Burnham Holdings Inc

Burnham Holdings Inc has a debt-to-equity ratio of 0.44, indicating a relatively conservative capital structure. However, the company's liquidity position is assessed as medium, with a current ratio of 3.17, suggesting it can cover short-term obligations but with limited excess capacity. The company reported negative operating cash flow of -$7.5 million and free cash flow of -$3.6 million, signaling cash flow constraints.

Profitability metrics show a return on equity (ROE) of 0.81% and a return on assets (ROA) of 0.42%, both below the typical thresholds for industrial firms. These figures suggest that the company is not generating strong returns relative to its equity and asset base. Gross profit of $10.3 million on $48.8 million in revenue yields a gross margin of 21.1%, which is in line with industry norms but leaves little room for operating expenses and capital investment.

Burnham Holdings Inc operates in a single disclosed segment, with all revenue attributed to the electrical components and equipment business. The company does not report geographic revenue breakdowns, but its primary operations are based in the United States. This lack of geographic diversification may expose the company to regional economic or regulatory risks.

The company's growth trajectory is constrained by its negative free cash flow and limited capital expenditure of -$7.8 million. While the firm is not currently reporting a revenue decline, the absence of positive cash flow and capital investment suggests a lack of momentum in scaling operations or entering new markets. No recent revenue growth is disclosed, and the outlook for the next fiscal year remains uncertain.

Risk factors include liquidity constraints, as the company has negative net cash after subtracting total debt. The risk assessment also flags dilution as low, with no immediate pressure from share issuance or convertible debt. However, the company's operating cash flow and free cash flow remain negative, which could necessitate future financing.

No recent events, such as earnings calls, regulatory filings, or major business developments, are disclosed in the available data. The company's financial statements do not reference any material changes in operations, strategy, or management.

Revenue grew 10.7% year-over-year to $258.1 million, demonstrating top-line expansion despite recent profitability challenges.

Gross profit increased to $59.3 million, indicating strong underlying cost of goods sold management relative to sales.

Long-term debt decreased significantly to $11.6 million, reducing leverage and potential interest expense burdens for the company.

Operating income remained positive at $6.6 million, showing the core business still generates operational cash before non-operating items.

The company maintains a book value of $103.4 million, providing a tangible asset base for potential recovery scenarios.

Free cash flow collapsed to negative $37.7 million, indicating severe liquidity pressure and inability to fund operations internally.

The company faces high credit risk, suggesting potential difficulties in meeting financial obligations or securing future financing.

Revenue $222.7M, −7,4% YoY; Operating income +16,9% YoY.

• ▍Revenue $222.7M, −7,4% YoY
• ▍Operating income +16,9% YoY
• ▍Net income +73,8% YoY
• ▍Free cash flow +2,0% YoY
• ▍Net margin 4.2%

Revenue $240.5M, +10,1% YoY; Operating income +296,9% YoY.

• ▍Revenue $240.5M, +10,1% YoY
• ▍Operating income +296,9% YoY
• ▍Net income +161,7% YoY
• ▍Free cash flow +83,0% YoY
• ▍Net margin 2.3%

Revenue $218.5M; Operating income $2.5M.

• ▍Revenue $218.5M
• ▍Operating income $2.5M
• ▍Net margin 0.9%