.4 billion VND on revenue of 577.8 billion VND, yielding a net margin of approximately 9.9%. Operating income stood at 69.9 billion VND, suggesting controlled operating expenses relative to gross profit of 99.9 billion VND. While the valuation appears compressed with a P/E ratio of 0.06 and an EV/EBITDA of 9.90, the low P/B ratio of 0.0 suggests potential accounting discrepancies or negative tangible book value adjustments that require further scrutiny. The ROE of 8.18% provides a baseline for shareholder returns, though it remains below typical high-growth energy sector benchmarks.

Revenue concentration is not explicitly detailed in segment or geographic breakdowns, implying a dominant exposure to the domestic Vietnamese energy market. The company’s activity is classified as Integrated Oil & Gas, suggesting a mix of exploration, production, and potentially refining or distribution services. Without specific segment data, the revenue base is treated as a single consolidated unit, which increases the importance of macro-level oil and gas price stability for earnings predictability. The lack of geographic diversification data suggests limited exposure to international markets, concentrating risk within the local regulatory and economic environment.

Growth trajectory analysis is constrained by the absence of historical period data in the input. The current financial snapshot shows a significant capital expenditure of 197.2 billion VND, which exceeds operating cash flow of 72.2 billion VND, resulting in a negative free cash flow of -98.8 billion VND. This heavy investment phase suggests the company is in a growth or maintenance capex cycle, prioritizing asset development over immediate cash generation. The negative free cash flow is a key indicator of current cash burn, necessitating external financing or debt utilization to fund operations and expansion.

Risk factors are primarily driven by liquidity and leverage. The key flag notes that net cash is negative after subtracting total debt, highlighting a reliance on debt markets or operating cash flows for solvency. Dilution risk is assessed as low, with basic and diluted shares outstanding identical at 106.7 million, indicating no immediate options or convertible securities impacting share count. The medium liquidity risk is consistent with the high debt load relative to cash reserves. The company’s ability to manage debt maturities and maintain positive operating cash flow is critical to mitigating these risks.

Recent observations link the company to major global competitors such as Chevron, Shell, and BP based on classification, though no specific competitive metrics are provided. The IR observations note these relationships with a confidence of 0.50, derived from industry anchoring rather than direct operational overlap. No specific filing, news, or transcript events are detailed in the input, limiting the ability to assess recent strategic shifts or management commentary. The absence of recent event data suggests a stable but less transparent reporting environment, requiring reliance on financial fundamentals for analysis.

Net debt to EBITDA of 1.04 suggests manageable leverage levels compared to broader market standards.

Dilution risk is assessed as low, providing some protection to existing shareholders from equity erosion.

Top five holders own only 30% of shares, suggesting a relatively dispersed ownership structure.

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

Cash conversion ratio of -1.76 places the company in the bottom quartile of its cohort.

Current ratio of 0.89 indicates the company may struggle to meet short-term obligations with liquid assets.