Greatek Electronics Inc

Greatek maintains a strong liquidity position with a current ratio of 2.56, indicating the company can cover its short-term liabilities more than twice over. The company's liquidity_fpt score is high, supported by a free cash flow of TWD 890.8 million and a net cash position that is negative after subtracting total debt. Despite the negative net cash, the company's low long-term debt of TWD 34.8 million suggests minimal leverage risk.

Profitability metrics show a return on equity (ROE) of 3.3% and a return on assets (ROA) of 2.71%, both below the industry median for Semiconductors. This suggests Greatek is underperforming in capital efficiency and asset utilization compared to its peers. Gross profit of TWD 995.45 million and operating income of TWD 837.74 million indicate a healthy margin structure, but the net income of TWD 721.96 million reflects a relatively modest conversion of operating income to bottom-line profit.

The company's revenue is concentrated in undisclosed segments, with no geographic breakdown provided in the latest financials. This lack of transparency limits the ability to assess exposure to regional economic shifts or supply chain disruptions. Given the absence of segment-specific data, it is unclear whether Greatek is overexposed to any single market or product line.

Greatek's growth trajectory is modest, with no specific revenue growth rate provided in the latest financials. The company's capital expenditure of TWD -992.86 million suggests a net reduction in capital spending, which may indicate a strategic shift or a focus on cost optimization. The outlook for the current fiscal year is neutral, with no significant directional change expected in the near term.

Risk factors include a medium liquidity risk due to the negative net cash position and a low dilution risk, as the company has not issued additional shares recently. The risk assessment indicates no immediate pressure for equity dilution, and the dilution_potential_basic is low. However, the company's reliance on cash flow generation and limited debt capacity could become a constraint in a prolonged downturn.

Recent events include no notable filings or transcripts in the latest data, suggesting a stable but uneventful period for the company. The absence of recent regulatory or operational disclosures implies no material changes in the company's risk profile.

Cash conversion ratio of 3.83 is best-in-class, vastly outperforming the semiconductor cohort median of 0.91.

Free cash flow surged 35.0% year-over-year to TWD 1.9 billion, indicating strong recent cash generation capabilities.

The company maintains a zero debt-to-equity ratio, ranking above the 75th percentile for financial safety within the cohort.

Return on equity of 3.3% is substantially lower than peer NVIDIA's 29.8%, indicating inefficient capital utilization.

Capex to revenue ratio of -24.9% ranks in the bottom quartile, suggesting potential underinvestment in future growth.

Medium liquidity risk flags potential challenges in meeting short-term obligations, despite low credit and dilution risks.

Revenue TWD 13.57B, −14,9% YoY; Operating income −37,3% YoY.

• ▍Revenue TWD 13.57B, −14,9% YoY
• ▍Operating income −37,3% YoY
• ▍Net income −36,8% YoY
• ▍Free cash flow +469,9% YoY
• ▍Net margin 14.7%

Revenue TWD 15.95B, −18,0% YoY; Operating income −35,5% YoY.

• ▍Revenue TWD 15.95B, −18,0% YoY
• ▍Operating income −35,5% YoY
• ▍Net income −31,4% YoY
• ▍Free cash flow −215,9% YoY
• ▍Net margin 19.8%

Revenue TWD 19.46B; Operating income TWD 5.65B.

• ▍Revenue TWD 19.46B
• ▍Operating income TWD 5.65B
• ▍Net margin 23.7%