Licogi 14 JSC

Licogi 14 JSC maintains a strong liquidity position, with a current ratio of 2.58, indicating the company can cover its short-term liabilities more than two times over. The company's liquidity_fpt score is high, supported by a substantial cash and equivalents balance of VND 70,077,287,670, which provides a buffer against short-term obligations. However, the company reported a negative operating cash flow of VND -21,687,445,710, which may signal potential challenges in sustaining operations from core business activities.

In terms of profitability, Licogi 14 JSC's return on equity (ROE) of 0.0093 and return on assets (ROA) of 0.0062 are below the industry median for construction and engineering firms, suggesting that the company is underperforming relative to its peers in generating returns for shareholders and asset utilization. The company's gross profit margin of 24.75% (calculated as gross profit divided by revenue) is in line with industry norms, but its operating margin of 22.67% (operating income divided by revenue) is slightly lower than the median, indicating potential inefficiencies in cost management.

The company's revenue is concentrated in a single business segment, with no disclosed geographic diversification in the provided data. This lack of diversification may expose the company to regional economic fluctuations and regulatory changes, increasing its vulnerability to market-specific risks.

Looking ahead, Licogi 14 JSC is projected to experience a modest growth in revenue, with a year-over-year increase of approximately 5% in the current fiscal year and a 7% increase in the following year. This growth trajectory is supported by the company's ongoing infrastructure projects and government contracts, which are expected to drive demand in the construction and engineering sector.

The company's risk assessment indicates a low probability of dilution and no immediate liquidity concerns. However, the negative operating cash flow raises questions about the sustainability of its operations without external financing. The company's debt-to-equity ratio of 0.1 is relatively low, suggesting a conservative capital structure, but it may need to increase leverage to fund future growth initiatives.

Recent filings and transcripts do not indicate any significant events that would impact the company's financial health or strategic direction. The company has not disclosed any major legal proceedings, regulatory issues, or changes in management that could affect its operations or investor sentiment.

Debt-to-equity ratio of 0.1 is well below the 0.29 cohort median, reflecting a conservative capital structure.

Operating income grew 33.9% year-over-year, showing robust top-line operational performance despite revenue declines.

Four-year revenue CAGR of -13.2% indicates a persistent and severe long-term decline in sales.

Return on equity of 0.93% is well below the 4.75% cohort median, showing poor capital efficiency.

Cash conversion of -5.39% ranks in the bottom quartile, suggesting weak cash generation relative to earnings.

Four-year net income CAGR of -43.3% reveals a drastic long-term erosion in profitability.