An Giang Power and Water Supply JSC

An Giang Power and Water Supply JSC maintains a conservative capital structure with a debt-to-equity ratio of 0.28, indicating a relatively low reliance on debt financing compared to equity. The company's liquidity position is characterized as medium, with a current ratio of 1.01, suggesting that it has just enough current assets to cover its current liabilities. However, the company's net cash position is negative after subtracting total debt, which could signal potential liquidity constraints in the short term.

In terms of profitability, the company's return on equity (ROE) is 4.38%, and its return on assets (ROA) is 2.15%. These figures are below the industry median for multiline utilities, indicating that the company is underperforming its peers in terms of capital efficiency and asset utilization. The company's operating margin, calculated as operating income divided by revenue, is 5.78%, which is also below the industry median, suggesting that it is not as efficient in converting revenue into operating profit.

The company's revenue is concentrated in a single geographic region, the Mekong Delta, which accounts for the majority of its operations. This geographic concentration increases the company's exposure to regional economic and regulatory risks, such as changes in government policy or infrastructure disruptions. There is no disclosed segmental breakdown of revenue, so it is unclear how much of the company's income is derived from power versus water supply services.

Looking at the company's growth trajectory, there is no significant revenue growth reported in the latest financial data. The company's capital expenditures are negative, indicating that it is generating more cash from operations than it is spending on new investments. This could suggest a lack of investment in infrastructure or expansion, which may limit future growth potential. The outlook for the next fiscal year does not indicate any material changes in revenue or profitability.

The company's risk profile is characterized by a medium liquidity risk and a low dilution risk. The risk assessment highlights that the company's net cash is negative after subtracting total debt, which could affect its ability to meet short-term obligations. The dilution risk is low, as the company has not issued additional shares recently, and there is no indication of a significant increase in shares outstanding in the near future. The company's capital structure is stable, with a low debt-to-equity ratio, which reduces the likelihood of financial distress.

There are no recent events or filings that have significantly impacted the company's operations or financial position. The company's latest financial report does not mention any material legal proceedings, regulatory actions, or significant changes in management or strategy. The company's operations are primarily influenced by government regulations and infrastructure development in the Mekong Delta region.

Revenue grew at a 9.4% CAGR over four years, demonstrating consistent top-line expansion for the utility.

Net income achieved a 10.2% CAGR over four years, indicating strong historical profitability growth trends.

Cash conversion ratio of 4.44 exceeds the 75th percentile of the Multiline Utilities cohort benchmark.

Debt-to-equity ratio of 0.28 is significantly lower than the cohort median of 0.84, implying low leverage.

Current ratio of 4.92 suggests strong short-term liquidity and ability to meet immediate obligations.

Net margin of 4.84% trails the 10.45% median, indicating weaker profitability compared to peers.

High credit risk flag indicates potential concerns regarding the company's ability to service debt.