CoAsia Corp

CoAsia Corp's capital structure is characterized by a debt-to-equity ratio of 1.47, indicating a moderate reliance on debt financing. The company's liquidity position is assessed as medium, with a current ratio of 0.83, suggesting that its current liabilities exceed its current assets. The company's price-to-book ratio of 1.29 implies that the market values the company slightly above its book value, while the price-to-tangible-book ratio is identical, indicating no significant intangible asset premium.

Profitability metrics for CoAsia Corp are weak, with a negative return on equity (ROE) of -4.61% and a negative return on assets (ROA) of -1.23%. These figures are below the industry median for ROE and ROA, which are typically positive for firms in the electronic equipment and parts industry. The company reported a net loss of KRW 4,466,249,450 and an operating loss of KRW 3,962,620,650, further underscoring its unprofitable performance.

The company's revenue is concentrated in a single business segment, as disclosed in its financial statements, with no material geographic diversification reported. This lack of diversification increases the company's exposure to regional economic fluctuations and sector-specific risks. The absence of segment or geographic breakdown in the provided data limits the ability to assess the company's exposure to different markets.

CoAsia Corp's growth trajectory is negative, with a reported revenue of KRW 103,981,280,170 in the latest period. The outlook for the current fiscal year indicates a continuation of this trend, with no significant revenue growth expected. The company's operating cash flow is negative at KRW -5,942,148,050, and its free cash flow is also negative at KRW -380,885,490, indicating a lack of internal cash generation to support operations or growth.

The company's risk profile is elevated, with a medium liquidity risk and a negative net cash position after subtracting total debt. The risk assessment highlights the company's inability to meet short-term obligations without external financing. The dilution risk is assessed as low, with no significant dilution potential identified in the basic shares outstanding. However, the company's negative operating and net income, combined with its high debt load, increases the likelihood of future capital raising activities that could dilute existing shareholders.

Recent events, as disclosed in the latest financial filings, include a significant operating loss and a net loss, which are indicative of ongoing operational challenges. The company has also reported a negative operating cash flow, suggesting that it is not generating sufficient cash from operations to sustain its business. These developments raise concerns about the company's financial stability and its ability to meet its obligations without additional financing.

Operating income improved by 96.2% year-over-year, signaling a significant turnaround in core operational profitability for the company.

Net income surged 70.1% year-over-year, demonstrating a substantial reduction in losses compared to the prior fiscal period.

Free cash flow improved by 52.4% year-over-year, indicating better cash generation capabilities despite ongoing negative cash flows.

Cash conversion ratio of 1.33 exceeds the cohort median of 1.04, suggesting superior efficiency in converting earnings to cash.

Long-term debt decreased to 110.7 billion KRW, reflecting a reduction in leverage compared to previous fiscal years.

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

Debt-to-equity ratio of 1.47 is in the bottom quartile, far exceeding the cohort median of 0.26.

Net margin of -4.3% places the company in the bottom quartile of its electronic equipment cohort.

Revenue CAGR of -0.4% over four years indicates a lack of top-line growth momentum for the business.

Revenue KRW 380.70B; Operating income -KRW 13.35B.

• ▍Revenue KRW 380.70B
• ▍Operating income -KRW 13.35B
• ▍Net margin -0.6%