We Think Fiberhome Telecommunication Technologies (SHSE:600498) Is Taking Some Risk With Its Debt
We Think Fiberhome Telecommunication Technologies (SHSE:600498) Is Taking Some Risk With Its Debt
Legendary fund manager Li Lu (who Charlie Munger backed) once said, 'The biggest investment risk is not the volatility of prices, but whether you will suffer a permanent loss of capital.' It's only natural to consider a company's balance sheet when you examine how risky it is, since debt is often involved when a business collapses. As with many other companies Fiberhome Telecommunication Technologies Co., Ltd. (SHSE:600498) makes use of debt. But should shareholders be worried about its use of debt?
传奇基金经理李露(由查理·芒格支持)曾经说过:“最大的投资风险不是价格的波动,而是你是否会遭受永久的资本损失。”当你检查公司的资产负债表的风险时,考虑它的资产负债表是很自然的,因为企业倒闭时通常会涉及债务。与许多其他公司一样,Fiberhome电信技术有限公司(SHSE:600498)也使用债务。但是,股东是否应该担心其债务的使用?
What Risk Does Debt Bring?
债务会带来什么风险?
Debt and other liabilities become risky for a business when it cannot easily fulfill those obligations, either with free cash flow or by raising capital at an attractive price. In the worst case scenario, a company can go bankrupt if it cannot pay its creditors. However, a more frequent (but still costly) occurrence is where a company must issue shares at bargain-basement prices, permanently diluting shareholders, just to shore up its balance sheet. Of course, the upside of debt is that it often represents cheap capital, especially when it replaces dilution in a company with the ability to reinvest at high rates of return. When we examine debt levels, we first consider both cash and debt levels, together.
当企业无法通过自由现金流或以诱人的价格筹集资金来轻松履行这些义务时,债务和其他负债就会成为风险。在最坏的情况下,如果公司无法向债权人付款,它可能会破产。但是,更频繁(但仍然昂贵)的情况是,公司必须以低廉的价格发行股票,永久稀释股东,以支撑其资产负债表。当然,债务的好处在于它通常代表廉价资本,尤其是当它以高回报率进行再投资的能力取代公司的稀释时。当我们检查债务水平时,我们首先要同时考虑现金和债务水平。
How Much Debt Does Fiberhome Telecommunication Technologies Carry?
Fiberhome电信技术背负了多少债务?
The image below, which you can click on for greater detail, shows that at September 2023 Fiberhome Telecommunication Technologies had debt of CN¥9.22b, up from CN¥8.80b in one year. However, it also had CN¥3.10b in cash, and so its net debt is CN¥6.12b.
您可以点击下图查看更多详情,该图片显示,截至2023年9月,Fiberhome电信科技的债务为92.2亿元人民币,高于一年内的880亿元人民币。但是,它也有31.0亿元的现金,因此其净负债为61.2亿元人民币。
![debt-equity-history-analysis](https://usnewsfile.moomoo.com/public/MM-PersistNewsContentImage/7781/20240319/0-31270a37a36646f2eba20555ee94c17f-0-6bccc7511207e47dbf9d873fe5e4f1cc.png/big)
How Healthy Is Fiberhome Telecommunication Technologies' Balance Sheet?
Fiberhome 电信科技公司的资产负债表有多健康?
The latest balance sheet data shows that Fiberhome Telecommunication Technologies had liabilities of CN¥23.8b due within a year, and liabilities of CN¥4.11b falling due after that. On the other hand, it had cash of CN¥3.10b and CN¥15.6b worth of receivables due within a year. So its liabilities outweigh the sum of its cash and (near-term) receivables by CN¥9.16b.
最新的资产负债表数据显示,Fiberhome电信科技的负债为238亿元人民币,此后到期的负债为41.1亿元人民币。另一方面,它有一年内到期的现金为310亿元人民币,还有价值156亿元人民币的应收账款。因此,其负债超过其现金和(短期)应收账款总额91.6亿元人民币。
Fiberhome Telecommunication Technologies has a market capitalization of CN¥24.1b, so it could very likely raise cash to ameliorate its balance sheet, if the need arose. However, it is still worthwhile taking a close look at its ability to pay off debt.
Fiberhome电信科技的市值为241亿元人民币,因此,如果有需要,它很可能会筹集资金以改善其资产负债表。但是,仍然值得仔细研究其偿还债务的能力。
We use two main ratios to inform us about debt levels relative to earnings. The first is net debt divided by earnings before interest, tax, depreciation, and amortization (EBITDA), while the second is how many times its earnings before interest and tax (EBIT) covers its interest expense (or its interest cover, for short). The advantage of this approach is that we take into account both the absolute quantum of debt (with net debt to EBITDA) and the actual interest expenses associated with that debt (with its interest cover ratio).
