The company's financial solvency has deteriorated rapidly, with the current ratio falling to a critical 0.28 in 2024Q4, indicating severe liquidity constraints.
| Total Current Assets | 1.96M | 6.26M | 2.09M |
| Cash & Short-Term Investments | 748.1K | 3.47M | 427.21K |
| Cash Only | 748.1K | 3.19M | 363.54K |
| Short-Term Investments | 0 | 281.27K | 63.67K |
| Accounts Receivable | 424.05K | 211.36K | 54.4K |
| Days Sales Outstanding | 21.14 | 12.26 | 10.24 |
| Inventory | 600.88K | 626.2K | 515.78K |
| Days Inventory Outstanding | 90.55 | 85.8 | 222.46 |
| Other Current Assets | 131.79K | 860.4K | 821.07K |
| Total Non-Current Assets | 7.01M | 58.83M | 344.23K |
| Property, Plant & Equipment | 4.15M | 4.69M | 150.84K |
| Fixed Asset Turnover | 1.77x | 1.34x | 12.86x |
| Goodwill | 0 | 0 | 0 |
| Intangible Assets | 2.36M | 2.51K | 0 |
| Long-Term Investments | 0 | 58.78M | 0 |
| Other Non-Current Assets | 0 | -5.02M | 0 |
| Total Assets | 8.97M | 59.31M | 2.43M |
| Asset Turnover | 0.82x | 0.11x | 0.80x |
| Asset Growth % | -84.88% | 2340.31% | - |
| Total Current Liabilities | 7.07M | 6.23M | 1.98M |
| Accounts Payable | 430.51K | 723.7K | 208.38K |
| Days Payables Outstanding | 64.88 | 99.16 | 89.88 |
| Short-Term Debt | 190.02K | 1.28M | 1.34M |
| Deferred Revenue (Current) | 3.78M | 3.39M | 0 |
| Other Current Liabilities | -129.91K | 389.86K | 371.82K |
| Current Ratio | 0.28x | 1.00x | 1.06x |
| Quick Ratio | 0.19x | 0.90x | 0.79x |
| Cash Conversion Cycle | 46.81 | -1.1 | 142.82 |
| Total Non-Current Liabilities | 6.47M | 5.27M | 0 |
| Long-Term Debt | 2.4M | 0 | 0 |
| Capital Lease Obligations | 335.24K | 500.26K | 0 |
| Deferred Tax Liabilities | 0 | 0 | 0 |
| Other Non-Current Liabilities | 2.36M | 4.77M | 0 |
| Total Liabilities | 13.55M | 2.12M | 1.98M |
| Total Debt | 2.93M | 1.96M | 1.34M |
| Net Debt | 2.18M | -1.23M | 980.13K |
| Debt / Equity | - | 0.03x | 2.97x |
| Debt / EBITDA | 2.64x | 1.33x | - |
| Net Debt / EBITDA | 1.97x | -0.84x | - |
| Interest Coverage | -0.35x | 63.20x | -1085.71x |
| Total Equity | -4.58M | 57.19M | 453.17K |
| Equity Growth % | -108.01% | 12519.31% | - |
| Book Value per Share | -0.09 | 7.61 | 0.32 |
| Total Shareholders' Equity | -4.58M | 587.83K | 453.17K |
| Common Stock | 5.71K | 5K | 50K |
| Retained Earnings | -4.9M | -3.98M | -4.26M |
| Treasury Stock | 0 | 0 | 0 |
| Accumulated OCI | 313.61K | 318.15K | 463.05K |
| Minority Interest | 0 | 0 | 0 |
Insufficient liquidity for operations
According to recent quarterly filings, DSY's equity position has deteriorated from a positive $31.1 million in 2024Q3 to a negative $4.6 million by 2024Q4, signaling a rapid erosion of shareholder value that warrants significant caution regarding the company's long-term financial viability and operational stability.
The shift into negative equity suggests that accumulated losses have now outpaced the capital base, which may indicate that the business model is struggling to generate sufficient returns to cover its overhead. Investors should monitor whether this trend reflects a structural impairment of the company's ability to sustain its current scale of operations.
As reported in financial statements, DSY's current ratio plummeted to 0.28 in 2024Q4, down from 0.60 in 2023Q4, highlighting a severe liquidity constraint that leaves the company with minimal buffer to meet its short-term obligations without external financing or rapid capital infusion.
A current ratio well below 1.0 implies that current liabilities significantly exceed current assets, which may indicate a high risk of technical insolvency if creditors demand immediate repayment. This liquidity profile appears to be a major bottleneck for the company's ability to fund its ongoing marketing and operational requirements.
Based on DSY's reported figures, the asset base has undergone a significant contraction, with total assets falling from $35.7 million in 2024Q3 to $9.0 million in 2024Q4, suggesting that the company's resource allocation is highly volatile and potentially insufficient to support national market expansion.
The presence of $2.4 million in goodwill on a $9.0 million asset base suggests that a significant portion of the balance sheet is tied to intangible valuations rather than productive, revenue-generating assets. This composition may indicate that the company's ability to pivot or scale is limited by a lack of tangible, liquid resources.
Data from recent balance sheets indicates that DSY reported $5.2 million in deferred revenue as of 2024Q4, a figure that represents a substantial portion of total liabilities and suggests that future revenue recognition is heavily dependent on fulfilling past obligations rather than new organic growth.
The reliance on deferred revenue as a liability component may imply that the company is pulling forward cash from customers to manage its immediate liquidity needs. This practice warrants further investigation, as it could potentially distort the perception of current demand and mask the underlying difficulty in achieving sustainable, recurring sales growth.
Quick answers to the most common questions about buying DSY stock.
As of 2024, Big Tree Cloud Holdings Limited (DSY) had total assets of $9.0M including $2.0M in current assets.
Big Tree Cloud Holdings Limited (DSY) carries total debt of $2.9M, offset by $0.7M in cash and short-term investments. Comparing total debt to cash helps evaluate the company's debt burden and net leverage.
Big Tree Cloud Holdings Limited (DSY) has total shareholders' equity (book value) of $-4.6M ($-0.09 book value per share). Book value represents the net worth of the company belonging to common stock holders.
Big Tree Cloud Holdings Limited (DSY) reported a current ratio of 0.28x. A current ratio above 1.0x indicates that the company has more current assets than current liabilities, suggesting sufficient short-term liquidity.