SRM Contractors Ltd

Growth Ratio Summary

Growth Score : 10.00

SRM Contractors Ltd. demonstrates excellent growth across all key metrics. The company has experienced significant revenue growth, operating profit growth, EPS growth, asset growth, and net income growth. This consistent growth performance indicates the company's ability to expand its operations and profitability effectively. This robust growth trajectory positions the company favorably for future success.

Financial Ratio Summary

Financial Score : 3.00

SRM Contractors Ltd.'s financial metrics present a mixed picture. Adjusted earnings per share and cash earnings per share are relatively low, suggesting that the company's profitability on a per-share basis needs improvement. Book value per share is also low, indicating limited equity value for each share outstanding. The company does not distribute dividends, and capital expenditures are high. These factors contribute to a less favorable assessment of the company's financial performance.

Profitability Ratio Summary

Profitability Score : 10.00

SRM Contractors Ltd. demonstrates excellent profitability across all key metrics. The company has strong gross profit margins, return on capital employed, return on equity, return on assets, operating margins, and net margins. This consistent profitability performance indicates the company's ability to generate profits effectively. This robust profitability positions the company favorably for future success.

Efficiency Ratio Summary

Efficiency Score : 8.00

SRM Contractors Ltd. shows good efficiency in managing its inventory and receivables, as indicated by high turnover ratios and relatively short receivable days. However, capital turnover is low, suggesting the company is not generating enough revenue from its capital investments. Fixed asset turnover is also not at its best. While the company is effectively managing some aspects of its operations, there is room to improve the efficiency of its capital utilization.

Coverage Ratio Summary

Coverage Score : 6.80

SRM Contractors Ltd.'s coverage ratios present a mixed picture. The interest coverage ratio is strong, indicating the company's ability to meet its interest obligations comfortably. However, the equity dividend coverage ratio is non-existent, as the company does not pay dividends. This suggests that while the company is financially stable enough to cover its debt obligations, it does not distribute profits to shareholders in the form of dividends.

Solvency Ratio Summary

Solvency Score : 10.00

SRM Contractors Ltd. exhibits excellent solvency. The debt and debt-to-equity ratios are low, indicating a conservative capital structure. The equity ratio is high, reflecting a strong equity base. The debt-to-asset ratio is also low, showing that the company has a small proportion of its assets financed by debt. This robust solvency position enhances the company's financial stability and reduces its vulnerability to financial distress.

Liquidity Ratio Summary

Liquidity Score : 7.88

SRM Contractors Ltd.'s liquidity position shows a mixed performance. The current and quick ratios indicate a good ability to meet short-term obligations. A strong cash ratio further supports this. However, the operating cash flow ratio is relatively low, suggesting that the company might face some difficulty in generating sufficient cash from its operations. This could be a point of concern as it impacts the company's ability to fund its short-term liabilities with cash generated from operations.