Nexam Chemical Holding AB

Nexam Chemical Holding AB operates with a relatively low debt-to-equity ratio of 0.12, indicating a conservative capital structure. The company's liquidity position is characterized as medium, with a current ratio of 2.17, suggesting it can cover its short-term obligations but with limited excess capacity. Despite this, the company reported negative net income of -1.35 million SEK and an operating loss of -0.95 million SEK, which is a concern for profitability.

The company's return on equity (ROE) is -0.71%, and its return on assets (ROA) is -0.53%, both of which are negative and indicate poor performance relative to its equity and asset base. These metrics are below the typical expectations for a specialty chemicals firm, suggesting that the company is not generating sufficient returns to justify its capital investments.

Nexam's revenue is concentrated in a single business segment, as no segmental breakdown is provided in the available data. The company's geographic exposure is not explicitly detailed, but given its listing on the Stockholm Exchange, it is likely to have a significant presence in the Nordic region. The lack of segmental and geographic diversification increases the company's vulnerability to regional economic downturns or sector-specific disruptions.

The company's growth trajectory appears to be under pressure, with a reported revenue of 53.93 million SEK and a negative operating income. Analysts have estimated a mean revenue of 207 million SEK for the next period, which is significantly higher than the last actual revenue of 192.25 million SEK. However, the mean EBIT estimate is -7 million SEK, indicating continued operational challenges. The discrepancy between the revenue and EBIT estimates suggests that while the company may see some top-line growth, it is unlikely to translate into improved profitability.

The risk assessment for Nexam highlights a medium liquidity risk and a low dilution risk. The company's net cash position is negative after subtracting total debt, which could constrain its ability to fund operations or invest in growth opportunities. The low dilution risk is attributed to the absence of significant dilution sources in the available data, although the company's negative earnings and cash flow could necessitate future equity raises.

Recent events and filings indicate that Nexam is facing operational and financial challenges. The company's negative earnings and cash flow, combined with a negative ROE and ROA, suggest that it is struggling to generate value for shareholders. The company's management will need to address these issues to restore investor confidence and improve its financial performance.

Gross profit reached SEK 91.5 million in FY2026, indicating the company maintains underlying production profitability despite operating losses.

The debt-to-equity ratio of 0.12 is well below the specialty chemicals median of 0.23, suggesting a conservative capital structure.

Revenue declined only 3.5% year-over-year to SEK 193.3 million, showing relative stability in top-line performance amidst losses.

Dilution risk is assessed as low, implying limited immediate threat to shareholder equity value from share issuance.

Credit risk is rated low, suggesting the company maintains sufficient financial standing to meet its debt obligations.

Return on equity of -0.7% ranks in the bottom quartile, significantly underperforming the 3.9% industry median.

Liquidity risk is assessed as medium, highlighting potential challenges in meeting short-term financial obligations.

Revenue kr 43.9M, −11,2% YoY; Operating income −97,2% YoY.

• ▍Revenue kr 43.9M, −11,2% YoY
• ▍Operating income −97,2% YoY
• ▍Net income −52,8% YoY
• ▍Free cash flow −17 541,7% YoY
• ▍Net margin -14.2%

Revenue kr 43.1M, −11,8% YoY; Operating income −64,8% YoY.

• ▍Revenue kr 43.1M, −11,8% YoY
• ▍Operating income −64,8% YoY
• ▍Net income −72,4% YoY
• ▍Free cash flow −44,9% YoY
• ▍Net margin -12.2%

Revenue kr 46.5M, +5,5% YoY; Operating income −31,1% YoY.

• ▍Revenue kr 46.5M, +5,5% YoY
• ▍Operating income −31,1% YoY
• ▍Net income −41,6% YoY
• ▍Free cash flow −83,0% YoY
• ▍Net margin -8.4%

Revenue kr 54.3M, +0,7% YoY; Operating income −196,4% YoY.

• ▍Revenue kr 54.3M, +0,7% YoY
• ▍Operating income −196,4% YoY
• ▍Net income −146,2% YoY
• ▍Free cash flow −66,2% YoY
• ▍Net margin -6.1%

Revenue kr 49.4M; Operating income -kr 2.8M.

• ▍Revenue kr 49.4M
• ▍Operating income -kr 2.8M
• ▍Net margin -8.2%

Revenue kr 48.8M; Operating income -kr 2.5M.

• ▍Revenue kr 48.8M
• ▍Operating income -kr 2.5M
• ▍Net margin -6.2%

Revenue kr 44.1M; Operating income -kr 2.5M.

• ▍Revenue kr 44.1M
• ▍Operating income -kr 2.5M
• ▍Net margin -6.2%

Revenue kr 53.9M; Operating income -kr 954.0k.

• ▍Revenue kr 53.9M
• ▍Operating income -kr 954.0k
• ▍Net margin -2.5%

Revenue kr 193.3M, −3,5% YoY; Operating income −77,9% YoY.

• ▍Revenue kr 193.3M, −3,5% YoY
• ▍Operating income −77,9% YoY
• ▍Net income −83,5% YoY
• ▍Free cash flow −103,8% YoY
• ▍Net margin -8.6%

Revenue kr 200.4M, +4,8% YoY; Operating income +64,2% YoY.

• ▍Revenue kr 200.4M, +4,8% YoY
• ▍Operating income +64,2% YoY
• ▍Net income +60,6% YoY
• ▍Free cash flow +79,1% YoY
• ▍Net margin -4.5%

Revenue kr 191.3M, −14,2% YoY; Operating income −72,0% YoY.

• ▍Revenue kr 191.3M, −14,2% YoY
• ▍Operating income −72,0% YoY
• ▍Net income −79,8% YoY
• ▍Free cash flow +46,5% YoY
• ▍Net margin -11.9%

Revenue kr 223.0M, +1,4% YoY; Operating income −178,2% YoY.

• ▍Revenue kr 223.0M, +1,4% YoY
• ▍Operating income −178,2% YoY
• ▍Net income −132,5% YoY
• ▍Free cash flow −1 528,1% YoY
• ▍Net margin -5.7%