Steico SE Stock

When diving into the financials of Steico, a player in the Homebuilding & Construction Supplies industry, a mixed picture emerges. On one hand, the company's overall financial health appears stable, marked by notable revenue generation and a positive net income. On the other hand, some elements raise eyebrows, particularly around growth and cash flow management. Let’s break down the pros and cons to better understand Steico's financial standing.

Solid Revenue and Income
Steico has demonstrated strong revenue figures, reporting total revenues of approximately €366.87 million for the last twelve months (TTM). This robust performance is bolstered by a healthy gross profit of €177.12 million, indicating efficient management of production and sales processes. The net income of €16.88 million (for 2023) translates into a commendable profit margin of about 7.54%, showcasing that the company can effectively convert sales into profit. The continued revenue growth of approximately 0.5% year-over-year indicates stability, even in a challenging economic landscape.

Return on Equity (ROE)
With a return on equity (ROE) of 8.75%, Steico demonstrates effective utilization of shareholder equity to generate profits. This is a positive indicator for investors, showing that the company is not just growing but doing so efficiently.