E9IA.MI

The company's capital structure is highly leveraged, with total liabilities of €35.5 million and total equity of -€2.6 million, resulting in a debt-to-equity ratio of -7.16. Liquidity is constrained, with only €2,290 in cash and equivalents and a current ratio of 0.97, indicating the company is nearly unable to meet its short-term obligations. The negative return on assets of -0.4191 further highlights the inefficiency of asset utilization in generating profit. Profitability is severely challenged, with an operating loss of €15.99 million and a net loss of €13.79 million in the latest reporting period. The return on equity of 5.4063 is positive but misleading due to the negative equity base, which inflates the ratio. The company's gross profit margin is high at 99.4%, but this is offset by significant operating expenses, leading to a negative operating margin. The company's revenue is concentrated in a single business segment, IT Services, with no disclosed geographic diversification. This lack of diversification increases exposure to regional economic downturns and client concentration risks. Growth trajectory is negative, with a net loss and declining cash flow from operations. The company reported a free cash flow of -€15.84 million, driven by a negative operating cash flow of -€3.2 million and capital expenditures of -€2.83 million. There are no disclosed revenue growth rates or forward-looking guidance to suggest a reversal of this trend. Risk factors include liquidity constraints and a negative equity position, which could lead to insolvency if not addressed. The risk assessment indicates a medium liquidity risk and a low dilution risk, with no immediate pressure for equity issuance. The company has not disclosed any recent events, filings, or transcripts that would suggest a material change in its risk profile.