Sam Chun Dang Pharm Co Ltd

Sam Chun Dang Pharm Co Ltd has a relatively strong liquidity position, with a current ratio of 3.31, indicating that it holds more than three times as much in current assets as it does in current liabilities. However, the company's free cash flow is negative at -4,256,593,500 KRW, and capital expenditures are substantial at -11,032,712,480 KRW, suggesting that the firm is investing heavily in its operations. The company's cash and equivalents amount to 4,632,519,850 KRW, which is significantly lower than its long-term debt of 54,005,408,460 KRW, resulting in a net cash position that is negative after subtracting total debt.

In terms of profitability, the company's return on equity (ROE) is 0.06%, and its return on assets (ROA) is 0.04%, both of which are extremely low and well below the typical performance metrics for the pharmaceutical industry. The company's net income is also minimal at 174,064,270 KRW, despite a gross profit of 25,712,333,770 KRW, indicating that operating expenses are consuming a large portion of its gross profit.

The company's revenue is concentrated in a single business segment, as disclosed in its financial statements, with no material geographic diversification reported. This lack of diversification may expose the company to higher risks in the event of market or regulatory changes in its primary operating region.

Looking ahead, the company's growth trajectory appears to be modest. The most recent actual revenue was reported at 166,862,000,000 KRW, which is lower than the full-year revenue of 54,889,641,600 KRW, suggesting a possible seasonal or reporting period discrepancy. The company's earnings per share (EPS) were negative at -45.00 KRW, indicating a loss per share for the period.

The company's risk profile is characterized by medium liquidity risk and low dilution risk. The risk assessment highlights that the company's net cash is negative after subtracting total debt, which could impact its ability to meet short-term obligations without additional financing. However, the dilution risk is low, and no significant dilution sources have been identified in the available documents.

Recent events and disclosures have not indicated any major changes in the company's operations or financial strategy. The company's financial statements and analyst estimates do not suggest any significant new developments or strategic shifts in the near term.

Sam Chun Dang Pharm Co Ltd (000250.KQ) has been formally classified within the Healthcare economic sector, specifically under the Pharmaceuticals & Medical Research activity. This taxonomy update provides a clearer definition of the company’s operational focus, aligning its market identity with its core business functions. The risk profile for the company has also been established, with dilution risk assessed as low. This assessment suggests that the potential for existing shareholders to face significant equity dilution is currently minimal, offering a degree of stability regarding share structure. Conversely, liquidity risk has been rated as medium. This indicates that while the company is not facing immediate distress, there may be moderate challenges related to the ease of trading its shares or accessing liquid capital, a factor investors should monitor. These updates occur against a backdrop of limited market coverage, with only one analyst currently tracking the stock and no reported top holders or index memberships. The combination of a defined sector classification and a low dilution risk profile helps frame the company’s current standing despite the moderate liquidity concerns.

Operating income surged 177.5% year-over-year, demonstrating significant improvement in core operational profitability for the company.

Net income increased by 135.3% year-over-year, marking a strong recovery from previous losses to positive earnings.

The company maintains a low debt-to-equity ratio of 0.2, indicating a conservative capital structure with limited leverage risk.

Revenue grew by 6.0% year-over-year, showing consistent top-line expansion despite broader market challenges in the sector.

Cash conversion metrics rank as best-in-class within the pharmaceutical cohort, suggesting superior efficiency in cash management.

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

Free cash flow remains deeply negative at -41.2 billion KRW, indicating severe cash burn despite operating income growth.

Net margin of 0.32% trails the cohort median of 3.9%, reflecting weak profitability relative to industry peers.

Long-term debt increased to 69.8 billion KRW in FY2021, rising from 49.9 billion KRW in the prior year.

Revenue KRW 64.87B, +28,1% YoY.

• ▍Revenue KRW 64.87B, +28,1% YoY

Revenue KRW 56.90B, +3,7% YoY; Operating income −150,5% YoY.

• ▍Revenue KRW 56.90B, +3,7% YoY
• ▍Operating income −150,5% YoY
• ▍Net income −2 016,6% YoY
• ▍Free cash flow −23,8% YoY
• ▍Net margin -5.9%

Revenue KRW 50.62B; Operating income KRW 687.7M.

• ▍Revenue KRW 50.62B
• ▍Operating income KRW 687.7M
• ▍Net margin 0.9%

Revenue KRW 55.19B; Operating income -KRW 607.1M.

• ▍Revenue KRW 55.19B
• ▍Operating income -KRW 607.1M
• ▍Net margin -20.1%

Revenue KRW 52.38B; Operating income -KRW 814.4M.

• ▍Revenue KRW 52.38B
• ▍Operating income -KRW 814.4M
• ▍Net margin -2.1%

Revenue KRW 54.89B; Operating income KRW 2.14B.

• ▍Revenue KRW 54.89B
• ▍Operating income KRW 2.14B
• ▍Net margin 0.3%

Revenue KRW 231.81B, +9,9% YoY; Operating income +226,2% YoY.

• ▍Revenue KRW 231.81B, +9,9% YoY
• ▍Operating income +226,2% YoY
• ▍Net income +148,2% YoY
• ▍Free cash flow −7,8% YoY
• ▍Net margin 2.3%

Revenue KRW 210.92B, +9,5% YoY; Operating income −69,7% YoY.

• ▍Revenue KRW 210.92B, +9,5% YoY
• ▍Operating income −69,7% YoY
• ▍Net income −5,1% YoY
• ▍Free cash flow −105,3% YoY
• ▍Net margin -5.2%

Revenue KRW 192.67B, +8,7% YoY; Operating income −30,4% YoY.

• ▍Revenue KRW 192.67B, +8,7% YoY
• ▍Operating income −30,4% YoY
• ▍Net income −277,9% YoY
• ▍Free cash flow +40,0% YoY
• ▍Net margin -5.4%