Hana Technology Co Ltd

The company's capital structure shows a debt-to-equity ratio of 0.78, indicating moderate leverage relative to equity. With cash and equivalents of KRW 35,995,658,630 and long-term debt of KRW 85,814,703,060, the net cash position is negative by KRW 49,819,044,430, raising liquidity concerns. The price-to-book ratio of 1.62 suggests market valuation is 62% above book value, while the price-to-tangible-book ratio is identical, indicating no intangible asset premium.

Profitability metrics show significant deterioration, with a return on equity of -2.2% and return on assets of -1.13%, both well below industry norms for machinery manufacturers. Operating income of -KRW 5,214,023,800 and net income of -KRW 2,429,538,130 confirm ongoing losses, with gross profit at -KRW 466,595,730 indicating cost overruns or pricing pressures.

Geographic and segment exposure data is not available in the current dataset, but revenue concentration risk remains unquantified. The company's free cash flow of -KRW 3,748,206,680 and capital expenditure of -KRW 2,223,941,550 suggest ongoing investment amid negative cash generation.

Growth trajectory is negative, with operating cash flow of KRW 9,439,238,670 partially offsetting losses but insufficient to cover capital spending. The current ratio of 1.07 indicates marginal short-term liquidity, with total liabilities of KRW 105,460,265,380 against total assets of KRW 215,745,604,130.

Risk factors include medium liquidity risk due to negative net cash and a current ratio barely above 1. Dilution risk is assessed as low, though the company's negative free cash flow and operating losses could necessitate future capital raises. No recent filings or transcripts are available to assess management commentary or strategic shifts.

Net income improved by 62.6% year-over-year, signaling a potential turnaround in profitability despite recent volatility.

Operating income surged 99.5% year-over-year, indicating significant improvement in core operational efficiency and cost management.

Free cash flow improved by 76.6% year-over-year, suggesting better cash generation capabilities from ongoing business operations.

Long-term debt decreased to 86.8 billion KRW in FY2024, reflecting a reduction in leverage compared to the previous year.

Dilution risk is assessed as low, providing some stability for existing shareholders regarding equity value preservation.

The company faces high credit risk, indicating significant concerns regarding its ability to meet financial obligations.

Debt-to-equity ratio of 0.78 is in the bottom quartile, indicating higher leverage than most industry peers.

Revenue declined at a 4.5% CAGR over four years, showing a long-term trend of shrinking top-line growth.

Revenue KRW 119.95B, +5,3% YoY; Operating income −173,9% YoY.

• ▍Revenue KRW 119.95B, +5,3% YoY
• ▍Operating income −173,9% YoY
• ▍Net income −352,7% YoY
• ▍Free cash flow +94,1% YoY
• ▍Net margin -3.2%

Revenue KRW 113.86B, +0,8% YoY; Operating income +296,1% YoY.

• ▍Revenue KRW 113.86B, +0,8% YoY
• ▍Operating income +296,1% YoY
• ▍Net income +152,6% YoY
• ▍Free cash flow −1 223,1% YoY
• ▍Net margin 1.3%

Revenue KRW 113.00B; Operating income -KRW 5.71B.

• ▍Revenue KRW 113.00B
• ▍Operating income -KRW 5.71B
• ▍Net margin -2.5%