Growth Ratio Summary

Growth Score : 6.00

The company shows strong growth in operating profit, EPS, and assets. The company's revenue and net income growth rate are low which is a point of concern. Overall the growth rate of the company is good.

Financial Ratio Summary

Financial Score : 4.80

The company's financial performance presents a mixed picture. Cash earnings per share are reasonable, and dividend per share is at an average level, suggesting some return to shareholders. However, adjusted EPS and book value per share are low, which could be a concern for investors. Capital expenditures appear to be well-managed. Overall the financial ratio is moderate.

Profitability Ratio Summary

Profitability Score : 4.80

The company has strong return on capital employed and return on assets but it lacks gross profit margin, return on equity, operating margin and net margin. If the company focuses on these metrics then the overall profitability can increase.

Efficiency Ratio Summary

Efficiency Score : 4.67

The score of efficiency ratio is low because of no fixed asset turnover, inventory turnover and receivable turnover. It is good that the company has good days sales in inventory and receivable days. The company needs to focus on its efficiency to improve the score.

Coverage Ratio Summary

Coverage Score : 6.80

The company's interest coverage is strong, indicating a solid ability to meet its interest obligations. However, the equity dividend coverage is low. The company's coverage ratio is good.

Solvency Ratio Summary

Solvency Score : 10.00

GNA Axles Ltd demonstrates a strong solvency position, primarily driven by a high equity ratio and negligible debt. This indicates a conservative capital structure. While a debt-free balance sheet reduces financial risk, it also means the company isn't leveraging debt for growth, which, if managed properly, can boost returns. The high equity ratio reflects substantial ownership and reduces vulnerability to economic downturns. The weighted average method considers the consistent equity ratio over the years, reinforcing this positive assessment.

Liquidity Ratio Summary

Liquidity Score : 2.00

The company's liquidity position needs improvement. The current, quick, and cash ratios indicate a limited ability to meet short-term obligations with liquid assets. While this might be a strategic decision to deploy cash elsewhere, it increases the company's vulnerability to unforeseen financial stress. A higher liquidity score would provide a greater safety margin. The weighted average calculation, which emphasizes recent data, reflects the consistent low liquidity ratios over the past few years.