$SCGBHD (0225.MY)$ see CHATGPT analysis of this stock price ...

### Financial Ratios

1. **Efficiency Ratios**:

- **Cash Conversion Cycle (CCC)**: Improved by 35.57% to 100.1385, indicating better efficiency in managing working capital.

- **Receivable Turnover**: Increased by 2.69% to 1.1295, suggesting slightly faster collection of receivables.

- **Inventory Turnover**: Improved significantly by 98.63% to 2.1066, indicating much faster movement of inventory.

- **Account Payable Turnover**: Worsened by 43.33% to 3.8077, suggesting slower payment to suppliers.

- **Fixed Assets Turnover**: Increased by 18.78% to 3.1077, indicating more efficient use of fixed assets.

- **Total Asset Rate**: Improved by 19.62% to 0.5114, indicating better utilization of total assets.

2. **Profitability Ratios**:

- **Gross Margin**: Improved by 43.19% to 8.15%, indicating higher profitability from core operations.

- **EBIT Margin**: Increased by 66.70% to 6.59%, showing better operating efficiency.

- **Net Margin**: Increased by 111.41% to 4.51%, indicating significantly better overall profitability.

- **EBITDA Margin**: Increased by 51.77% to 7.39%, suggesting improved operational performance before interest, taxes, depreciation, and amortization.

- **Tax Rate**: Slightly decreased by 1.53% to 24.22%, indicating a minor reduction in the tax burden.

- **Interest Coverage**: Improved significantly by 195.09% to 10.3988, suggesting much better ability to cover interest expenses.

3. **Return Ratios**:

- **ROE (Return on Equity)**: Increased significantly by 146.81% to 4.37%, indicating better returns to shareholders.

- **ROA (Return on Assets)**: Increased by 152.89% to 2.31%, indicating improved utilization of assets to generate profit.

- **ROIC (Return on Invested Capital)**: Improved by 117.15% to 3.09%, indicating better returns on invested capital.

4. **Financial Health Ratios**:

- **Long-Term Debt to Equity Ratio**: Increased by 22.10% to 2.84%, indicating higher leverage but still at a manageable level.

- **Total Assets to Common Equity Ratio**: Slightly improved by 1.73% to 186.73%, indicating stable financial health.

- **Interest-Bearing Liabilities To Asset Ratio**: Decreased by 27.79% to 27.12%, indicating reduced financial risk.

- **Current Ratio**: Improved slightly by 2.46% to 1.9099, showing better short-term liquidity.

- **Quick Ratio**: Improved significantly by 41.50% to 1.4302, indicating better ability to meet short-term obligations without relying on inventory.

### Growth Ratios

- **Revenue CAGR (3Y)**: Increased by 130.55% to 23.23%, indicating strong revenue growth over the last three years.

- **Net Income CAGR (3Y)**: Increased by 156.89% to 11.45%, indicating strong growth in net income over the last three years.

- **Net Income CAGR (5Y)**: Increased by 153.35% to 2.33%, indicating significant growth in net income over the last five years.

### Overall Analysis

#### Strengths:

- **Profitability**: Significant improvements in gross, EBIT, net, and EBITDA margins indicate much higher profitability and operational efficiency.

- **Liquidity**: Improved current and quick ratios suggest better liquidity and ability to meet short-term obligations.

- **Return Ratios**: Substantial improvements in ROE, ROA, and ROIC indicate better returns to shareholders and efficient use of assets and capital.

- **Revenue and Income Growth**: Strong growth rates in revenue and net income over the last three and five years.

#### Weaknesses:

- **Account Payable Turnover**: Worsened significantly, indicating slower payments to suppliers, which might affect supplier relationships.

### Conclusion

SCGBHD (0225.MY) appears to be performing well in Q1 2024, with substantial improvements in profitability, efficiency, and financial health. The company shows strong growth in revenue and net income, indicating a positive trend in its overall performance. However, the significant worsening in account payable turnover suggests potential issues in managing supplier payments, which should be addressed to maintain healthy supplier relationships.

### Recommendation

- **Focus on Supplier Payments**: The company should aim to improve its account payable turnover to maintain good relationships with suppliers.

- **Leverage Strengths**: Continue to capitalize on the strong profitability, liquidity, and growth to drive further improvements and shareholder value.

Overall, SCGBHD is showing positive financial performance with areas to monitor and improve for sustained success.