Quality Concrete Holdings Bhd

Quality Concrete Holdings Bhd has a debt-to-equity ratio of 1.25, indicating a moderate reliance on debt financing, and a current ratio of 0.92, suggesting limited short-term liquidity. The company's liquidity position is assessed as medium risk, with a negative net cash position after subtracting total debt.

Profitability metrics show a return on equity of -0.83% and a return on assets of -0.27%, both of which are negative, indicating that the company is not generating returns for its shareholders or assets. These figures are below the typical expectations for the real estate industry, which generally seeks positive returns to justify capital deployment.

The company's revenue is concentrated in a single business segment, as disclosed in its financials, with no significant geographic diversification reported. This lack of diversification may expose the company to higher operational and market risks.

The company's growth trajectory appears to be constrained, with a net income of -723,000 MYR and an operating income of 1,410,000 MYR. The negative net income suggests that the company is not currently profitable, and its future growth will depend on improving operational efficiency and cost management.

The risk assessment indicates a low potential for dilution, with no significant dilution sources identified in the latest filings. However, the company's negative net income and operating cash flow of -9,362,000 MYR raise concerns about its ability to sustain operations without external financing.

Recent events include the disclosure of a negative net income and a negative operating cash flow, which may signal financial stress and the need for strategic adjustments to improve performance.

Revenue grew 24.4% year-over-year to MYR 193.9 million in fiscal 2011, indicating a strong top-line recovery trend.

Cash conversion of 12.95 ranks as best-in-class within the real estate cohort, suggesting superior operational efficiency.

Capital expenditure relative to revenue is above the 75th percentile, implying minimal dilution from heavy investment requirements.

Dilution risk is assessed as low, providing comfort to existing shareholders regarding potential equity erosion.

Operating income turned positive in fiscal 2010, showing early signs of operational stabilization before fiscal 2011.

Credit risk is flagged as high, signaling significant potential for financial distress or default issues.

Return on equity of -0.83% places the company in the bottom quartile of its real estate cohort.

Revenue MYR 39.1M; Operating income MYR 1.4M.

• ▍Revenue MYR 39.1M
• ▍Operating income MYR 1.4M
• ▍Net margin -1.9%

Revenue MYR 193.9M, +24,4% YoY; Operating income −174,5% YoY.

• ▍Revenue MYR 193.9M, +24,4% YoY
• ▍Operating income −174,5% YoY
• ▍Net income −41,0% YoY
• ▍Free cash flow −59,3% YoY
• ▍Net margin -5.9%

Revenue MYR 155.8M, −11,5% YoY; Operating income +127,8% YoY.

• ▍Revenue MYR 155.8M, −11,5% YoY
• ▍Operating income +127,8% YoY
• ▍Net income +28,3% YoY
• ▍Free cash flow +81,3% YoY
• ▍Net margin -5.2%

Revenue MYR 176.0M, −15,6% YoY; Operating income −162,8% YoY.

• ▍Revenue MYR 176.0M, −15,6% YoY
• ▍Operating income −162,8% YoY
• ▍Net income −402,1% YoY
• ▍Free cash flow −345,8% YoY
• ▍Net margin -6.4%

Revenue MYR 208.5M, +2,9% YoY; Operating income −55,6% YoY.

• ▍Revenue MYR 208.5M, +2,9% YoY
• ▍Operating income −55,6% YoY
• ▍Net income −153,4% YoY
• ▍Free cash flow −40,8% YoY
• ▍Net margin -1.1%

Revenue MYR 202.6M; Operating income MYR 14.6M.

• ▍Revenue MYR 202.6M
• ▍Operating income MYR 14.6M
• ▍Net margin 2.1%