Pavna Industries Ltd

Growth Ratio Summary

Growth Score : 6.00

The company's growth ratios present a mixed picture. Revenue and operating profit have shown good growth, but EPS and net income growth have declined. While asset growth is positive, the lack of consistent earnings growth raises concerns about the sustainability of overall growth. The company needs to improve its earnings.

Financial Ratio Summary

Financial Score : 2.40

The company's financial ratios indicate a weak performance overall. Key metrics such as adjusted EPS, cash EPS, and book value per share are low, suggesting limited profitability and shareholder value. Dividend per share is also low, and capital expenditures are high, indicating potential challenges in generating returns from investments. The company needs to improve its financials.

Profitability Ratio Summary

Profitability Score : 10.00

Pavna Industries demonstrates strong profitability. High gross profit margin, ROCE, ROE, and ROA indicate efficient use of capital and assets to generate profits. The operating and net margins further reinforce the company's ability to control costs and generate profits from its operations. The company is highly profitable.

Efficiency Ratio Summary

Efficiency Score : 4.00

The company's efficiency ratios indicate mixed performance. While the receivables turnover and receivable days are at an average level, the fixed asset and capital turnover ratios are low, suggesting inefficient use of assets. The high days sales in inventory ratio indicates challenges in managing inventory effectively. The company needs to work on its efficiency.

Coverage Ratio Summary

Coverage Score : 4.40

The company's coverage ratios show a mixed performance. While the interest coverage ratio indicates an average ability to meet interest expenses, the equity dividend coverage ratio is low, suggesting limited capacity to cover dividend payments to shareholders. The company needs to improve its dividend coverage.

Solvency Ratio Summary

Solvency Score : 10.00

Pavna Industries exhibits strong solvency. The low debt ratio and debt-to-equity ratio indicate a conservative capital structure with minimal reliance on debt financing. The high equity ratio further reinforces the company's financial stability and its ability to meet long-term obligations. The company has a good ratio of solvency.

Liquidity Ratio Summary

Liquidity Score : 4.08

The company's liquidity position is mixed. While the current ratio suggests an ability to cover short-term liabilities with short-term assets, the quick and cash ratios indicate challenges in meeting immediate obligations without relying on inventory. The negative operating cash flow ratios in some periods raise concerns about the company's ability to generate cash from its operations. This suggests a need for better working capital management.