我们使用两个主要比率来告知我们相对于收益的债务水平。第一个是净负债除以利息、税项、折旧和摊销前的收益(EBITDA),第二个是其利息和税前收益(EBIT)覆盖其利息支出(或简称利息保障)的多少倍。这种方法的优势在于,我们既考虑了债务的绝对数量(包括净负债与息税折旧摊销前利润),也考虑了与该债务相关的实际利息支出(及其利息覆盖率)。
Strangely Fiberhome Telecommunication Technologies has a sky high EBITDA ratio of 5.1, implying high debt, but a strong interest coverage of 1k. This means that unless the company has access to very cheap debt, that interest expense will likely grow in the future. It is well worth noting that Fiberhome Telecommunication Technologies's EBIT shot up like bamboo after rain, gaining 50% in the last twelve months. That'll make it easier to manage its debt. The balance sheet is clearly the area to focus on when you are analysing debt. But it is future earnings, more than anything, that will determine Fiberhome Telecommunication Technologies's ability to maintain a healthy balance sheet going forward. So if you're focused on the future you can check out this free report showing analyst profit forecasts.
奇怪的是,Fiberhome电信科技的息税折旧摊销前利润率很高,为5.1,这意味着债务很高,但利息覆盖率高达1k。这意味着,除非公司能够获得非常便宜的债务,否则利息支出将来可能会增加。值得注意的是,Fiberhome电信科技的息税前利润像雨后竹子一样飙升,在过去十二个月中增长了50%。这将使其更容易管理债务。资产负债表显然是分析债务时需要关注的领域。但是,未来的收益将决定Fiberhome电信技术未来维持健康资产负债表的能力。因此,如果您专注于未来,可以查看这份显示分析师利润预测的免费报告。
Finally, a company can only pay off debt with cold hard cash, not accounting profits. So it's worth checking how much of that EBIT is backed by free cash flow. During the last three years, Fiberhome Telecommunication Technologies burned a lot of cash. While investors are no doubt expecting a reversal of that situation in due course, it clearly does mean its use of debt is more risky.
最后,公司只能用冷硬现金偿还债务,不能用会计利润偿还债务。因此,值得检查一下息税前利润中有多少是由自由现金流支持的。在过去的三年中,Fiberhome电信技术消耗了大量现金。尽管投资者无疑预计这种情况将在适当的时候逆转,但这显然意味着其使用债务的风险更大。
Our View
我们的观点
While Fiberhome Telecommunication Technologies's conversion of EBIT to free cash flow has us nervous. To wit both its interest cover and EBIT growth rate were encouraging signs. Looking at all the angles mentioned above, it does seem to us that Fiberhome Telecommunication Technologies is a somewhat risky investment as a result of its debt. Not all risk is bad, as it can boost share price returns if it pays off, but this debt risk is worth keeping in mind. When analysing debt levels, the balance sheet is the obvious place to start. However, not all investment risk resides within the balance sheet - far from it. For example, we've discovered 1 warning sign for Fiberhome Telecommunication Technologies that you should be aware of before investing here.
尽管Fiberhome电信科技将息税前利润转换为自由现金流让我们感到紧张。顺便说一句,其利息覆盖率和息税前利润增长率都是令人鼓舞的迹象。从上面提到的所有角度来看,在我们看来,由于Fiberhome电信技术公司的债务,确实是一项风险较大的投资。并非所有风险都是坏的,因为如果得到回报,它可以提高股价回报,但是这种债务风险值得牢记。在分析债务水平时,资产负债表是显而易见的起点。但是,并非所有的投资风险都存在于资产负债表中,远非如此。例如,我们发现了Fiberhome电信技术的一个警告信号,在投资这里之前,您应该注意这一点。
Of course, if you're the type of investor who prefers buying stocks without the burden of debt, then don't hesitate to discover our exclusive list of net cash growth stocks, today.
当然,如果你是那种喜欢在没有债务负担的情况下购买股票的投资者,那么请立即查看我们的独家净现金增长股票清单。
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Simply Wall St的这篇文章本质上是笼统的。我们仅使用公正的方法根据历史数据和分析师的预测提供评论,我们的文章无意作为财务建议。它不构成买入或卖出任何股票的建议,也没有考虑到您的目标或财务状况。我们的目标是为您提供由基本数据驱动的长期重点分析。请注意,我们的分析可能不考虑最新的价格敏感型公司公告或定性材料。简而言之,华尔街没有持有任何上述股票的头寸。