Generic Engineering Construction & Projects Ltd

Growth Ratio Summary

Growth Score : 2.00

The company's growth metrics are poor, with no growth in revenue, operating profit, earnings per share, assets, or net income. This indicates a stagnation in the company's performance and a lack of expansion opportunities. The weighted average calculation, emphasizing recent performance, highlights the need for strategic initiatives to drive growth.

Financial Ratio Summary

Financial Score : 4.00

The financial ratios suggest a mixed performance. While capital expenditures are well-managed, adjusted EPS, cash EPS, book value per share, and dividend per share are not up to the mark. This indicates a need for improvements in financial performance and shareholder value creation. The weighted average calculation, emphasizing recent performance, highlights the need for enhanced financial management.

Profitability Ratio Summary

Profitability Score : 9.40

The company's profitability ratios are very strong, with healthy gross profit margin, return on capital employed, return on equity, return on assets, operating margin, and net margin. This indicates that the company is efficiently managing its resources and generating profits for its shareholders. The weighted average calculation, emphasizing recent performance, confirms the company's excellent profitability.

Efficiency Ratio Summary

Efficiency Score : 3.67

The company's efficiency ratios is not up to the mark as the company is not generating revenues from its fixed assets efficiently. The inventory turnover and receivable turnover is also not up to the mark as the company is not able to convert its inventory to revenues. However, days sales in inventory is good as the company is able to convert its inventory in a short span of time. But the receivable days is high as the company is not able to collect the payments on time. The weighted average calculation, emphasizing recent performance, indicates the need for improvements in asset management.

Coverage Ratio Summary

Coverage Score : 3.20

The coverage ratios suggests that the company has enough interest coverage and equity dividend coverage. But the equity dividend coverage is low which is a point of concern as the company should be able to pay dividends to the share holders. The weighted average calculation, emphasizing recent performance, indicates a need for improved overall coverage ability.

Solvency Ratio Summary

Solvency Score : 9.50

The solvency position of the company is strong as the debt and debt to asset ratios are very low. This shows that the company has enough assets to cover its long term debts and liabilities. The company's equity ratio is also decent which shows that the company's assets are highly financed by equity rather than debt. The emphasis on recent performance in the weighted average calculation further confirms the company's improved solvency.

Liquidity Ratio Summary

Liquidity Score : 4.26

The company's liquidity suggests some challenges in meeting its short-term obligations. While the quick ratio provides some comfort, the low cash ratio and operating cash flow ratio indicate a reliance on current assets other than cash. This situation could pose risks if the company faces unexpected financial demands or market downturns. The weighted average calculation, emphasizing recent performance, highlights the need for improved cash management to ensure operational stability. On the positive side, the current ratio indicates that the company has enough assets to cover short term liabilities.