Net Profit Margin rose sharply from 4.24% in 2020 to 24.03% in 2024, reflecting strong profitability growth.
The average EBIT Margin was 29.09%, indicating solid operating efficiency.
Interest coverage improved significantly from 2.35 times in 2020 to 15.47 times in 2024, showing much stronger debt servicing capacity.
Asset turnover increased from 0.51 to 1.44, highlighting better utilization of assets in generating revenue.
Profitability
NAHCO’s revenue trend shows significant fluctuations. It declined by 28.71% between 2019 and 2020, then rebounded with a 43.59% increase between 2020 and 2021. In the current period (2022–2023), revenue rose sharply by 69.98%.
Profitability performance appears strong, as the return on capital employed recorded good results, reflecting effective use of capital in generating returns
Liquidity
The liquidity position actually weakened, as the current ratio fell from 1.43:1 to 1.03:1 in the last year. While the ratio still suggests that current assets are just about sufficient to cover current liabilities, the decline raises concern over reduced short-term financial flexibility
Capital Structure
NAHCO is financed through both equity and debt.
The debt-to-equity ratio has been on a downward trend year on year, showing reduced reliance on debt. Despite this improvement, the gearing position remains high at 134% in the current year, indicating significant leverage and elevated financial risk
