MacroAsia Corp

MacroAsia Corp maintains a debt-to-equity ratio of 0.49, indicating a relatively balanced capital structure with a moderate reliance on debt financing. The company's liquidity position is characterized by a current ratio of 1.42, suggesting it has sufficient short-term assets to cover its short-term liabilities. However, the risk assessment highlights a medium liquidity risk, primarily due to negative net cash after subtracting total debt.

In terms of profitability, the company's return on equity (ROE) is 4.18%, and its return on assets (ROA) is 2.00%. These figures are below the industry median for airport operators and services, indicating that the company is underperforming in terms of capital efficiency and asset utilization. The operating margin, calculated as operating income divided by revenue, is 12.52%, which is also below the industry median, suggesting that the company is not generating as much operating profit per unit of revenue as its peers.

The company's revenue is concentrated in a single business segment, as disclosed in its financial statements, with no geographic diversification provided in the available data. This lack of diversification may expose the company to higher operational and market risks, particularly in the event of regional economic downturns or regulatory changes affecting the transportation sector.

Looking ahead, the company's growth trajectory is expected to remain stable, with no significant changes in revenue or operating income projected for the next fiscal year. The capital expenditure of -102.83 million PHP indicates a reduction in investment in long-term assets, which may affect the company's ability to expand or modernize its infrastructure. The free cash flow of 316.35 million PHP provides some flexibility for debt reduction or shareholder returns, but the company's current financial strategy appears to prioritize maintaining liquidity over aggressive growth.

The risk assessment identifies a medium liquidity risk and a low dilution risk. The company's net cash position is negative after accounting for total debt, which could limit its ability to fund operations or investments without external financing. However, the low dilution risk suggests that the company is not expected to issue additional shares in the near term, preserving the value of existing shareholders' equity.

Recent events, as disclosed in the company's financial filings, include a consistent revenue performance and stable operating income. The company has not issued any new shares in the past year, and there are no indications of significant regulatory or legal challenges that could impact its operations. The analyst estimates suggest a strong buy recommendation, with a mean price target of 7.00 PHP, indicating positive sentiment among financial analysts.

Analysts project 63.2% upside to a consensus target price of PHP 7.00, reflecting strong buy sentiment.

Revenue grew 63.8% year-over-year to PHP 7.99 billion, demonstrating significant top-line expansion momentum.

Net income surged 90.8% year-over-year to PHP 851 million, highlighting robust profitability improvement.

Free cash flow increased 50.7% year-over-year to PHP 952 million, supporting strong liquidity generation.

The company faces high credit risk and operates with a high leverage band, increasing financial vulnerability.

Cash conversion ratio of 0.32 is significantly below the 1.07 cohort median, indicating poor cash generation.

Medium liquidity risk flags potential challenges in meeting short-term obligations or market trading needs.

Revenue PHP 2.56B, +4,4% YoY; Operating income −219,4% YoY.

• ▍Revenue PHP 2.56B, +4,4% YoY
• ▍Operating income −219,4% YoY
• ▍Net income +184,9% YoY
• ▍Free cash flow −236,0% YoY
• ▍Net margin 16.4%

Revenue PHP 2.59B, +16,8% YoY; Operating income −58,2% YoY.

• ▍Revenue PHP 2.59B, +16,8% YoY
• ▍Operating income −58,2% YoY
• ▍Net income +20,5% YoY
• ▍Free cash flow −43,0% YoY
• ▍Net margin 13.2%

Revenue PHP 2.46B, −3,7% YoY; Operating income −71,8% YoY.

• ▍Revenue PHP 2.46B, −3,7% YoY
• ▍Operating income −71,8% YoY
• ▍Net income −15,3% YoY
• ▍Free cash flow −129,2% YoY
• ▍Net margin 14.9%

Revenue PHP 2.35B, +6,0% YoY; Operating income −31,3% YoY.

• ▍Revenue PHP 2.35B, +6,0% YoY
• ▍Operating income −31,3% YoY
• ▍Net income +20,8% YoY
• ▍Free cash flow +14,2% YoY
• ▍Net margin 13.3%

Revenue PHP 9.96B, +5,5% YoY; Operating income −63,7% YoY.

• ▍Revenue PHP 9.96B, +5,5% YoY
• ▍Operating income −63,7% YoY
• ▍Net income +28,3% YoY
• ▍Free cash flow −81,6% YoY
• ▍Net margin 14.5%

Revenue PHP 9.44B, +18,1% YoY; Operating income +37,9% YoY.

• ▍Revenue PHP 9.44B, +18,1% YoY
• ▍Operating income +37,9% YoY
• ▍Net income +31,9% YoY
• ▍Free cash flow +1,1% YoY
• ▍Net margin 11.9%

Revenue PHP 1.95B; Operating income -PHP 510.8M.

• ▍Revenue PHP 1.95B
• ▍Operating income -PHP 510.8M
• ▍Net margin -0.1%