The firm's financial stability is increasingly strained by persistent operating losses of -27.99%, which continue to erode the quality of its equity base.
| Metric | Dec'24 | Dec'23 |
|---|
| Total Current Assets | 2.68M | 2.08M |
| Cash & Short-Term Investments | 1.21M | 997.85K |
| Cash Only | 1.21M | 997.85K |
| Short-Term Investments | 0 | 0 |
| Accounts Receivable | 378.92K | 206.39K |
| Days Sales Outstanding | 44.55 | 26.16 |
| Inventory | 0 | 0 |
| Days Inventory Outstanding | - | - |
| Other Current Assets | 1.03M | 824.82K |
| Total Non-Current Assets | 148.62K | 316.62K |
| Property, Plant & Equipment | 91.22K | 58.88K |
| Fixed Asset Turnover | 34.03x | 48.90x |
| Goodwill | 0 | 0 |
| Intangible Assets | 0 | 0 |
| Long-Term Investments | 0 | 0 |
| Other Non-Current Assets | 57.4K | 257.73K |
| Total Assets | 2.83M | 2.4M |
| Asset Turnover | 1.10x | 1.20x |
| Asset Growth % | 18% | - |
| Total Current Liabilities | 1.29M | 1.48M |
| Accounts Payable | 0 | 47.69K |
| Days Payables Outstanding | - | 11.92 |
| Short-Term Debt | 151.71K | 0 |
| Deferred Revenue (Current) | 981.65K | 1.31M |
| Other Current Liabilities | 0 | 0 |
| Current Ratio | 2.08x | 1.41x |
| Quick Ratio | 2.08x | 1.41x |
| Cash Conversion Cycle | - | - |
| Total Non-Current Liabilities | 663.9K | 265.41K |
| Long-Term Debt | 608.42K | 0 |
| Capital Lease Obligations | 47.23K | 27.29K |
| Deferred Tax Liabilities | 0 | 0 |
| Other Non-Current Liabilities | 0 | 0 |
| Total Liabilities | 1.95M | 1.74M |
| Total Debt | 847.18K | 54.08K |
| Net Debt | -358.77K | -943.77K |
| Debt / Equity | 0.97x | 0.08x |
| Debt / EBITDA | - | - |
| Net Debt / EBITDA | - | - |
| Interest Coverage | -20.71x | - |
| Total Equity | 874.72K | 651.53K |
| Equity Growth % | 34.26% | - |
| Book Value per Share | - | 0.04 |
| Total Shareholders' Equity | 874.72K | 651.53K |
| Common Stock | 0 | 0 |
| Retained Earnings | -468.94K | 543.88K |
| Treasury Stock | 0 | 0 |
| Accumulated OCI | -7.88K | -2.16K |
| Minority Interest | 0 | 0 |
Insufficient liquidity and scale
As reported in financial statements, TCGL's balance sheet trajectory appears increasingly precarious, with persistent negative operating margins of -27.99% suggesting that the company is failing to build the necessary equity base to support its long-term viability within the competitive Southeast Asian fintech services market.
The lack of meaningful revenue growth, currently at 7.8%, indicates that the company is not achieving the scale required to turn its asset base into a self-sustaining engine. Investors should monitor whether the continued reliance on internal cash reserves to fund operating losses will lead to a rapid deterioration of the firm's net asset position.
Based on reported figures, TCGL maintains a cash position of $1.2 million, which appears insufficient to provide a meaningful buffer against the company's ongoing operational burn and the inherent volatility of its project-based revenue model in the regional financial services sector.
The company's liquidity profile suggests a high sensitivity to payment delays from clients, as the current cash balance provides limited room for error in managing working capital. This vulnerability warrants further investigation into the firm's ability to meet short-term obligations without seeking external financing.
According to recent financial disclosures, the quality of TCGL's equity appears strained by the accumulation of persistent operating losses, which may indicate that the company's book value is not being supported by profitable reinvestment or scalable intellectual property development.
The absence of retained earnings growth suggests that the company is struggling to generate value for shareholders through its core operations. This trend may necessitate future dilutive equity raises if the firm cannot pivot its business model toward a more profitable, product-led structure.
As indicated by the company's reliance on percentage-of-completion accounting, there is a significant risk that reported assets may be inflated by unbilled receivables that are subject to project milestone delays or potential disputes with regional banking clients.
The discrepancy between headline revenue and actual cash generation suggests that the balance sheet may be masking deeper liquidity issues related to the timing of project delivery. Analysts should scrutinize the quality of these contract assets, as they may not represent readily convertible cash in a stress scenario.
Quick answers to the most common questions about buying TCGL stock.
As of 2024, TechCreate Group Ltd. (TCGL) had total assets of $2.8M including $2.7M in current assets.
TechCreate Group Ltd. (TCGL) carries total debt of $0.8M, offset by $1.2M in cash and short-term investments. Comparing total debt to cash helps evaluate the company's debt burden and net leverage.
TechCreate Group Ltd. (TCGL) has total shareholders' equity (book value) of $0.9M. Book value represents the net worth of the company belonging to common stock holders.
TechCreate Group Ltd. (TCGL) reported a current ratio of 2.08x. A current ratio above 1.0x indicates that the company has more current assets than current liabilities, suggesting sufficient short-term liquidity.