HannsTouch Holdings Co

HannsTouch Holdings Co has a debt-to-equity ratio of 0.48, indicating a relatively conservative capital structure. However, the company's liquidity position is rated as medium, with a current ratio of 3.42, suggesting it has sufficient short-term assets to cover its liabilities, but with room for improvement. The company's cash and equivalents amount to 690 million TWD, which is significantly lower than its long-term debt of 4.1 billion TWD, resulting in a negative net cash position.

In terms of profitability, HannsTouch is currently unprofitable, with a return on equity (ROE) of -2.68% and a return on assets (ROA) of -1.69%. These figures are below the industry median for ROE and ROA, which are typically positive for companies in the electronic equipment and parts industry. The company reported a gross loss of 229.8 million TWD and an operating loss of 292.2 million TWD, indicating significant cost overruns and operational inefficiencies.

The company's revenue is concentrated in a few key segments, with the majority of its sales coming from the production and sale of touch panels. While the company operates in multiple geographic regions, the majority of its revenue is generated in Asia, particularly in China and Taiwan. This concentration increases the company's exposure to regional economic and political risks.

HannsTouch's growth trajectory is currently negative, with a decline in revenue and profitability. The company's operating cash flow is negative at -306.9 million TWD, and its free cash flow is also negative at -33.1 million TWD. These figures suggest that the company is not generating sufficient cash to fund its operations and may need to seek external financing to continue operations. The company's capital expenditures are also negative, indicating a reduction in investment in new projects and equipment.

The company faces several risk factors, including liquidity constraints and the potential for dilution. The risk assessment indicates a medium liquidity risk, primarily due to the negative net cash position after accounting for total debt. The dilution risk is rated as low, but the company may need to issue additional shares to raise capital, which could dilute existing shareholders' equity. The company has not made any significant adjustments to its valuation metrics, suggesting that the current financial position is being managed without major changes.

Recent events and filings indicate that the company is under pressure to improve its financial performance. The last actual EPS was 1.35 TWD, and the last actual revenue was 4.4 billion TWD. These figures are below industry expectations, and the company may need to implement cost-cutting measures or find new revenue streams to turn around its performance.

Revenue surged 154.4% year-over-year in the latest period, indicating a significant turnaround in top-line growth momentum.

Net income jumped 294.5% year-over-year, demonstrating a substantial recovery in profitability compared to the prior fiscal year.

Free cash flow increased by 1946.8% year-over-year, signaling a dramatic improvement in cash generation capabilities.

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

Dilution risk is assessed as low, providing some stability for existing shareholders regarding potential equity issuance.

Credit risk is flagged as high, suggesting significant concerns regarding the company's ability to meet debt obligations.

Liquidity risk is rated as medium, pointing to potential difficulties in meeting short-term financial requirements.

Revenue TWD 466.9M, +8,3% YoY; Operating income +29,5% YoY.

• ▍Revenue TWD 466.9M, +8,3% YoY
• ▍Operating income +29,5% YoY
• ▍Net income +110,8% YoY
• ▍Free cash flow +404,9% YoY
• ▍Net margin 3.6%

Revenue TWD 334.0M, −21,2% YoY; Operating income +22,4% YoY.

• ▍Revenue TWD 334.0M, −21,2% YoY
• ▍Operating income +22,4% YoY
• ▍Net income +49,6% YoY
• ▍Free cash flow +67,9% YoY
• ▍Net margin -45.1%

Revenue TWD 347.1M, +10,2% YoY; Operating income +32,3% YoY.

• ▍Revenue TWD 347.1M, +10,2% YoY
• ▍Operating income +32,3% YoY
• ▍Net income +4,0% YoY
• ▍Free cash flow −14,7% YoY
• ▍Net margin -53.8%

Revenue TWD 336.3M, +13,6% YoY; Operating income +39,2% YoY.

• ▍Revenue TWD 336.3M, +13,6% YoY
• ▍Operating income +39,2% YoY
• ▍Net income +15,8% YoY
• ▍Free cash flow −170,3% YoY
• ▍Net margin -57.6%

Revenue TWD 431.3M; Operating income -TWD 142.1M.

• ▍Revenue TWD 431.3M
• ▍Operating income -TWD 142.1M
• ▍Net margin -35.9%

Revenue TWD 424.2M; Operating income -TWD 241.0M.

• ▍Revenue TWD 424.2M
• ▍Operating income -TWD 241.0M
• ▍Net margin -70.4%

Revenue TWD 315.0M; Operating income -TWD 263.4M.

• ▍Revenue TWD 315.0M
• ▍Operating income -TWD 263.4M
• ▍Net margin -61.8%

Revenue TWD 296.0M; Operating income -TWD 292.2M.

• ▍Revenue TWD 296.0M
• ▍Operating income -TWD 292.2M
• ▍Net margin -77.7%

Revenue TWD 1.48B, +1,2% YoY; Operating income +31,5% YoY.

• ▍Revenue TWD 1.48B, +1,2% YoY
• ▍Operating income +31,5% YoY
• ▍Net income +41,4% YoY
• ▍Free cash flow +84,3% YoY
• ▍Net margin -34.7%

Revenue TWD 1.47B, +10,1% YoY; Operating income +11,9% YoY.

• ▍Revenue TWD 1.47B, +10,1% YoY
• ▍Operating income +11,9% YoY
• ▍Net income +2,4% YoY
• ▍Free cash flow +5,0% YoY
• ▍Net margin -59.9%

Revenue TWD 1.33B, −44,6% YoY; Operating income −1 136,2% YoY.

• ▍Revenue TWD 1.33B, −44,6% YoY
• ▍Operating income −1 136,2% YoY
• ▍Net income −3 732,2% YoY
• ▍Free cash flow −946,9% YoY
• ▍Net margin -67.6%

Revenue TWD 2.41B, −36,3% YoY; Operating income −108,4% YoY.

• ▍Revenue TWD 2.41B, −36,3% YoY
• ▍Operating income −108,4% YoY
• ▍Net income −97,5% YoY
• ▍Free cash flow −95,7% YoY
• ▍Net margin 1.0%