Aggressive capital allocation toward inventory and receivables has constrained liquidity, leaving the firm with only $1.8 million in cash against $53 million in annual revenue.
| Metric | Dec'24 | Dec'23 | Dec'22 |
|---|
| Cash from Operations | 2.01M | 4.06M | 651.57K |
| Operating CF Margin % | 3.76% | 9.84% | 1.46% |
| Operating CF Growth % | -50.51% | 523.24% | - |
| Net Income | 6.48M | 5.57M | 4.37M |
| Depreciation & Amortization | 1.12M | 895.75K | 585.23K |
| Stock-Based Compensation | 0 | 0 | 0 |
| Deferred Taxes | -35.05K | -28.91K | -36.86K |
| Other Non-Cash Items | 0 | 0 | 300.04K |
| Working Capital Changes | -5.55M | -2.37M | -4.57M |
| Change in Receivables | -14.81M | -51.09K | -2.65M |
| Change in Inventory | 735.77K | 9.3M | -9.59M |
| Change in Payables | 5.37M | -8.57M | 1.64M |
| Cash from Investing | -11.54K | -3.84M | -2.38M |
| Capital Expenditures | -11.54K | -3.84M | -2.38M |
| CapEx % of Revenue | 0.02% | 9.29% | 5.35% |
| Acquisitions | 0 | 0 | 0 |
| Investments | - | - | - |
| Other Investing | 0 | 0 | 0 |
| Cash from Financing | -257.54K | -17.77K | 193.59K |
| Debt Issued (Net) | -1.28K | 0 | 0 |
| Equity Issued (Net) | 0 | 0 | 193.59K |
| Dividends Paid | 0 | 0 | 0 |
| Share Repurchases | 0 | 0 | 0 |
| Other Financing | -256.26K | -17.77K | 0 |
| Net Change in Cash | 1.71M | -88.12K | -1.67M |
| Free Cash Flow | 2M | 224.99K | -1.73M |
| FCF Margin % | 3.74% | 0.55% | -3.89% |
| FCF Growth % | 788.11% | 113.01% | - |
| FCF per Share | 0.04 | 0.00 | -0.03 |
| FCF Conversion (FCF/Net Income) | 0.31x | 0.73x | 0.15x |
| Interest Paid | 501 | 0 | 0 |
| Taxes Paid | 1.03K | 18.1K | 0 |
Liquidity and Working Capital
As reported in financial statements, YDDL maintains a cash balance of only $1.8 million against $53 million in annual revenue, suggesting that the firm's aggressive 29.54% growth trajectory is heavily consuming liquidity through inventory and receivables, which warrants close monitoring by investors concerned with operational cash flow.
The tight relationship between revenue and cash reserves implies that the company's capital is largely trapped in the conversion cycle of raw scrap to finished alloy ingots. This structure suggests that any delay in collections or a sudden spike in scrap procurement costs could rapidly deplete available cash, potentially forcing a reliance on parent company support.
Based on YDDL's reported figures, the firm's reliance on specialized furnace assets for metallurgical transformation necessitates ongoing capital expenditure, which appears to be funded primarily through internal cash flow rather than external debt, given the company's negligible 0.04% debt-to-equity ratio and limited cash reserves.
The necessity of maintaining smelting infrastructure in the Bulacan corridor suggests that a significant portion of operating cash flow is likely diverted toward maintenance and regulatory compliance. Investors should consider whether current cash generation is sufficient to cover both necessary equipment upgrades and the working capital requirements of a scaling industrial business.
According to recent company disclosures, management has prioritized aggressive top-line expansion over the accumulation of a cash buffer, leaving the firm with limited financial flexibility to navigate potential market downturns or idiosyncratic risks associated with its concentrated operational footprint in the Philippine industrial waste sector.
The absence of significant cash reserves suggests that capital allocation is entirely focused on throughput growth rather than balance sheet fortification. This strategy appears to leave the company vulnerable to sudden regulatory or environmental shocks that could require immediate, non-discretionary capital outlays.
As indicated by the company's operational model, the cash flow statement likely obscures the impact of commodity price volatility on inventory, as significant capital is tied up in raw scrap and finished goods that are subject to LME price fluctuations and potential future write-downs.
The reliance on spot-market pricing for both inputs and outputs suggests that the company's cash position is highly sensitive to the timing of inventory turnover. Investors should be wary that reported earnings may not fully reflect the cash-flow risks inherent in holding large volumes of metal inventory during periods of price instability.
Quick answers to the most common questions about buying YDDL stock.
One and one Green Technologies. Inc (YDDL) generated $2.0M in net cash from operating activities in 2024. This reflects the cash generated directly from core business operations.
One and one Green Technologies. Inc (YDDL) generated $2.0M in free cash flow in 2024. Free cash flow is the cash left over after capital expenditures, which can be used to pay dividends, repurchase shares, or pay down debt.
One and one Green Technologies. Inc (YDDL) spent $0.0M on capital expenditures in 2024. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.