Growth Ratio Summary

Growth Score : 2.80

The growth metrics present a mixed picture. While asset growth shows a positive trend, revenue, operating profit, and EPS growth are areas of concern. A decline in these metrics could impact investor confidence and long-term sustainability. The weighted average calculation, emphasizing recent performance, underscores the need for strategic adjustments to stimulate revenue and profit growth.

Financial Ratio Summary

Financial Score : 4.40

The financial ratios present a mixed view. The Adjusted Earnings Per Share is very negligible, indicating the company's profitability is very low. The Cash Earnings Per Share and Dividend Per Share is also low and it is not good for the company. The weighted average calculation reflects the company is struggling to maintain profitability.

Profitability Ratio Summary

Profitability Score : 4.00

The profitability ratios highlight a mixed performance. While the Return on Capital Employed (ROCE) is strong, the other ratios, such as Gross Profit Margin, Return on Equity (ROE), Return on Assets (ROA), Operating Margin and Net Margin are low. This suggests that while the company is efficient in using its capital, it struggles with overall profitability. The weighted average calculation shows that the company has to improve its profitability.

Efficiency Ratio Summary

Efficiency Score : 4.67

The efficiency ratios present a mixed view. While the Days Sales in Inventory and Receivable Days are well-managed, the turnover ratios for fixed assets, inventory, receivables, and capital are low. This may indicate underutilization of assets or inefficiencies in operations. The chemical industry often requires significant capital investment, so optimizing asset turnover is crucial. The weighted average calculation suggests that challenges in asset utilization have persisted over the assessed period.

Coverage Ratio Summary

Coverage Score : 4.40

The coverage ratios present a mixed view. The Interest Coverage Ratio indicates an average ability to meet interest obligations, while the Equity Dividend Coverage Ratio is low, suggesting limited coverage of dividends by equity. The weighted average calculation reflects that interest obligations are reasonably covered but dividend distributions may strain equity resources.

Solvency Ratio Summary

Solvency Score : 10.00

The solvency position is very strong. Minimal debt, a high equity ratio, and a low debt-to-asset ratio collectively reflect a stable financial structure. This enables financial flexibility and reduces vulnerability to economic downturns. The weighted average calculation indicates that the company has maintained this strong solvency position over the assessed period, providing a solid foundation for future growth and stability.

Liquidity Ratio Summary

Liquidity Score : 2.00

The liquidity position reveals challenges in meeting short-term obligations. Low current, quick, and cash ratios suggest an inability to cover immediate liabilities with current assets. While a conservative approach to cash management might be a factor, the company needs to ensure sufficient liquid assets for operational needs. The chemical industry often requires maintaining adequate liquidity due to fluctuating raw material costs and working capital requirements. The weighted average calculation indicates persistent low liquidity over the assessed period.