Sathlokhar Synergys E&C Global Ltd

Growth Ratio Summary

Growth Score : 10.00

The company exhibits strong growth across all metrics. High revenue growth, operating profit growth, EPS growth, asset growth, and net income growth indicate a robust expansion and increasing profitability. This suggests the company is effectively capitalizing on market opportunities and creating value for its shareholders. Maintaining this growth trajectory will be crucial for long-term success.

Financial Ratio Summary

Financial Score : 4.20

The company's financial ratios indicate moderate performance. While capital expenditures are well-managed, the adjusted earnings per share, cash earnings per share, book value per share, and dividend per share are areas of concern. This suggests the company may need to improve its earnings, asset management, and shareholder returns. Addressing these issues could enhance the company's financial attractiveness.

Profitability Ratio Summary

Profitability Score : 10.00

The company exhibits strong profitability across all metrics. High gross profit margin, ROCE, ROE, ROA, operating margin, and net margin indicate efficient operations and effective cost management. This suggests the company is generating substantial profits from its core business activities and creating value for its shareholders. Maintaining this profitability will be crucial for long-term success.

Efficiency Ratio Summary

Efficiency Score : 5.33

The company's efficiency ratios present a mixed picture. While the fixed asset turnover ratio is strong, indicating efficient use of fixed assets, the inventory turnover ratio, days sales in inventory, receivable days, and capital turnover ratio are areas of concern. These suggest potential issues with inventory management, collection of receivables, and overall capital utilization. Addressing these inefficiencies could improve the company's operational performance.

Coverage Ratio Summary

Coverage Score : 6.80

The company's coverage ratios present a mixed view. While the interest coverage ratio is strong, indicating a good ability to meet interest obligations, the lack of equity dividend coverage is a concern. This suggests the company is not distributing dividends to its shareholders, which could affect investor sentiment. Balancing interest coverage with dividend payouts will be important for maintaining a positive relationship with investors.

Solvency Ratio Summary

Solvency Score : 10.00

The company's solvency position is very strong. The low debt ratio, debt-to-equity ratio, and debt-to-asset ratio, combined with a high equity ratio, indicate the company relies very little on debt financing. This suggests a financially stable and low-risk profile, making it more resilient to economic downturns. This is a significant advantage for long-term sustainability.

Liquidity Ratio Summary

Liquidity Score : 6.38

The company's liquidity position is mixed. While the current and quick ratios suggest an ability to meet short-term obligations, the low cash ratio and negative operating cash flow ratio are concerning. This indicates potential difficulties in generating cash from operations to cover immediate liabilities. The construction and engineering industry often faces challenges in managing cash flow due to project-based revenues and long payment cycles.