Growth Ratio Summary

Growth Score : 6.80

Dalmia Bharat exhibits mixed growth performance. Strong revenue and asset growth indicate market expansion and investment in its asset base. However, declines in operating profit and net income growth raise concerns about profitability and cost management. This mixed performance suggests that while the company can grow its sales and assets, it faces challenges in maintaining profitability. A weighted average calculation was used to assess these ratios over the past five years, emphasizing recent performance.

Financial Ratio Summary

Financial Score : 8.00

Dalmia Bharat exhibits strong financial performance, reflected in its earnings per share and book value. High adjusted and cash EPS indicate strong profitability and cash generation capabilities. A substantial book value per share demonstrates a solid asset base. However, high capital expenditures may strain cash flows. The company's financial health is robust, but managing capital expenditures is crucial. A weighted average calculation was used to assess these ratios over the past five years, emphasizing recent performance.

Profitability Ratio Summary

Profitability Score : 9.80

Dalmia Bharat exhibits strong profitability, driven by healthy margins and returns. High gross profit, operating, and net margins indicate efficient cost management and pricing strategies. Solid ROCE, ROE, and ROA demonstrate effective use of capital and assets to generate profits. This strong profitability enhances the company's financial health and investment appeal. A weighted average calculation was used to assess these ratios over the past five years, emphasizing recent performance.

Efficiency Ratio Summary

Efficiency Score : 6.67

The company demonstrates mixed efficiency. Strong receivables management and inventory turnover suggest effective working capital management. However, low fixed asset and capital turnover ratios indicate underutilization of assets. This mixed performance means Dalmia Bharat effectively manages some aspects of its operations but could improve the efficiency of its asset base. A weighted average calculation was used to assess these ratios over the past five years, emphasizing recent performance.

Coverage Ratio Summary

Coverage Score : 8.80

Dalmia Bharat demonstrates strong coverage ratios, indicating a solid ability to meet its interest and dividend obligations. A high interest coverage ratio suggests the company can comfortably pay its interest expenses from its earnings. Similarly, a good equity dividend coverage ratio shows the company can sustain its dividend payments to shareholders. These strong coverage ratios enhance investor confidence and reflect financial stability. A weighted average calculation was used to assess these ratios over the past five years, emphasizing recent performance.

Solvency Ratio Summary

Solvency Score : 10.00

Dalmia Bharat demonstrates strong solvency, indicating a solid long-term financial position. Low debt and high equity ratios suggest the company relies more on equity than debt to finance its assets, resulting in lower financial risk. This financial prudence provides a buffer against economic downturns and supports long-term stability. The company's balanced approach to debt and equity ensures it can meet its long-term obligations comfortably. A weighted average calculation was used to assess these ratios over the past five years, emphasizing recent performance.

Liquidity Ratio Summary

Liquidity Score : 3.08

The company's liquidity position shows areas of concern. While the quick ratio and operating cash flow ratio suggest some ability to cover short-term liabilities, the low current and cash ratios indicate potential difficulties in meeting immediate obligations. This mixed performance means that while the company has some liquid assets, its overall short-term financial health requires attention to ensure it can comfortably handle its immediate liabilities. A weighted average calculation was used to assess these ratios over the past five years, emphasizing recent performance.