GC MediAI Corp

GC MediAI Corp maintains a conservative capital structure with a debt-to-equity ratio of 0.18, significantly below the industry median of 0.45, indicating minimal leverage risk. The company holds KRW 19.5 billion in cash and equivalents, providing a liquidity buffer that supports its KRW 66.5 billion in liabilities. However, negative operating cash flow of KRW -794 million and free cash flow of KRW -341 million suggest ongoing cash burn, which could pressure liquidity if not offset by revenue growth.

Profitability metrics show significant underperformance relative to industry benchmarks. The company reported a net loss of KRW 326 million and negative return on equity of -0.32%, far below the industry median ROE of 12.5%. Gross margin of 49.8% is in line with the sector median, but operating margin of 0.21% is well below the 8.2% median, reflecting high operating costs relative to revenue.

The company operates as a single-segment business focused on AI medical software, with no disclosed geographic revenue breakdown. This lack of diversification increases exposure to regional healthcare policy shifts and reimbursement changes, particularly in South Korea where the company is headquartered.

Recent financial performance shows mixed signals. While revenue of KRW 45.5 billion represents a 15% year-over-year increase, the company's net loss has widened from KRW 180 million to KRW 326 million. Capital expenditures of KRW -1.75 billion indicate ongoing investment in infrastructure, but the negative free cash flow suggests these investments are not yet generating returns.

Risk assessment identifies low liquidity and dilution risk, with no immediate filing-based flags detected. However, the company's negative net income and cash flow metrics suggest potential future dilution pressure if capital raising is required to fund operations. No dilution events were disclosed in recent filings.

Recent events include the Q4 2023 earnings report showing revenue of KRW 107.8 billion, exceeding analyst estimates. The company also announced a partnership with Seoul National University Hospital to expand its AI diagnostic platform. No material regulatory or litigation events were disclosed in the last 90 days.

Cash conversion ratio of 2.43 exceeds the 75th percentile of the software cohort median of 0.92.

Revenue grew 19.3% year-over-year to 133.3 billion KRW, demonstrating top-line expansion momentum.

Dilution and liquidity risks are assessed as low, suggesting stable capital structure and market access.

Operating income reached 10.6 billion KRW, showing positive operational profitability despite net losses.

Net margin of -0.72% falls significantly below the software cohort median of 2.32%.

The company faces high credit risk, signaling potential difficulties in meeting financial obligations.

Debt-to-equity ratio of 0.18 is three times higher than the software cohort median of 0.06.

Revenue KRW 53.07B, +2,7% YoY; Operating income −70,1% YoY.

• ▍Revenue KRW 53.07B, +2,7% YoY
• ▍Operating income −70,1% YoY
• ▍Net income −931,4% YoY
• ▍Free cash flow −423,3% YoY
• ▍Net margin -6.6%

Revenue KRW 50.65B, +8,1% YoY; Operating income +395,1% YoY.

• ▍Revenue KRW 50.65B, +8,1% YoY
• ▍Operating income +395,1% YoY
• ▍Net income +396,1% YoY
• ▍Free cash flow +282,6% YoY
• ▍Net margin 3.7%

Revenue KRW 48.67B, +4,5% YoY; Operating income +48 449,2% YoY.

• ▍Revenue KRW 48.67B, +4,5% YoY
• ▍Operating income +48 449,2% YoY
• ▍Net income +3 541,8% YoY
• ▍Free cash flow +3 715,7% YoY
• ▍Net margin 74.3%

Revenue KRW 45.31B, −0,4% YoY; Operating income +357,2% YoY.

• ▍Revenue KRW 45.31B, −0,4% YoY
• ▍Operating income +357,2% YoY
• ▍Net income +845,1% YoY
• ▍Free cash flow +1 033,5% YoY
• ▍Net margin 5.4%

Revenue KRW 51.67B; Operating income KRW 4.39B.

• ▍Revenue KRW 51.67B
• ▍Operating income KRW 4.39B
• ▍Net margin 0.8%

Revenue KRW 46.87B; Operating income KRW 606.4M.

• ▍Revenue KRW 46.87B
• ▍Operating income KRW 606.4M
• ▍Net margin -1.3%

Revenue KRW 46.56B; Operating income KRW 77.5M.

• ▍Revenue KRW 46.56B
• ▍Operating income KRW 77.5M
• ▍Net margin -2.3%

Revenue KRW 45.50B; Operating income KRW 94.7M.

• ▍Revenue KRW 45.50B
• ▍Operating income KRW 94.7M
• ▍Net margin -0.7%

Revenue KRW 197.70B, +3,7% YoY; Operating income +720,5% YoY.

• ▍Revenue KRW 197.70B, +3,7% YoY
• ▍Operating income +720,5% YoY
• ▍Net income +2 431,2% YoY
• ▍Free cash flow +2 297,8% YoY
• ▍Net margin 18.7%

Revenue KRW 190.60B, +23,7% YoY; Operating income +52,5% YoY.

• ▍Revenue KRW 190.60B, +23,7% YoY
• ▍Operating income +52,5% YoY
• ▍Net income +7,3% YoY
• ▍Free cash flow −23 166,5% YoY
• ▍Net margin -0.8%

Revenue KRW 154.04B, +15,5% YoY; Operating income −60,6% YoY.

• ▍Revenue KRW 154.04B, +15,5% YoY
• ▍Operating income −60,6% YoY
• ▍Net income −147,7% YoY
• ▍Free cash flow −99,8% YoY
• ▍Net margin -1.1%