Growth Ratio Summary

Growth Score : 4.80

The growth ratios reveal a mixed performance. While the company shows high revenue and asset growth, it faces negative trends in operating profit, EPS, and net income growth. The negative operating profit, EPS, and net income growth figures indicate significant challenges in maintaining profitability, potentially due to rising costs or declining sales margins. Despite asset expansion, the company's core profitability metrics are declining, suggesting underlying operational inefficiencies.

Financial Ratio Summary

Financial Score : 2.60

The financial ratios suggest potential areas of concern. The adjusted EPS and cash EPS are relatively low, indicating modest profitability per share. The book value per share is also low, reflecting the company's net asset value. The low dividend per share suggests limited returns to shareholders, while the high capital expenditures indicate significant investments, which may strain current earnings. Addressing these areas could improve the company's financial attractiveness.

Profitability Ratio Summary

Profitability Score : 9.60

The profitability ratios present a positive outlook. The gross profit margin is good, indicating efficient cost management. High ROCE and ROE values indicate strong returns on capital employed and equity, respectively. A decent ROA suggests effective asset utilization. The operating and net margins further confirm the company's ability to generate profit from its operations. These ratios together reflect Kriti Industries' robust profitability and efficient management practices.

Efficiency Ratio Summary

Efficiency Score : 5.67

The efficiency ratios present a mixed picture. While Kriti Industries demonstrates strong performance in receivables management, it struggles with fixed asset and capital turnover. The high receivable turnover and short receivable days indicate efficient collection of revenues, while the low fixed asset and capital turnover suggest underutilization of assets and capital. The high days sales in inventory points to potential issues with inventory management, indicating the need for improvement for better asset utilization.

Coverage Ratio Summary

Coverage Score : 6.40

The coverage ratios present a mixed view. The interest coverage ratio indicates some challenges in covering interest expenses with its earnings. However, the equity dividend coverage ratio suggests the company is in a good position to cover dividend payments with its equity. These ratios together suggests that while the company may face some difficulties in meeting its debt obligations, it can comfortably cover its dividend commitments to shareholders.

Solvency Ratio Summary

Solvency Score : 10.00

Kriti Industries exhibits very strong solvency. The company has a low debt ratio and debt-to-equity ratio, indicating a conservative approach to debt financing. A high equity ratio further confirms that the company relies more on equity than debt. Additionally, a low debt-to-asset ratio shows that a small portion of the company's assets are financed through debt. This suggests financial stability and a lower risk of financial distress.

Liquidity Ratio Summary

Liquidity Score : 3.58

The liquidity position indicates potential challenges in meeting short-term obligations. The current and quick ratios suggest some ability to cover immediate liabilities, the cash ratio reveals limited cash reserves, which could pose difficulties during financial stress. Although the operating cash flow ratio is a bit weak, it indicates the company's cash flow from operations is not enough to cover current liabilities. It reflects the company's reliance on other assets for liquidity.