The firm's financial stability is severely compromised by a minimal cash position of only $34,237, which suggests an inability to maintain a stable asset base for its catering operations.
| Metric | Jun'24 | Jun'23 | Jun'22 |
|---|
| Total Current Assets | 1.4M | 2.6M | 4.18M |
| Cash & Short-Term Investments | 34.24K | 117.53K | 141.55K |
| Cash Only | 34.24K | 117.53K | 141.55K |
| Short-Term Investments | 0 | 0 | 0 |
| Accounts Receivable | 507.71K | 922.52K | 1.81M |
| Days Sales Outstanding | 35.89 | 64.58 | 125.38 |
| Inventory | 23.04K | 40.19K | 0 |
| Days Inventory Outstanding | 1.94 | 3.61 | - |
| Other Current Assets | 0 | 0 | 0 |
| Total Non-Current Assets | 5.24M | 5.11M | 515.5K |
| Property, Plant & Equipment | 3.87M | 5.11M | 515.5K |
| Fixed Asset Turnover | 1.33x | 1.02x | 10.22x |
| Goodwill | 0 | 0 | 0 |
| Intangible Assets | 0 | 0 | 0 |
| Long-Term Investments | 0 | 0 | 0 |
| Other Non-Current Assets | 1.38M | 0 | 0 |
| Total Assets | 6.64M | 7.7M | 4.7M |
| Asset Turnover | 0.78x | 0.68x | 1.12x |
| Asset Growth % | -13.77% | 63.98% | - |
| Total Current Liabilities | 5.08M | 2.95M | 1.69M |
| Accounts Payable | 706.94K | 751.03K | 343.38K |
| Days Payables Outstanding | 59.59 | 67.41 | 31.35 |
| Short-Term Debt | 756.18K | 814.09K | 587.95K |
| Deferred Revenue (Current) | 0 | 0 | 0 |
| Other Current Liabilities | 43.47K | 58.17K | 16.57K |
| Current Ratio | 0.28x | 0.88x | 2.48x |
| Quick Ratio | 0.27x | 0.87x | 2.48x |
| Cash Conversion Cycle | -21.76 | 0.78 | - |
| Total Non-Current Liabilities | 3.01M | 4.74M | 1.69M |
| Long-Term Debt | 323.42K | 936.89K | 1.55M |
| Capital Lease Obligations | 2.69M | 3.81M | 137.51K |
| Deferred Tax Liabilities | 0 | 0 | 0 |
| Other Non-Current Liabilities | 0 | 0 | 0 |
| Total Liabilities | 8.1M | 7.69M | 3.37M |
| Total Debt | 4.9M | 6.69M | 2.45M |
| Net Debt | 4.86M | 6.58M | 2.31M |
| Debt / Equity | - | 531.98x | 1.85x |
| Debt / EBITDA | - | 14.94x | 5.17x |
| Net Debt / EBITDA | - | 14.68x | 4.87x |
| Interest Coverage | -9.00x | -2.95x | 2.56x |
| Total Equity | -1.45M | 12.58K | 1.32M |
| Equity Growth % | -11655.2% | -99.05% | - |
| Book Value per Share | -0.09 | 0.00 | 0.06 |
| Total Shareholders' Equity | -1.45M | 12.58K | 1.32M |
| Common Stock | 10 | 10 | 10 |
| Retained Earnings | -2.05M | -586.41K | 725.34K |
| Treasury Stock | 0 | 0 | 0 |
| Accumulated OCI | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 |
Insolvency and liquidity crisis
As reported in financial disclosures, the company maintains a precarious cash balance of only $34,237, which suggests an extremely limited buffer to absorb operational shocks or fund ongoing working capital requirements within its dormitory-based catering business model, warranting significant concern regarding the firm's immediate liquidity profile.
The minimal cash reserves relative to the company's scale indicate that the firm lacks the necessary liquidity to navigate even minor disruptions in contract payments or inflationary spikes in food costs. Investors should monitor whether this liquidity constraint forces the company to seek dilutive financing or potentially compromise on service quality to preserve cash.
Based on the firm's reported financial figures, the balance sheet trajectory appears to be in a state of persistent decline, as the company struggles to generate sufficient internal capital to offset its negative operating margins and maintain a stable asset base for its catering operations.
The lack of capital accumulation suggests that the business model is currently unable to self-fund its growth or maintain its infrastructure. This trajectory implies that without a fundamental shift in operational efficiency, the balance sheet will likely continue to weaken as losses erode the remaining equity base.
According to the company's financial profile, the reliance on dormitory-based contracts may mask significant credit risks, as the firm's reported cash position suggests a potential mismatch between revenue recognition and actual cash collection, which could exacerbate the company's already strained liquidity and going-concern status.
The absence of detailed balance sheet data necessitates caution regarding the quality of accounts receivable, which may be tied to concentrated dormitory operators. If these receivables are slow to convert to cash, the company's actual liquidity position may be even more fragile than the headline cash balance implies.
Quick answers to the most common questions about buying PC stock.
As of 2024, Premium Catering (Holdings) Limited (PC) had total assets of $6.6M including $1.4M in current assets.
Premium Catering (Holdings) Limited (PC) carries total debt of $4.9M, offset by $0.0M in cash and short-term investments. Comparing total debt to cash helps evaluate the company's debt burden and net leverage.
Premium Catering (Holdings) Limited (PC) has total shareholders' equity (book value) of $-1.5M ($-0.09 book value per share). Book value represents the net worth of the company belonging to common stock holders.
Premium Catering (Holdings) Limited (PC) 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.