TCC Group Holdings Co Ltd

TCC Group Holdings maintains a capital structure characterized by significant leverage, with long-term debt of TWD 216.4 billion against total equity of TWD 231.9 billion, resulting in a debt-to-equity ratio of 0.93. The company holds TWD 59.7 billion in cash and equivalents, but this is insufficient to cover total liabilities of TWD 356.9 billion, leading to a negative net cash position. Liquidity appears manageable in the short term, supported by a current ratio of 2.07, which indicates sufficient current assets to cover current liabilities. However, the high debt load relative to equity suggests elevated financial risk, particularly given the company's current profitability challenges.

Profitability metrics indicate significant operational distress, with a net income loss of TWD 11.6 billion and an operating income loss of TWD 11.3 billion for the latest period. The return on equity stands at -4.93%, and return on assets is -1.94%, reflecting the inability of the company's asset base to generate positive returns. The gross profit of TWD 27.6 billion on revenue of TWD 149.8 billion yields a gross margin of approximately 18.4%, but this is more than offset by operating expenses, leading to the substantial operating loss. The negative profitability contrasts sharply with typical industry expectations for stable construction materials firms, suggesting either cyclical downturn pressures or structural cost issues.

Analysts project 13.4% upside to a mean price target of 27.17, reflecting a consensus buy recommendation.

Revenue grew at an 8.8% CAGR over four years, indicating long-term top-line expansion despite recent volatility.

Dilution risk is assessed as low, suggesting limited immediate threat to existing shareholder equity value.

The company carries a high credit risk flag, indicating significant concerns regarding its ability to meet debt obligations.

Return on equity turned negative at -4.9%, ranking in the bottom quartile relative to industry peers.

Revenue TWD 33.17B, −5,1% YoY; Operating income −5,2% YoY.

• ▍Revenue TWD 33.17B, −5,1% YoY
• ▍Operating income −5,2% YoY
• ▍Net income +36,2% YoY
• ▍Free cash flow +24,2% YoY
• ▍Net margin 2.2%

Revenue TWD 40.43B, −17,5% YoY; Operating income −161,1% YoY.

• ▍Revenue TWD 40.43B, −17,5% YoY
• ▍Operating income −161,1% YoY
• ▍Net income −161,1% YoY
• ▍Free cash flow −688,8% YoY
• ▍Net margin -5.9%

Revenue TWD 39.07B, −4,9% YoY; Operating income −11,2% YoY.

• ▍Revenue TWD 39.07B, −4,9% YoY
• ▍Operating income −11,2% YoY
• ▍Net income −424,7% YoY
• ▍Free cash flow −205,9% YoY
• ▍Net margin -26.1%

Revenue TWD 35.35B, −9,3% YoY; Operating income −74,2% YoY.

• ▍Revenue TWD 35.35B, −9,3% YoY
• ▍Operating income −74,2% YoY
• ▍Net income −80,9% YoY
• ▍Free cash flow −69,4% YoY
• ▍Net margin 1.2%

Revenue TWD 34.96B; Operating income TWD 2.30B.

• ▍Revenue TWD 34.96B
• ▍Operating income TWD 2.30B
• ▍Net margin 1.5%

Revenue TWD 49.02B; Operating income TWD 5.05B.

• ▍Revenue TWD 49.02B
• ▍Operating income TWD 5.05B
• ▍Net margin 7.9%

Revenue TWD 41.08B; Operating income TWD 5.79B.

• ▍Revenue TWD 41.08B
• ▍Operating income TWD 5.79B
• ▍Net margin 7.6%

Revenue TWD 38.97B; Operating income TWD 4.33B.

• ▍Revenue TWD 38.97B
• ▍Operating income TWD 4.33B
• ▍Net margin 5.8%

Revenue TWD 149.80B, −3,1% YoY; Operating income −167,7% YoY.

• ▍Revenue TWD 149.80B, −3,1% YoY
• ▍Operating income −167,7% YoY
• ▍Net income −203,2% YoY
• ▍Free cash flow −157,6% YoY
• ▍Net margin -7.8%

Revenue TWD 154.61B, +41,4% YoY; Operating income +90,0% YoY.

• ▍Revenue TWD 154.61B, +41,4% YoY
• ▍Operating income +90,0% YoY
• ▍Net income +40,8% YoY
• ▍Free cash flow −4,7% YoY
• ▍Net margin 7.3%

Revenue TWD 109.31B, −4,0% YoY; Operating income +717,3% YoY.

• ▍Revenue TWD 109.31B, −4,0% YoY
• ▍Operating income +717,3% YoY
• ▍Net income +48,0% YoY
• ▍Free cash flow +37,2% YoY
• ▍Net margin 7.3%

Revenue TWD 113.93B, +6,4% YoY; Operating income −94,6% YoY.

• ▍Revenue TWD 113.93B, +6,4% YoY
• ▍Operating income −94,6% YoY
• ▍Net income −73,3% YoY
• ▍Free cash flow −43,9% YoY
• ▍Net margin 4.7%