Unibep SA

Unibep SA has a debt-to-equity ratio of 2.07, indicating a capital structure that is significantly leveraged, with liabilities exceeding equity by a wide margin. The company's liquidity position is assessed as medium, with a current ratio of 1.17, suggesting it has just enough current assets to cover its current liabilities. However, the operating cash flow is negative at -170.3 million PLN, which raises concerns about the company's ability to fund operations from core business activities.

Profitability metrics show a return on equity (ROE) of 21.95%, which is relatively strong, but the return on assets (ROA) is only 2.07%, indicating that the company is not efficiently using its assets to generate returns. This discrepancy may be due to the high leverage in the capital structure, which amplifies returns on equity but also increases financial risk. The gross profit margin is 3.57%, and the operating margin is 21.7%, both of which are below the industry median for construction and engineering firms.

Geographically, Unibep SA's revenue is concentrated in its domestic market, with no disclosed international operations. The company's business is primarily driven by local construction demand, which makes it vulnerable to regional economic fluctuations. There is no information on segment performance, but the lack of diversification in revenue sources increases exposure to local market risks.

Looking at growth, Unibep SA has not provided forward-looking guidance, but the company's capital expenditure of -2.69 million PLN suggests minimal investment in new projects or infrastructure. This could indicate a conservative approach to growth or a focus on maintaining existing operations. The free cash flow of 80.5 million PLN is positive, but the negative operating cash flow implies that the company is relying on non-operational sources to fund its operations.

The risk assessment highlights liquidity as a medium concern, with the company's net cash position being negative after accounting for total debt. The dilution risk is assessed as low, and there are no immediate signs of equity dilution through recent issuance or shelf registration. However, the company's high leverage and negative operating cash flow could lead to increased financial risk if debt obligations are not managed effectively.

Recent events include a consistent price target of 15.60 PLN from analysts, with a mean recommendation of 1.50, indicating a generally positive outlook. The lack of variance in price targets suggests a consensus among analysts, but the absence of strong buy or sell recommendations implies a cautious stance. No recent filings or transcripts have been disclosed that would indicate significant changes in the company's strategic direction or financial health.

Analysts project 29.8% upside to a mean price target of 15.60 PLN from current levels.

Revenue grew at an 8.3% CAGR over the last four years, demonstrating consistent top-line expansion.

Net margin of 8.4% places the company above the 75th percentile of its peer cohort.

Debt-to-equity ratio of 2.07 is in the bottom quartile, signaling significantly higher leverage than peers.

Cash conversion metric of -4.46 ranks in the bottom quartile, suggesting poor cash generation efficiency.

Revenue decreased 9.5% year-over-year, marking a reversal in the company's growth trajectory.

Revenue PLN 743.5M, −4,8% YoY; Operating income +389,1% YoY.

• ▍Revenue PLN 743.5M, −4,8% YoY
• ▍Operating income +389,1% YoY
• ▍Net income +1 696,0% YoY
• ▍Free cash flow +217,4% YoY
• ▍Net margin 3.5%

Revenue PLN 781.1M; Operating income PLN 9.5M.

• ▍Revenue PLN 781.1M
• ▍Operating income PLN 9.5M
• ▍Net margin -0.2%

Revenue PLN 666.4M; Operating income PLN 38.9M.

• ▍Revenue PLN 666.4M
• ▍Operating income PLN 38.9M
• ▍Net margin 1.0%

Revenue PLN 703.5M; Operating income PLN 21.3M.

• ▍Revenue PLN 703.5M
• ▍Operating income PLN 21.3M
• ▍Net margin 0.2%

Revenue PLN 455.9M; Operating income PLN 99.0M.

• ▍Revenue PLN 455.9M
• ▍Operating income PLN 99.0M
• ▍Net margin 8.4%

Revenue PLN 2.36B, −9,5% YoY; Operating income −33,2% YoY.

• ▍Revenue PLN 2.36B, −9,5% YoY
• ▍Operating income −33,2% YoY
• ▍Net income −8,0% YoY
• ▍Free cash flow −47,8% YoY
• ▍Net margin 1.7%

Revenue PLN 2.61B, +7,3% YoY; Operating income +222,4% YoY.

• ▍Revenue PLN 2.61B, +7,3% YoY
• ▍Operating income +222,4% YoY
• ▍Net income +127,0% YoY
• ▍Free cash flow +181,3% YoY
• ▍Net margin 1.7%

Revenue PLN 2.43B, +7,6% YoY; Operating income −316,2% YoY.

• ▍Revenue PLN 2.43B, +7,6% YoY
• ▍Operating income −316,2% YoY
• ▍Net income −2 328,6% YoY
• ▍Free cash flow −268,8% YoY
• ▍Net margin -6.8%

Revenue PLN 2.26B, +31,8% YoY; Operating income +15,7% YoY.

• ▍Revenue PLN 2.26B, +31,8% YoY
• ▍Operating income +15,7% YoY
• ▍Net income −73,6% YoY
• ▍Free cash flow −191,7% YoY
• ▍Net margin 0.3%

Revenue PLN 1.71B; Operating income PLN 55.1M.

• ▍Revenue PLN 1.71B
• ▍Operating income PLN 55.1M
• ▍Net margin 1.6%