Almujtama Alraida Medical Co SJSC

Capital Structure and Liquidity Almujtama Alraida Medical Co SJSC has a debt-to-equity ratio of 1.35, indicating a moderate reliance on debt financing. The company's current ratio of 1.07 suggests that it has just enough current assets to cover its current liabilities, which may limit its flexibility in managing short-term obligations. The liquidity risk is assessed as medium, with a key flag indicating that net cash is negative after subtracting total debt. ### Profitability and Returns The company's return on equity (ROE) is 5.74%, and its return on assets (ROA) is 1.63%. These figures are below the typical thresholds for strong performance in the pharmaceutical industry, suggesting that the company is not generating returns that are significantly above its cost of capital. The operating margin, calculated as operating income divided by revenue, is 2.36%, which is relatively low compared to industry benchmarks. ### Segments and Geographic Exposure The company's operations are primarily focused on pharmaceutical services within Saudi Arabia. There is no disclosed segmental breakdown, and the geographic exposure is concentrated in the domestic market. This concentration may expose the company to regional economic and regulatory risks. ### Growth Trajectory The company's revenue for the latest period is SAR 454.73 million. While there is no explicit forecast provided, the company's free cash flow of SAR 31.35 million indicates some capacity for reinvestment or shareholder returns. However, the capital expenditure of SAR -23.12 million suggests that the company is not currently investing heavily in new projects or expansion. ### Risk Factors The company faces a medium liquidity risk due to its current ratio and negative net cash position after debt. The dilution risk is assessed as low, with no significant dilution potential identified in the basic shares outstanding. The risk assessment does not indicate any major adjustments or external factors that would significantly impact the valuation. ### Recent Events There are no specific recent events or filings mentioned in the provided data that would indicate significant changes in the company's operations or financial position.