H&R GmbH & Co KgaA

H&R GmbH & Co KgaA maintains a conservative capital structure with a debt-to-equity ratio of 0.46, below the median for the Commodity Chemicals industry, indicating a relatively low reliance on debt financing. The company's liquidity position is characterized as medium risk, with a current ratio of 1.47, suggesting it can cover short-term obligations but with limited buffer. Free cash flow of 4.68 million EUR supports operational flexibility, though capital expenditures of -24.06 million EUR indicate ongoing investment in infrastructure.

Profitability metrics for H&R are below industry norms, with a return on equity of 0.32% and a return on assets of 0.13%. These figures suggest the company is underperforming in generating returns relative to its equity and asset base, which is a concern in a capital-intensive industry like Commodity Chemicals. Gross profit of 75.23 million EUR represents 22.22% of revenue, but operating income of 4.90 million EUR and net income of 1.29 million EUR highlight thin margins and limited profitability.

Geographically, H&R's revenue is concentrated in undisclosed regions, as no specific geographic breakdown is provided in the available data. This lack of transparency increases exposure to regional economic and regulatory risks. The company's business is also segment-dependent, with no disclosed diversification across product lines or customer bases, which could amplify vulnerability to market shifts.

Looking ahead, H&R's revenue is projected to grow by 0.00% in the current fiscal year and 0.00% in the next fiscal year, based on analyst estimates. This flat growth trajectory is below the industry median and suggests limited expansion potential. The company's operating cash flow of 5.48 million EUR and net income of 1.29 million EUR indicate a modest ability to fund operations and reinvest, but the absence of strong revenue growth could constrain long-term value creation.

Risk factors for H&R include a negative net cash position after subtracting total debt, which increases liquidity risk. The company's dilution risk is assessed as low, with no near-term pressure from share issuance or convertible debt. However, the absence of strong buy recommendations from analysts and a mean recommendation of 3.33 (Hold) suggests limited investor confidence in the stock's upside potential.

Recent events, including analyst price targets ranging from 3.60 EUR to 5.00 EUR, reflect a cautious outlook. The mean price target of 4.20 EUR and median of 4.00 EUR indicate a modest upside from the current share price, but the lack of strong buy ratings suggests limited consensus on the stock's potential. No recent filings or transcripts are available to provide additional insight into management's strategic direction or operational performance.

H&R generated EUR 13.4 million in free cash flow in FY2025, demonstrating positive cash generation despite recent profitability pressures.

The company maintains a manageable debt-to-equity ratio of 0.46, indicating a relatively conservative leverage position within the commodity chemicals sector.

H&R exhibits best-in-class cash conversion metrics compared to the commodity chemicals cohort median, suggesting superior operational efficiency in cash management.

The company faces high credit risk and medium liquidity risk, creating substantial financial stability concerns for investors and creditors.

Revenue €300.2M, −13,2% YoY.

• ▍Revenue €300.2M, −13,2% YoY

Revenue €278.5M, −14,2% YoY; Operating income −368,6% YoY.

• ▍Revenue €278.5M, −14,2% YoY
• ▍Operating income −368,6% YoY
• ▍Net income −1 036,9% YoY
• ▍Free cash flow −290,2% YoY
• ▍Net margin -13.8%

Revenue €310.6M, −8,1% YoY; Operating income −37,1% YoY.

• ▍Revenue €310.6M, −8,1% YoY
• ▍Operating income −37,1% YoY
• ▍Net income −118,8% YoY
• ▍Free cash flow −175,4% YoY
• ▍Net margin -0.2%

Revenue €307.3M, −9,2% YoY; Operating income −34,9% YoY.

• ▍Revenue €307.3M, −9,2% YoY
• ▍Operating income −34,9% YoY
• ▍Net income −226,0% YoY
• ▍Free cash flow −23,9% YoY
• ▍Net margin -0.5%

Revenue €345.8M; Operating income €7.8M.

• ▍Revenue €345.8M
• ▍Operating income €7.8M
• ▍Net margin 0.5%

Revenue €324.6M; Operating income €11.3M.

• ▍Revenue €324.6M
• ▍Operating income €11.3M
• ▍Net margin 1.3%

Revenue €338.1M; Operating income €9.0M.

• ▍Revenue €338.1M
• ▍Operating income €9.0M
• ▍Net margin 1.0%

Revenue €338.6M; Operating income €4.9M.

• ▍Revenue €338.6M
• ▍Operating income €4.9M
• ▍Net margin 0.4%

Revenue €1.24B, −7,2% YoY; Operating income −143,0% YoY.

• ▍Revenue €1.24B, −7,2% YoY
• ▍Operating income −143,0% YoY
• ▍Net income −473,7% YoY
• ▍Free cash flow −417,5% YoY
• ▍Net margin -3.1%

Revenue €1.34B, −1,0% YoY; Operating income +4,8% YoY.

• ▍Revenue €1.34B, −1,0% YoY
• ▍Operating income +4,8% YoY
• ▍Net income −1,6% YoY
• ▍Free cash flow +75,3% YoY
• ▍Net margin 0.8%

Revenue €1.35B, −14,2% YoY; Operating income −56,3% YoY.

• ▍Revenue €1.35B, −14,2% YoY
• ▍Operating income −56,3% YoY
• ▍Net income −75,3% YoY
• ▍Free cash flow −74,1% YoY
• ▍Net margin 0.8%

Revenue €1.58B, +32,6% YoY; Operating income −14,1% YoY.

• ▍Revenue €1.58B, +32,6% YoY
• ▍Operating income −14,1% YoY
• ▍Net income −14,9% YoY
• ▍Free cash flow −45,9% YoY
• ▍Net margin 2.7%