Y2 Solution Co Ltd

Y2 Solution Co Ltd maintains a strong liquidity position, with a current ratio of 4.18 and cash and equivalents of KRW 3,677,464,300. The company's debt-to-equity ratio is 0.03, indicating a conservative capital structure with minimal reliance on long-term debt. The liquidity risk is assessed as low, supported by robust operating cash flow of KRW 10,181,265,610 and free cash flow of KRW 5,700,474,390.

Profitability metrics show a return on equity (ROE) of 3.63% and a return on assets (ROA) of 2.84%. These figures are below the industry median for ROE and ROA, suggesting that the company is underperforming relative to its peers in terms of capital efficiency and asset utilization. Gross profit of KRW 6,357,168,690 and operating income of KRW 1,805,931,230 indicate a healthy margin, but the net income of KRW 3,991,420,180 suggests that the company is not fully converting its gross profit into net earnings.

The company's revenue is concentrated in a single business segment, with no disclosed geographic diversification. This lack of diversification increases the risk of revenue volatility due to market-specific or regional disruptions. The company's total revenue for the latest period is KRW 38,975,690,680, with no material revenue contributions from international markets.

Looking ahead, the company is projected to experience modest revenue growth, with a revenue outlook of 4.5% for the current fiscal year and 3.2% for the next fiscal year. This growth trajectory is supported by a stable operating cash flow and a low capital expenditure of KRW -2,028,279,410, indicating that the company is not heavily investing in new projects or expansion. The company's capital expenditure outlook is expected to remain flat, with no significant changes in investment plans.

The risk assessment indicates a low probability of dilution, with no immediate filing-based liquidity or dilution flags detected. The company's capital structure is stable, with a low debt-to-equity ratio and no signs of financial distress. The credit risk is low, supported by a strong balance sheet and consistent cash flow generation. The company's liquidity risk is also low, with ample cash reserves and a high current ratio.

Recent filings and transcripts do not indicate any material events or strategic shifts that would significantly impact the company's operations or financial performance. The company's management has not disclosed any major capital projects, mergers, or acquisitions in the latest filings. The absence of significant events suggests a stable and predictable business environment for the company.

Y2 Solution Co Ltd (011690.KS) has been formally classified within the Technology sector, specifically under the Technology Equipment activity. This taxonomic update provides a clearer framework for understanding the company's operational focus, aligning its profile with broader industry standards for technology hardware and equipment providers. Alongside this classification, the company’s risk assessment has been updated to reflect low levels of both dilution and liquidity risk. These new risk metrics suggest a stable capital structure and adequate market depth, indicating that shareholders face minimal threat from share issuance and that the stock maintains sufficient trading volume for standard investment activities. The significance of these updates lies in the establishment of a baseline for investor analysis. With no prior values recorded for these fields, the current "low" risk ratings and specific sector classification offer the first structured data points for evaluating Y2 Solution’s financial health and market positioning. Despite these clarifications, the company currently lacks analyst coverage and index membership, with no top holders identified in the available data. This absence of external validation and institutional presence highlights that Y2 Solution remains a niche entity, where the newly established risk and sector profiles serve as primary indicators for potential investors.

Y2 Solution generated KRW 154.5 billion in FY-1 revenue, demonstrating significant scale within the electronic equipment sector.

Operating margin of 4.63% exceeds the cohort median of 4.13%, indicating superior operational efficiency relative to peers.

Return on equity of 3.63% outperforms the cohort median of 2.42%, reflecting better capital utilization than most peers.

A debt-to-equity ratio of 0.03 is well below the cohort median of 0.26, signaling a conservative capital structure.

Revenue growth stalled with a mere 1.7% CAGR over the four-year period from FY-1 to FY0.

Return on invested capital stands at a low 1.59%, suggesting inefficient deployment of capital relative to costs.

Revenue KRW 35.40B; Operating income -KRW 335.9M.

• ▍Revenue KRW 35.40B
• ▍Operating income -KRW 335.9M
• ▍Net margin 0.1%

Revenue KRW 39.53B; Operating income KRW 492.5M.

• ▍Revenue KRW 39.53B
• ▍Operating income KRW 492.5M
• ▍Net margin -2.2%

Revenue KRW 38.98B; Operating income KRW 1.81B.

• ▍Revenue KRW 38.98B
• ▍Operating income KRW 1.81B
• ▍Net margin 10.2%

Revenue KRW 154.51B, +12,8% YoY; Operating income +43,1% YoY.

• ▍Revenue KRW 154.51B, +12,8% YoY
• ▍Operating income +43,1% YoY
• ▍Net income +2 006,5% YoY
• ▍Free cash flow +724,0% YoY
• ▍Net margin 4.3%