Max Healthcare Institute Ltd

Growth Ratio Summary

Growth Score : 6.00

The growth of Max Healthcare shows a mixed performance. Revenue and Operating Profit growth rates are high, indicating strong market expansion and operational efficiency. However, EPS and Net Income Growth rates are low. Asset Growth Rate is also high, suggesting significant investments in assets. Overall, the company is growing in terms of revenue and assets, but needs to improve its net income and EPS.

Financial Ratio Summary

Financial Score : 4.40

The financial metrics of Max Healthcare presents a varied picture. Capital Expenditures is good. Cash EPS and DPS are weak, while Adjusted EPS and Book Value Per Share is also low. Overall, the company needs to improve its financial metrics related to earnings and shareholder value.

Profitability Ratio Summary

Profitability Score : 7.20

The profitability of Max Healthcare is a mixed bag. Gross Profit Margin, Return on Assets, and Operating Margin are strong. But Return on Equity and Net Margin are low. Overall, while the company is profitable at the operating level, it needs to improve its overall profitability and returns to equity holders.

Efficiency Ratio Summary

Efficiency Score : 4.67

The efficiency of Max Healthcare depicts a mixed scenario. The Days Sales in Inventory Ratio and Receivable Days are good. But other efficiency metrics like Fixed Asset Turnover Ratio, Inventory Turnover Ratio, Receivables Turnover Ratio, and Capital Turnover Ratio are low. This indicates the company is not generating enough revenue from its assets. The company should focus on using its assets more efficiently to increase revenue.

Coverage Ratio Summary

Coverage Score : 6.80

The Interest Coverage Ratio is high, indicating a strong ability to meet interest obligations. However, the Equity Dividend Coverage Ratio is low. This suggests the company may have difficulty in covering dividend payments with its equity. Overall, the company is able to cover its interest expenses but needs to improve its dividend coverage.

Solvency Ratio Summary

Solvency Score : 10.00

The company's solvency position is strong, with high equity ratio and low debt ratios. This suggests a solid capital structure and a conservative approach to financial leverage. The company relies more on equity than debt. This indicates financial stability and reduces the risk of financial distress.

Liquidity Ratio Summary

Liquidity Score : 2.00

The company's liquidity position appears weak as all the liquidity ratios such as current, quick, cash and operating cash flow are very low. This suggests potential difficulties in meeting short-term obligations. While a low liquidity ratio might indicate efficient cash management, it also raises concerns about the company's ability to handle unexpected financial demands. A cautious approach to managing current assets and liabilities is advisable.