Narayana Hrudayalaya Ltd

Growth Ratio Summary

Growth Score : 6.00

The company's growth trajectory is inconsistent. While revenue and asset growth rates are strong, indicating business expansion, declines in EPS and net income growth raise concerns about profitability. This suggests that the company needs to focus on improving its bottom-line performance to sustain long-term growth.

Financial Ratio Summary

Financial Score : 3.80

The company's financial ratios present a mixed picture. Adjusted and cash earnings per share are relatively low, while book value per share is also a concern. Dividend per share is acceptable. High capital expenditures may indicate significant investments in growth initiatives. Overall, the company needs to improve its earnings and book value while managing its capital investments effectively.

Profitability Ratio Summary

Profitability Score : 10.00

The company demonstrates strong profitability. High gross profit, ROCE, ROE, ROA, operating margin, and net margin indicate efficient operations and effective management. This suggests that the company is generating substantial profits from its core business activities and effectively utilizing its capital and assets to generate returns.

Efficiency Ratio Summary

Efficiency Score : 7.00

The company demonstrates mixed efficiency. Inventory and receivables turnover ratios are strong, indicating efficient management of working capital. However, the fixed asset and capital turnover ratios are low, suggesting inefficient utilization of fixed assets and capital. This highlights the need for improved asset management to enhance operational efficiency.

Coverage Ratio Summary

Coverage Score : 10.00

The company exhibits strong coverage ratios. The interest coverage ratio indicates a comfortable ability to meet interest obligations, while the equity dividend coverage ratio suggests a strong capacity to cover dividend payments. This reflects a low risk of financial distress and a stable financial position.

Solvency Ratio Summary

Solvency Score : 8.40

The company's solvency position appears strong. The debt ratio and debt-to-equity ratio suggest a reasonable level of debt relative to assets and equity, respectively. The equity ratio indicates a healthy proportion of equity financing, while the debt-to-asset ratio reflects a low proportion of assets financed by debt. This indicates a stable capital structure and a low risk of financial distress.

Liquidity Ratio Summary

Liquidity Score : 6.18

The company's liquidity position shows a mixed performance. While the quick ratio indicates a good ability to meet short-term obligations with its most liquid assets, the current ratio suggests potential difficulties in covering current liabilities with current assets. The cash ratio reflects a moderate level of cash reserves, while the operating cash flow ratio indicates an adequate ability to cover current liabilities with operating cash flow. This suggests a need for improved working capital management.