Growth Ratio Summary

Growth Score : 8.00

The growth ratios present a mixed picture. The company has achieved high growth in revenue, operating profit, and earnings per share, indicating strong market performance and operational improvements. However, a significant decline in net income indicates underlying issues with profitability or increased expenses. While asset growth is positive, the substantial drop in net income raises concerns about the sustainability of overall growth. These conflicting trends suggest the need for a more detailed analysis of the factors affecting net income.

Financial Ratio Summary

Financial Score : 5.00

The financial ratios reflect some challenges in key areas. Low adjusted earnings per share and cash earnings per share indicate concerns about profitability and earnings quality. The book value per share suggests a moderate asset value relative to the number of shares outstanding. While the dividend per share is average, the capital expenditures reflect a solid investment in the company's future. This suggests a need for improved earnings and asset management.

Profitability Ratio Summary

Profitability Score : 8.30

The profitability ratios present a mixed performance. High returns on capital employed, equity, and assets indicate effective use of resources to generate profits. However, low gross and net profit margins suggest issues with cost management and pricing strategies. While operating margin is adequate, the overall profitability is constrained by the low margins. These trends suggest the need for a more detailed analysis of cost structures and revenue optimization.

Efficiency Ratio Summary

Efficiency Score : 10.00

The efficiency ratios indicate highly effective asset utilization. The company demonstrates exceptional turnover rates for fixed assets, inventory, and receivables, suggesting efficient operations and strong sales. Short days sales in inventory and receivable days further support this, reflecting quick conversion of inventory and receivables into cash. Efficient capital turnover also highlights effective use of overall capital. This indicates superior operational management and asset productivity.

Coverage Ratio Summary

Coverage Score : 5.60

The coverage ratios indicate mixed ability to meet financial obligations. While the interest coverage ratio is adequate, suggesting the company can meet its interest payments, the low equity dividend coverage ratio raises concerns about the sustainability of dividend payouts. This indicates potential strain on earnings or cash flow when covering equity dividends, affecting investor confidence. These trends suggest a need for improved earnings stability and cash flow management.

Solvency Ratio Summary

Solvency Score : 10.00

The solvency position is very strong, indicating a solid financial structure. The company has low debt levels relative to equity and assets, reflected in the low debt and debt-to-equity ratios. This suggests the company relies more on equity than debt to finance its operations, reducing financial risk. A high equity ratio further supports this, demonstrating a strong equity base. This indicates long-term financial stability.

Liquidity Ratio Summary

Liquidity Score : 3.58

The liquidity position suggests some challenges in meeting short-term obligations. While the current and quick ratios are slightly below ideal levels, the cash and operating cash flow ratios indicate potential difficulties in converting assets to cash quickly. This might affect the company's ability to handle immediate financial needs. However, it is important to consider industry-specific factors, such as typical payment terms and inventory turnover rates, which could influence these ratios.