Eurotex Industries and Exports Ltd

Growth Ratio Summary

Growth Score : 1.00

While revenue growth is strong, other growth metrics, like operating profit, EPS, asset, and net income growth, are very poor. The high revenue growth is not translating into overall financial improvement. This raises concerns about the sustainability of growth and the company's ability to generate profits.

Financial Ratio Summary

Financial Score : 2.00

Financial ratios indicate poor earnings per share, negative book value, and minimal dividends. Capital expenditures is a relative strength. Overall financial performance is weak, with significant concerns about profitability and shareholder returns.

Profitability Ratio Summary

Profitability Score : 1.00

Profitability ratios are uniformly poor, with negative gross profit, ROCE, ROE, ROA, operating margin, and net margin. This indicates fundamental issues with the company's business model and cost structure. The company needs to address its profitability issues to ensure long-term sustainability.

Efficiency Ratio Summary

Efficiency Score : 2.00

Efficiency ratios reveal mixed performance. While receivables turnover is strong, indicating effective credit management, fixed asset and capital turnover are poor, suggesting inefficient asset utilization. Inventory management is average. Overall, there are inefficiencies in utilizing assets to generate revenue.

Coverage Ratio Summary

Coverage Score : 1.00

The coverage ratios are very weak, with a negative interest coverage ratio and a low equity dividend coverage ratio. This indicates difficulties in meeting interest obligations and providing returns to shareholders. The company's ability to service its debt is severely compromised, posing a high risk of default.

Solvency Ratio Summary

Solvency Score : 5.00

The company's solvency position shows a high level of reliance on equity. While the negative debt ratios might seem positive, they are due to negative equity, indicating financial distress. The debt to asset ratio indicates the proportion of assets funded by debt. The negative equity is a major concern, reflecting potential long-term financial instability.

Liquidity Ratio Summary

Liquidity Score : 1.00

The company's liquidity position is very weak. The current, quick, and cash ratios are all at minimal levels, indicating a struggle to meet short-term obligations. The negative operating cash flow ratio further exacerbates liquidity concerns. While a slight increase in the current ratio is noted by 2025, the overall trend suggests a very high risk of short-term financial distress. The company may face difficulties in paying its immediate liabilities.