Growth Ratio Summary

Growth Score : 10.00

The company exhibits strong growth across all parameters. High growth rates in revenue, operating profit, earnings per share, assets, and net income reflect a dynamic and expanding business. This indicates effective strategies and market penetration. While high growth is generally positive, it also requires careful management of resources and scalability to sustain this momentum. Future growth prospects appear promising, given the consistent upward trend.

Financial Ratio Summary

Financial Score : 4.00

The company's financial ratios indicate a mixed performance. While capital expenditure is managed effectively, indicated by zero spending over the years, the adjusted and cash earnings per share, along with the book value per share, are relatively low. This suggests that the company has room to improve its profitability and shareholder value. The absence of dividends further impacts shareholder returns. Focusing on improving earnings and book value could enhance investor confidence.

Profitability Ratio Summary

Profitability Score : 10.00

The company exhibits excellent profitability. High gross profit margins, return on capital employed, return on equity, return on assets, operating margin, and net margin reflect efficient operations and effective financial management. This indicates a strong ability to generate profits from its resources. Maintaining these high profitability ratios is essential for long-term sustainability and growth. Market conditions and competitive pressures should be continuously monitored.

Efficiency Ratio Summary

Efficiency Score : 4.67

The company's efficiency ratios present a mixed picture. While the days sales in inventory and receivable days indicate efficient management of inventory and collections, the turnover ratios for fixed assets, inventory, receivables, and capital suggest underutilization of assets in generating revenue. This could indicate operational inefficiencies or excess capacity. The IT industry often relies on intellectual property rather than physical assets, which might explain the lower fixed asset turnover. Improving asset utilization could enhance profitability.

Coverage Ratio Summary

Coverage Score : 10.00

The company demonstrates excellent coverage ratios. The interest coverage ratio indicates a strong ability to meet its interest obligations, and the equity dividend coverage ratio shows a good capacity to cover dividend payments with equity. This suggests a stable and secure financial position. These ratios provide a buffer against economic downturns. Maintaining adequate coverage ratios is crucial for investor confidence.

Solvency Ratio Summary

Solvency Score : 10.00

The company exhibits excellent solvency. A debt ratio and debt-to-equity ratio of zero, combined with an equity ratio of 1.0, indicate that the company is entirely funded by equity and has no debt. This provides a strong financial foundation and reduces the risk of financial distress. A debt-to-asset ratio of zero further reinforces this financial stability. While this provides a cushion against market volatility, the company could explore leveraging debt to finance growth opportunities.

Liquidity Ratio Summary

Liquidity Score : 2.00

The company's liquidity position is weak. Near-zero current, quick, and cash ratios indicate a struggle to meet short-term obligations with current assets. This could pose risks in managing day-to-day operations and unexpected expenses. However, if the company has strong and reliable cash inflows that are not reflected in these ratios, it might be able to manage its liquidity effectively. The weighted average calculation emphasizes recent performance, so any future improvements in liquidity would be quickly reflected.