Golden Tobacco Ltd

Growth Ratio Summary

Growth Score : 2.00

The growth ratio indicates a period of contraction and challenges in expanding operations. Declines in revenue, operating profit, EPS, assets, and net income signal potential issues with market competitiveness, operational efficiency, or strategic decision-making. Improving growth will require focused efforts to innovate, optimize operations, and capture market opportunities.

Financial Ratio Summary

Financial Score : 4.00

The financial ratios present a mixed picture. The company faces challenges related to adjusted EPS and book value per share, but demonstrates strength in managing capital expenditures. Improving EPS and book value will be crucial for enhancing shareholder value, while maintaining prudent capital expenditure practices is vital for sustainable growth.

Profitability Ratio Summary

Profitability Score : 5.60

The profitability ratio demonstrates strong gross and net profit margins, but is contrasted by negative returns on capital employed, equity and assets. While the company is effective at controlling costs and generating profits from sales, it struggles to translate these profits into returns on its investments. Improving ROCE, ROE, and ROA will be crucial for enhancing overall financial performance.

Efficiency Ratio Summary

Efficiency Score : 4.67

The efficiency ratio reflects the company's mixed performance in asset utilization. While days sales in inventory and receivable days appear strong, fixed asset, inventory, receivables, and capital turnover ratios suggest underutilization. Enhancing asset management practices could lead to improved operational performance and better resource allocation.

Coverage Ratio Summary

Coverage Score : 2.00

The coverage ratio reveals challenges in meeting its interest and dividend obligations. Insufficient interest coverage suggests difficulties in managing debt obligations, while inadequate equity dividend coverage raises concerns about rewarding shareholders. Improving these ratios will require a focus on enhancing profitability and prudent financial management.

Solvency Ratio Summary

Solvency Score : 8.00

The company's solvency position is mixed. Low debt ratios and high equity ratios suggest a strong financial structure with minimal debt reliance. The company's ability to meet long-term obligations is sound. However, reliance on equity and minimal debt may limit opportunities for leveraging finances to fuel growth and returns.

Liquidity Ratio Summary

Liquidity Score : 2.00

The liquidity position indicates potential difficulties in meeting its short-term obligations. While maintaining sufficient liquidity is critical for operational stability, the ratios suggest constraints in converting assets into cash to cover immediate liabilities. This could pose challenges in managing day-to-day expenses and unexpected financial demands.