$Varex Imaging (VREX.US)$In the past 5 years, in addition to...
$Varex Imaging(VREX.US$In the past 5 years, in addition to the 5.4% contraction in 2020, revenue increased for 4 years, with an average growth rate of 4.2%. Operating profit declined sharply in 2018, fell into loss in 2020, and increased for the remaining 3 years, with an average growth rate of 1.1%. Net profit declined sharply from 2018 to 2020, growing rapidly to $31 million in the last two years.
The sharp decline in operating profit in 2018 and losses in 2020 were the result of higher costs and expenses.
Interest expenses accounted for 45% of operating profit in 2022, and the interest burden was extremely heavy.
The balance sheet shows that inventory increased by 78 million to 300 million in 2022. Revenue for the same period was only 860 million, and profit was only 31 million. The inventory ratio was too high, and profits were all in the increase in inventory.
Revenue increased 4.9% in the first two quarters of 2023, operating profit fell 30%, and net profit declined 20%.
The current price-earnings ratio of 30.5 times and the price-earnings ratio of 31.8 times TTM are unattractive.
Disclaimer: Community is offered by Moomoo Technologies Inc. and is for educational purposes only.
Read more
Comment
Sign in to post a comment
