Growth Ratio Summary

Growth Score : 2.00

Khaitan (India) Ltd shows poor growth performance. This suggests a decline in key growth metrics, potentially impacting its long-term sustainability. The company may need to re-evaluate its strategies to identify new opportunities and improve its competitive position. A lack of growth can deter investors and limit the company's ability to expand and innovate.

Financial Ratio Summary

Financial Score : 3.60

Khaitan (India) Ltd has mixed financial performance. The company's capital expenditures are well-managed. However, there are shortcomings in its adjusted and cash earnings per share, book value per share, and dividend per share. Addressing these areas could enhance its overall financial health and attractiveness to investors.

Profitability Ratio Summary

Profitability Score : 2.00

Khaitan (India) Ltd demonstrates poor profitability. This suggests that the company is struggling to generate profits from its operations. Factors may include high costs, low sales volume, or intense competition. The company may need to improve its pricing strategies, reduce expenses, and enhance operational efficiency to boost profitability and ensure long-term sustainability.

Efficiency Ratio Summary

Efficiency Score : 4.67

The efficiency of Khaitan (India) Ltd presents a mixed picture. This suggests that while the company excels in inventory and receivable management, it struggles with asset turnover. Efficient inventory and receivable handling can free up cash and reduce operational costs. Addressing the shortcomings in asset turnover could further enhance the company's overall operational effectiveness and profitability.

Coverage Ratio Summary

Coverage Score : 2.00

Khaitan (India) Ltd shows weak coverage ratios, suggesting a limited ability to meet its interest and dividend obligations. This may lead to increased financial risk and reduced investor confidence. The company may need to improve its earnings and cash flow to strengthen its coverage ratios and ensure financial stability. This situation warrants a closer look at its debt structure and dividend policies.

Solvency Ratio Summary

Solvency Score : 8.00

Khaitan (India) Ltd demonstrates a strong solvency position. This means the company has a healthy balance between debt and equity. This financial stability allows the company to manage its obligations effectively and provides a buffer against financial downturns. A strong solvency position indicates prudent financial management and reduces the risk of financial distress, contributing to long-term sustainability and investor confidence.

Liquidity Ratio Summary

Liquidity Score : 2.00

The liquidity position of Khaitan (India) Ltd appears weak. This suggests potential difficulties in meeting its immediate financial obligations. While the company may have some assets, their ability to convert them quickly into cash is questionable. A low liquidity ratio can restrict the company's operational flexibility and make it vulnerable to financial stress, especially if revenues decline or unexpected expenses arise. This situation necessitates a closer evaluation of current asset management and strategies to improve short-term solvency.