Coherent Corp.
Supplier Financial Health Report
Overview
June 2024
USA
Incorporated Country
27,000
Number of Employees
A+
Credit Rating
1
Count of Funding Rounds
Five-Year Financial Trend Analysis for Coherent Corp.
CONSTANT
Credit Trend
1195.75%
Total Balance Sheet Growth Rate
822.87%
Total Debt Growth Rate
The company's cash position also saw a notable improvement, rising from $173.63M in 2015 to $833.33M in 2023, a 379.94% increase. However, the total debt and liabilities also increased significantly, with total debt rising from $467M in 2019 to $4.31B in 2023, a concerning 823% increase. The liabilities followed a similar trend, increasing from $820.56M in 2019 to $6.48B in 2023, a troubling 700% increase.
Despite these increases, Coherent Corp.'s credit rating remains strong, with an A+ rating, and its credit score is excellent at 94. The credit trend has been constant, which is a positive sign. The company has undergone one funding round, raising a substantial $4.1B.
The net income trend, however, showed a decrease from $65.98M in 2015 to -$259.46M in 2023, a concerning 493.27% change. This trend is not reflected in the EBITDA or net operating cash flow, which both showed significant increases. The free cash flow also increased from $41.35M in 2019 to $197.96M in 2023, a 379% increase.
Coherent Corp.'s revenue is diversified, with China being the largest foreign market, accounting for 10.95% of revenue in 2022. Japan, Canada, Germany, the United Kingdom, France, Italy, the Russian Federation, and India also contribute significant portions of the company's revenue.
In conclusion, Coherent Corp.'s financial health shows a robust revenue growth and a strong balance sheet, but the significant increases in debt and liabilities are concerning. The company's credit rating and score remain strong, and its credit trend is constant. The decrease in net income is a cause for concern, but the increases in EBITDA, net operating cash flow, and free cash flow suggest that the company is generating cash despite this trend. The company's diversified revenue stream is a positive sign, but the significant increases in debt and liabilities warrant close monitoring.
Financial Health Risk Assessment for Coherent Corp.
LOW
Credit Risk
LOW
Bankruptcy Risk
LOW
Financial Health Risk
Despite these increases, Coherent Corp.'s credit rating remains strong, with an A+ rating, and its credit score is excellent at 94. The company has also undergone one funding round, raising a substantial $4.1B. However, the net income trend showed a concerning decrease from $65.98M in 2015 to -$259.46M in 2023, a 493.27% change. This trend is not reflected in the EBITDA or net operating cash flow, which both showed significant increases. The free cash flow also increased from $41.35M in 2019 to $197.96M in 2023, a 379% increase.
Coherent Corp.'s revenue is diversified, with China being the largest foreign market, accounting for 10.95% of revenue in 2022. Japan, Canada, Germany, the United Kingdom, France, Italy, the Russian Federation, and India also contribute significant portions of the company's revenue.
The financial metrics provided suggest that Coherent Corp. is in a relatively strong financial position, with a current ratio of 3.01 and a low probability of bankruptcy based on the Altman Z-Score of 4.07. However, there are concerns about the company's profitability and efficiency, as indicated by negative profitability ratios and a low quick ratio. It is important for investors and stakeholders to closely monitor these trends and consider other factors, such as market conditions and competitive landscape, when evaluating the company's financial health.
Based on the financial details and ratio analysis provided, some areas of concern that require further investigation include the significant increases in debt and liabilities, the decrease in net income, and the negative profitability ratios. It is also important to address the missing financial health indicators, including profitability risk, liquidity risk, solvency risk, and operational efficiency risk, to gain a more complete understanding of Coherent Corp.'s financial situation.
List of UEIs for Coherent Corp.
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