TMDE maintains a highly leveraged capital structure with a 4.17% debt-to-equity ratio, which may expose the firm to significant interest rate sensitivity and liquidity constraints.
| Metric | Dec'24 | Dec'23 | Dec'22 |
|---|
| Total Current Assets | 77.86M | 71.2M | 47.71M |
| Cash & Short-Term Investments | 16.07M | 4.83M | 11.27M |
| Cash Only | 16.07M | 4.83M | 11.27M |
| Short-Term Investments | 0 | 0 | 0 |
| Accounts Receivable | 44.22M | 42.25M | 20.15M |
| Days Sales Outstanding | 23.44 | 24.36 | 10.48 |
| Inventory | 9.67M | 15.81M | 10.27M |
| Days Inventory Outstanding | 5.25 | 9.29 | 5.44 |
| Other Current Assets | 1.84M | 581.54K | 0 |
| Total Non-Current Assets | 32.24M | 33.2M | 34.23M |
| Property, Plant & Equipment | 32.15M | 33.2M | 34.23M |
| Fixed Asset Turnover | 21.42x | 19.07x | 20.51x |
| Goodwill | 0 | 0 | 0 |
| Intangible Assets | 0 | 0 | 0 |
| Long-Term Investments | 88.91K | 4.34K | 0 |
| Other Non-Current Assets | 0 | 0 | 0 |
| Total Assets | 110.1M | 104.4M | 81.93M |
| Asset Turnover | 6.25x | 6.06x | 8.57x |
| Asset Growth % | 5.46% | 27.41% | - |
| Total Current Liabilities | 90.4M | 81.56M | 58.68M |
| Accounts Payable | 7.43M | 52.27M | 27.96M |
| Days Payables Outstanding | 4.03 | 30.72 | 14.81 |
| Short-Term Debt | 79.27M | 24.1M | 25.2M |
| Deferred Revenue (Current) | 0 | 69.86K | 72.78K |
| Other Current Liabilities | 787.5K | 2.91M | 3.05M |
| Current Ratio | 0.86x | 0.87x | 0.81x |
| Quick Ratio | 0.75x | 0.68x | 0.64x |
| Cash Conversion Cycle | 24.66 | 2.93 | 1.1 |
| Total Non-Current Liabilities | 568.44K | 620.18K | 3.21M |
| Long-Term Debt | 504.32K | 553.06K | 3.09M |
| Capital Lease Obligations | 64.12K | 67.12K | 25.34K |
| Deferred Tax Liabilities | 0 | 0 | 95.55K |
| Other Non-Current Liabilities | 0 | 0 | 0 |
| Total Liabilities | 90.96M | 82.18M | 61.89M |
| Total Debt | 79.86M | 24.76M | 28.35M |
| Net Debt | 63.79M | 19.93M | 17.08M |
| Debt / Equity | 4.17x | 1.11x | 1.41x |
| Debt / EBITDA | 7.41x | 3.60x | 3.78x |
| Net Debt / EBITDA | 5.92x | 2.90x | 2.28x |
| Interest Coverage | 1.76x | 2.69x | 2.62x |
| Total Equity | 19.13M | 22.21M | 20.04M |
| Equity Growth % | -13.85% | 10.83% | - |
| Book Value per Share | 0.83 | 0.96 | 0.87 |
| Total Shareholders' Equity | 17.88M | 17.45M | 16.11M |
| Common Stock | 2K | 2K | 2K |
| Retained Earnings | 12.58M | 7.34M | 5.34M |
| Treasury Stock | 0 | 0 | 0 |
| Accumulated OCI | 663.89K | 1.99M | -28.06K |
| Minority Interest | 1.25M | 4.77M | 3.93M |
High leverage, thin margins
As reported in financial statements, TMDE maintains a debt-to-equity ratio of 4.17%, which suggests a highly leveraged capital structure that leaves the company with minimal financial flexibility to absorb shocks within the volatile Southeast Asian maritime fuel supply market and broader regional trade corridors.
The reliance on significant debt to fund a 15-vessel fleet in a low-margin commodity business appears to create a precarious financial position. Investors should monitor whether this leverage is primarily utilized for working capital or long-term asset financing, as interest rate sensitivity may disproportionately impact net profitability.
Based on the company's operational profile, the ownership of a 15-vessel fleet represents a significant capital-intensive commitment that anchors TMDE's business model to physical maritime logistics rather than pure-play fuel brokerage, as indicated by the firm's strategic focus on regional bunkering infrastructure in Southeast Asia.
The concentration of assets in a physical fleet suggests that the company's balance sheet quality is heavily dependent on the residual value and maintenance status of these vessels. This asset-heavy approach may provide a competitive moat, but it also necessitates consistent capital expenditure that could strain liquidity if utilization rates decline.
According to recent corporate disclosures, the company's liquidity position remains a critical area of concern given the razor-thin 0.27% net margin, which suggests that any disruption in the working capital cycle could rapidly deplete available cash reserves needed for daily fuel procurement and vessel operations.
The firm's ability to manage the gap between fuel procurement costs and customer payments appears to be the primary driver of its liquidity risk. Without a substantial cash buffer, the company may be forced to rely on external financing, which could be costly given the existing high leverage.
As suggested by industry standards for bunkering operations, the reliance on trade finance facilities may obscure the true extent of the company's liabilities, potentially masking off-balance-sheet obligations that could impact the firm's actual solvency beyond what is reflected in the reported debt-to-equity figures.
The use of trade finance is common in this sector, but it warrants further investigation to determine if these arrangements are adequately captured in the reported leverage metrics. If these facilities are significant, the company's true financial risk profile may be more vulnerable than the headline numbers imply.
Quick answers to the most common questions about buying TMDE stock.
As of 2024, TMD Energy Limited (TMDE) had total assets of $110.1M including $77.9M in current assets.
TMD Energy Limited (TMDE) carries total debt of $79.9M, offset by $16.1M in cash and short-term investments. Comparing total debt to cash helps evaluate the company's debt burden and net leverage.
TMD Energy Limited (TMDE) has total shareholders' equity (book value) of $17.9M ($0.83 book value per share). Book value represents the net worth of the company belonging to common stock holders.
TMD Energy Limited (TMDE) reported a current ratio of 0.86x. A current ratio above 1.0x indicates that the company has more current assets than current liabilities, suggesting sufficient short-term liquidity.