Equity Brief · Consumer Cyclical2026-09-01
ROCE.RO·Consumer Cyclical

ROMCARBON SA Buzau

I · AI Analysis

The brief

Romcarbon processes plastics into packaging materials (films, bags, big bags), automotive filters, polypropylene fabrics and straps, recycled polymers, insulation panels, and compostable bags for agricultural, construction, automotive, and food packaging applications [Yahoo Finance]. The company operates manufacturing facilities in Romania and sells across Europe, China, Israel, Taiwan, and Panama [Yahoo Finance].

Romcarbon is a Romanian plastics processor manufacturing packaging films, bags, automotive filters, insulation panels, and recycled polymers [Yahoo Finance]. The company reported first-half 2026 earnings in August [marketscreener.com] and was recently highlighted in a European penny stocks selection [Simply Wall St]. Trailing net income of RON 4.6M significantly exceeds operating income of RON 1.4M, indicating substantial non-operating gains that inflate reported profitability [Yahoo Finance].

Weak operating profit and high leverage overshadow reported earnings; free cash flow is deeply negative.

The brief AI analysisConfidence 6/10

Sentinellis health

Significant risks

2.4/10

7.5+ strong · 4.5–7.5 moderate · under 4.5 weak

Profitability

14% of score3.3/10
Net margin+1.9%· need > 5%Gross margin+45.5%

Returns on capital

14% of score0.0/10
ROIC+1.0%· need > 10%Return on equity+3.5%· need > 12%

Growth & momentum

19% of score5.0/10
Revenue growth-0.2%· need > +5% YoYOperating margin trend+5.6pp YoY

Balance sheet

29% of score1.7/10
Current ratio1.0x· need > 1.2xNet debt / EBITDA4.8x· need < 2.5xInterest coverage1.1x· need > 3.0xDebt / equity0.68

Cash generation

14% of score3.3/10
Free cash flowRON -12.7M· need positiveCash vs reported profitRON 5.5M vs RON 4.9M

Value creation

10% of score0.0/10
ROIC vs cost of capital-3.0pp· need ROIC above WACC

Sentinellis calculation from the published statements — not a score reported by any data source. Each category is scored on the checks that had data; missing inputs are excluded rather than counted as failures.

Market capitalisation

RON 110.9M

Revenue (TTM)

RON 253.3M

II · Recent news

What moved

3 stories · ranked by relevance

  • company2026-08-24

    S.C. Romcarbon Leads Our Selection Of 3 European Penny Stocks - simplywall.st

    Simply Wall St

  • company2026-08-21

    S.C. Romcarbon S.A. Reports Earnings Results for the Half Year Ended June 30, 2026 - marketscreener.com

    marketscreener.com

  • company2026-08-21

    Producătorul de ambalaje din material plastic Romcarbon a încheiat primul semestru din 2026 cu venituri de - Ziarul Financiar

    Ziarul Financiar

Premium · Free with any account

Operating margin improved 5.6 percentage points versus the prior-year quarter, but the latest quarter still posted a slightly negative operating margin (-0.3%), indicating the business has not yet achieved sustained operating profitability [Yahoo Finance]

1 of 5 risks in this report

Risks

5

Opportunities

4

Red flags

4

Leadership

4

12 more findings in the full report — free with any account.

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Produced 01 Sept 2026, 08:58 UTC

Figures come from company filings and market data. The Sentinellis health score and the wording attached to it are our interpretation of those figures, not numbers the company reported.

Not investment advice and not a recommendation to buy or sell. Sentinellis holds no positions in the companies it covers, takes no payment from issuers, and has no broker referral arrangements.

How every figure and score is calculated