Woojung Bio Inc

Woojung Bio Inc operates with a capital structure that is heavily leveraged, with a debt-to-equity ratio of 2.71, indicating a high reliance on debt financing. The company's liquidity position is constrained, as evidenced by a current ratio of 0.41, suggesting that it may struggle to meet short-term obligations without additional financing. The company's valuation is elevated, with a price-to-book ratio of 2.29, but this is not supported by positive earnings, as reflected in a negative return on equity of -7.35%.

The company's profitability is underperforming relative to industry norms, with a net loss of KRW 1,605,594,560 and an operating loss of KRW 519,532,530. The gross profit margin of 24.17% is a positive sign, but it is insufficient to offset the company's operating and financial expenses. The company's return on assets of -1.67% further underscores the inefficiency of asset utilization in generating profit.

Woojung Bio Inc's revenue is concentrated in a single geographic market, South Korea, with no disclosed international operations. The company's business is not segmented into distinct product lines or geographic regions, making it difficult to assess the contribution of different areas to overall performance. This lack of diversification increases the company's exposure to local economic and regulatory risks.

The company's growth trajectory is uncertain, with no disclosed revenue growth in the most recent period. The company's operating cash flow of KRW 925,654,550 is positive, but it is not sufficient to cover the free cash flow deficit of KRW -611,386,210, indicating that the company is not generating enough cash to sustain operations without external financing. The company's outlook for the current and next fiscal years is not provided, but the negative earnings trend suggests a challenging path to profitability.

The company's risk profile is elevated, with a medium liquidity risk and a negative net cash position after subtracting total debt. The dilution risk is currently low, but the company's high debt levels and negative earnings increase the potential for future dilution through equity financing. The company has not disclosed any recent events or filings that would indicate a change in its risk profile.

Recent events and filings for Woojung Bio Inc are not disclosed in the available data. The company's financial statements do not include any material events or transactions that would impact its financial position or risk profile in the near term.

Operating margin of -5.1% ranks in the top quartile compared to the biotechnology cohort median of -2.6%.

Dilution risk is assessed as low, providing relative stability for existing shareholders compared to higher-risk peers.

Debt-to-equity ratio of 2.71 is in the bottom quartile, far exceeding the cohort median of 0.01.

Credit risk is flagged as high, signaling significant potential issues with the company's ability to meet obligations.

Cash conversion ratio of -0.58 is in the bottom quartile, drastically underperforming the cohort median of 0.87.

Liquidity risk is rated as medium, indicating potential challenges in meeting short-term financial obligations.

Revenue KRW 38.62B, −17,7% YoY; Operating income −86,0% YoY.

• ▍Revenue KRW 38.62B, −17,7% YoY
• ▍Operating income −86,0% YoY
• ▍Net income −168,8% YoY
• ▍Free cash flow +78,8% YoY
• ▍Net margin -13.1%