Growth Ratio Summary

Growth Score : 10.00

Ramco Industries showcases robust growth across various metrics. The company has demonstrated strong revenue, operating profit, EPS, asset, and net income growth. These consistent growth rates reflect the company's ability to expand its market presence, improve profitability, and enhance shareholder value. The company's growth trajectory is a positive indicator of its long-term potential and competitive positioning within the construction and engineering industry.

Financial Ratio Summary

Financial Score : 7.80

Ramco Industries showcases a solid financial performance, with strong cash and book value per share. While the adjusted EPS reflects good profitability, the low dividend per share suggests a conservative dividend policy. The company's capital expenditures are well-managed. While there are strengths, there is room to improve dividend payouts to better align with earnings.

Profitability Ratio Summary

Profitability Score : 9.40

Ramco Industries exhibits strong profitability, driven by healthy gross and operating margins, as well as solid returns on capital and equity. While the return on assets is adequate, there is room for improvement. Overall, the company's profitability reflects effective cost management, efficient operations, and a strong competitive position within the construction and engineering industry.

Efficiency Ratio Summary

Efficiency Score : 4.67

Ramco Industries shows mixed efficiency. While receivables management is excellent, as reflected in the high Receivables Turnover Ratio and low Receivable Days, inventory management and asset utilization are areas of concern. The low Fixed Asset Turnover and Capital Turnover Ratios, coupled with the high Days Sales in Inventory, suggest potential inefficiencies in these areas. Improving inventory turnover and asset utilization could significantly enhance the company's operational performance.

Coverage Ratio Summary

Coverage Score : 10.00

Ramco Industries demonstrates excellent coverage ratios, indicating a strong ability to meet its interest and dividend obligations. The high Interest Coverage Ratio suggests that the company can comfortably cover its interest expenses with its earnings. The high Equity Dividend Coverage Ratio indicates a comfortable margin to cover dividend payments to shareholders. These strong coverage ratios reflect financial stability and prudent financial management.

Solvency Ratio Summary

Solvency Score : 10.00

Ramco Industries exhibits exceptional solvency, characterized by minimal debt levels and a strong equity base. This indicates a very low risk of financial distress and a robust capacity to meet its long-term obligations. The company's conservative capital structure provides a solid foundation for sustainable growth and resilience to economic downturns. This financial prudence positions the company favorably within the construction and engineering sector.

Liquidity Ratio Summary

Liquidity Score : 6.88

The liquidity position of Ramco Industries shows a mixed outlook. While the current ratio indicates a strong ability to meet short-term obligations, the lower quick and cash ratios suggest a heavier reliance on inventory. The company's operating cash flow ratio is notably weak, indicating challenges in generating cash from its core operations. While the current ratio is good, the need to monitor and improve cash generation should be a priority to ensure financial stability.