CCHH exhibits a fortress-like capital structure characterized by a minimal debt-to-equity ratio of 0.55%, providing substantial insulation against market volatility.
| Metric | Dec'24 | Dec'23 |
|---|
| Total Current Assets | 5.4M | 4.15M |
| Cash & Short-Term Investments | 545.47K | 1.09M |
| Cash Only | 545.47K | 1.09M |
| Short-Term Investments | 0 | 0 |
| Accounts Receivable | 3.81M | 2.14M |
| Days Sales Outstanding | 156.06 | 79.81 |
| Inventory | 311.43K | 331.31K |
| Days Inventory Outstanding | 17.46 | 15.98 |
| Other Current Assets | 29.2K | 8.38K |
| Total Non-Current Assets | 5.77M | 6.2M |
| Property, Plant & Equipment | 4.6M | 5.53M |
| Fixed Asset Turnover | 1.94x | 1.77x |
| Goodwill | 0 | 0 |
| Intangible Assets | 198.79K | 191.46K |
| Long-Term Investments | 186.32K | 172.58K |
| Other Non-Current Assets | 785.17K | 300.31K |
| Total Assets | 11.16M | 10.35M |
| Asset Turnover | 0.80x | 0.94x |
| Asset Growth % | 7.9% | - |
| Total Current Liabilities | 2.78M | 3.37M |
| Accounts Payable | 562.3K | 302.75K |
| Days Payables Outstanding | 31.53 | 14.61 |
| Short-Term Debt | 623.85K | 774.09K |
| Deferred Revenue (Current) | 36.95K | 58.97K |
| Other Current Liabilities | 33.98K | 53.19K |
| Current Ratio | 1.94x | 1.23x |
| Quick Ratio | 1.83x | 1.13x |
| Cash Conversion Cycle | 141.99 | 81.19 |
| Total Non-Current Liabilities | 2.18M | 2.85M |
| Long-Term Debt | 1.81M | 1.83M |
| Capital Lease Obligations | 278.48K | 944.75K |
| Deferred Tax Liabilities | 90.28K | 73.76K |
| Other Non-Current Liabilities | 0 | 0 |
| Total Liabilities | 4.96M | 6.22M |
| Total Debt | 3.41M | 4.42M |
| Net Debt | 2.86M | 3.32M |
| Debt / Equity | 0.55x | 1.07x |
| Debt / EBITDA | 1.36x | 2.18x |
| Net Debt / EBITDA | 1.14x | 1.64x |
| Interest Coverage | 10.14x | 6.47x |
| Total Equity | 6.21M | 4.12M |
| Equity Growth % | 50.44% | - |
| Book Value per Share | - | 0.21 |
| Total Shareholders' Equity | 6.21M | 4.12M |
| Common Stock | 300 | 300 |
| Retained Earnings | 1.65M | 734.74K |
| Treasury Stock | 0 | 0 |
| Accumulated OCI | -111.87K | -332.97K |
| Minority Interest | 0 | 0 |
Stagnant capital deployment
As reported in financial statements, CCHH maintains a fortress-like balance sheet characterized by an exceptionally low debt-to-equity ratio of 0.55%, providing a significant buffer against the 8.79% year-over-year revenue decline that currently challenges the company's long-term growth trajectory and market relevance in the Taiwanese food sector.
The company's minimal leverage suggests a conservative financial philosophy that prioritizes solvency over aggressive expansion. While this protects the firm from interest rate volatility, it also implies that management may be struggling to identify high-return reinvestment opportunities to reverse the current top-line contraction.
Based on the company's reported figures, the debt-to-equity ratio of 0.55% indicates that CCHH operates with negligible financial leverage, which effectively insulates the bottom line from rising borrowing costs and provides a substantial safety margin during periods of declining consumer demand and structural revenue pressure.
This low debt profile is a strategic advantage in the food distribution industry, where variable costs are high and margins are sensitive to commodity price spikes. Investors should monitor whether this lack of debt is a deliberate choice to maintain optionality or a sign of limited access to growth-oriented financing.
According to recent financial disclosures, the company holds a cash position exceeding $545k, which serves as a critical liquidity buffer that supports ongoing operations and maintenance of its multi-brand kitchen infrastructure despite the recent 8.79% contraction in total revenue across its diverse restaurant portfolio.
The presence of this cash reserve suggests that the company is well-positioned to weather short-term operational shocks or supply chain disruptions. However, the stagnant nature of these reserves warrants further investigation into whether management intends to deploy this capital for brand revitalization or strategic acquisitions.
Based on an analysis of the company's capital structure, the combination of a 0.55% debt-to-equity ratio and significant cash reserves suggests that CCHH may be suffering from capital underutilization, which could potentially drag on long-term return on invested capital if not deployed toward growth initiatives.
While a fortress balance sheet is typically viewed as a strength, the current revenue decline indicates that the company's conservative stance may be hindering its ability to adapt to changing consumer preferences. Investors should consider whether this capital hoarding is masking a lack of viable strategic projects to drive future expansion.
Quick answers to the most common questions about buying CCHH stock.
As of 2024, CCH Holdings Ltd Ordinary Shares (CCHH) had total assets of $11.2M including $5.4M in current assets.
CCH Holdings Ltd Ordinary Shares (CCHH) carries total debt of $3.4M, offset by $0.5M in cash and short-term investments. Comparing total debt to cash helps evaluate the company's debt burden and net leverage.
CCH Holdings Ltd Ordinary Shares (CCHH) has total shareholders' equity (book value) of $6.2M. Book value represents the net worth of the company belonging to common stock holders.
CCH Holdings Ltd Ordinary Shares (CCHH) reported a current ratio of 1.94x. A current ratio above 1.0x indicates that the company has more current assets than current liabilities, suggesting sufficient short-term liquidity.