Investment Thesis
Greenpro Capital faces existential financial distress with collapsing revenue (-40.7% YoY), massive operating losses (-228% margin), and negative operating cash flow of -$928.4K quarterly. With only $540.9K in cash and a negative quick ratio, the company has approximately 7 months of runway before potential insolvency without immediate restructuring or capital injection.
Strengths
- High gross margin of 72.2% indicates viable service unit economics
- Conservative leverage with 0.08x debt-to-equity ratio preserves balance sheet flexibility
- Positive stockholders' equity of $19.7M provides modest solvency cushion
Risks
- Severe revenue deterioration of 40.7% YoY indicating loss of client base and market demand
- Negative quick ratio of -0.72x signals acute liquidity crisis and inability to meet short-term obligations
- Operating cash burn of $928.4K quarterly with minimal cash reserves creates imminent runway crisis
- Operating margin of -228% demonstrates inability to cover fixed costs from service delivery
- Free cash flow deeply negative at -$931.2K with no visible path to cash flow positivity
Key Metrics to Watch
- Monthly operating cash flow trend and cash runway remaining
- Quarterly revenue stabilization and client retention rates
- Success and timing of any capital raise, debt restructuring, or strategic transaction
- Quarterly operating expense reduction and cost structure adjustment
Financial Metrics
Revenue
405.4K
Net Income
-911.6K
EPS (Diluted)
$-0.10
Free Cash Flow
-931.2K
Total Assets
21.9M
Cash
540.9K
Profitability Ratios
Gross Margin
72.2%
Operating Margin
-228.1%
Net Margin
-224.9%
ROE
-4.6%
ROA
-4.2%
FCF Margin
-229.7%
Balance Sheet & Liquidity
Current Ratio
1.00x
Quick Ratio
-0.72x
Debt/Equity
0.08x
Debt/Assets
10.0%
Interest Coverage
-3,314.99x
Long-term Debt
1.5M
Disclaimer: This analysis is generated by AI based on publicly available SEC EDGAR filings.
It does not include stock price data and should not be considered financial advice.
All fundamental data is sourced from SEC public domain filings.
Always conduct your own research before making investment decisions.
Data Source: SEC EDGAR |
Analysis Date: 2026-05-15T09:26:45.763629 |
Data as of: 2026-03-31 |
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