UPA Corporation Bhd

UPA Corporation Bhd maintains a strong liquidity position, with a current ratio of 12.43, indicating a significant buffer of current assets over current liabilities. The company's debt-to-equity ratio is 0.01, reflecting a conservative capital structure with minimal leverage. However, the risk assessment notes that net cash is negative after subtracting total debt, signaling potential liquidity constraints if short-term obligations increase.

Profitability metrics for UPA are modest, with a return on equity (ROE) of 0.003 and a return on assets (ROA) of 0.0027. These figures are below the typical thresholds for capital efficiency in the paper products industry, suggesting that the company is not generating strong returns relative to its equity and asset base.

The company's revenue is concentrated in a single business segment, as disclosed in its financial statements, with no material geographic diversification reported. This lack of diversification increases exposure to regional economic fluctuations and sector-specific risks.

Looking ahead, UPA's growth trajectory appears subdued. The company's operating cash flow of 11.321 million MYR and free cash flow of 1.342 million MYR suggest limited capacity for reinvestment or shareholder returns. Capital expenditures were negative at -0.516 million MYR, indicating asset disposals or reduced investment in the period.

Risk factors include the company's low dilution potential, with shares outstanding remaining unchanged at 231.623 million for both basic and diluted shares. However, the risk assessment highlights the negative net cash position as a key flag, which could necessitate future financing activities.

Recent events include the disclosure of a last actual EPS of 0.06 MYR, as reported in investor relations data. No material earnings surprises or significant operational changes were noted in the latest filings or transcripts.

Operating income surged 28,681% year-over-year to MYR 4.6 million, signaling a dramatic operational turnaround.

Net income jumped 79.6% to MYR 2.9 million, demonstrating significant profitability recovery from the prior year.

Free cash flow turned positive at MYR 2.4 million, reversing the previous year's negative cash flow position.

Operating and net margins exceed Paper Products cohort medians, indicating superior relative profitability efficiency.

Debt-to-equity ratio of 0.01 is above the 75th percentile, reflecting a highly conservative capital structure.

Revenue declined at a 4.1% compound annual growth rate over four years, indicating persistent top-line weakness.

Return on equity of 0.3% is significantly below the 2.2% cohort median, showing poor capital efficiency.

Gross profit dropped to MYR 10.4 million, the lowest level in the five-year historical period provided.

Medium liquidity and credit risk flags suggest potential challenges in meeting short-term obligations or debt servicing.

Revenue MYR 21.7M, −18,2% YoY; Operating income −531,0% YoY.

• ▍Revenue MYR 21.7M, −18,2% YoY
• ▍Operating income −531,0% YoY
• ▍Net income −602,4% YoY
• ▍Free cash flow −324,4% YoY
• ▍Net margin -19.2%

Revenue MYR 41.3M; Operating income MYR 2.9M.

• ▍Revenue MYR 41.3M
• ▍Operating income MYR 2.9M
• ▍Net margin 10.2%

Revenue MYR 28.1M; Operating income -MYR 1.9M.

• ▍Revenue MYR 28.1M
• ▍Operating income -MYR 1.9M
• ▍Net margin -8.0%

Revenue MYR 32.7M; Operating income -MYR 2.0M.

• ▍Revenue MYR 32.7M
• ▍Operating income -MYR 2.0M
• ▍Net margin -3.7%

Revenue MYR 26.5M; Operating income MYR 1.0M.

• ▍Revenue MYR 26.5M
• ▍Operating income MYR 1.0M
• ▍Net margin 3.1%

Revenue MYR 128.6M, −14,2% YoY; Operating income −99,9% YoY.

• ▍Revenue MYR 128.6M, −14,2% YoY
• ▍Operating income −99,9% YoY
• ▍Net income −81,4% YoY
• ▍Free cash flow −430,9% YoY
• ▍Net margin 1.2%

Revenue MYR 149.9M, −5,9% YoY; Operating income +5,3% YoY.

• ▍Revenue MYR 149.9M, −5,9% YoY
• ▍Operating income +5,3% YoY
• ▍Net income −20,2% YoY
• ▍Free cash flow −32,0% YoY
• ▍Net margin 5.7%

Revenue MYR 159.3M, +3,0% YoY; Operating income −0,9% YoY.

• ▍Revenue MYR 159.3M, +3,0% YoY
• ▍Operating income −0,9% YoY
• ▍Net income −1,2% YoY
• ▍Free cash flow −20,3% YoY
• ▍Net margin 6.7%

Revenue MYR 154.7M; Operating income MYR 13.7M.

• ▍Revenue MYR 154.7M
• ▍Operating income MYR 13.7M
• ▍Net margin 7.0%