Sukhjit Starch & Chemicals Ltd

Growth Ratio Summary

Growth Score : 4.80

The company demonstrates mixed growth performance. While revenue and asset growth are positive, indicating expansion in sales and resources, declines in operating profit, EPS, and net income growth raise concerns about profitability sustainability. The weighted average calculation, which prioritizes recent data, highlights the need to address declining profitability and focus on sustainable growth strategies to ensure future success.

Financial Ratio Summary

Financial Score : 4.00

The company's financial ratios present a mixed picture. While dividend per share is average, indicating a moderate return to shareholders, adjusted EPS, cash EPS, and book value per share suggest areas for improvement in earnings and equity. Capital expenditures are low, which could indicate underinvestment in future growth. The weighted average calculation, which places more emphasis on recent data, indicates a need to focus on improving earnings and strategic investments.

Profitability Ratio Summary

Profitability Score : 10.00

The company exhibits excellent profitability, indicating efficient operations and strong earnings generation. The gross profit margin, ROCE, ROE, ROA, operating margin, and net margin all reflect robust performance. The weighted average calculation, which emphasizes recent data, reinforces the company's consistent ability to generate profits, making it an attractive investment.

Efficiency Ratio Summary

Efficiency Score : 6.00

The company demonstrates mixed efficiency. While receivables turnover and receivable days are strong, indicating efficient credit and collection practices, fixed asset and capital turnover ratios suggest room for improvement in asset utilization. Inventory turnover and days sales in inventory are average. The weighted average calculation, which gives more importance to recent data, underscores the need to focus on optimizing asset utilization to enhance overall efficiency.

Coverage Ratio Summary

Coverage Score : 8.80

The company exhibits strong coverage ratios, indicating a robust capacity to meet its interest and dividend obligations. This suggests a comfortable cushion for debt and equity holders, enhancing financial stability. The weighted average calculation, which emphasizes recent data, confirms the company's consistent ability to comfortably cover its financial obligations, making it an attractive investment.

Solvency Ratio Summary

Solvency Score : 10.00

The company exhibits excellent solvency, indicating a strong financial foundation and a low risk of financial distress. The debt and equity ratios reflect a balanced capital structure, with a healthy proportion of equity financing. This provides stability and flexibility. The weighted average calculation, which emphasizes recent data, confirms the company's consistent ability to manage its debt effectively, making it well-positioned for future growth and stability.

Liquidity Ratio Summary

Liquidity Score : 2.40

The company's liquidity position needs attention. While the operating cash flow ratio indicates some capacity to meet short-term obligations with operating cash, the current, quick, and cash ratios suggest potential difficulties in covering immediate liabilities. The FMCG industry often requires maintaining adequate liquidity to manage inventory and sales fluctuations. The weighted average calculation, emphasizing recent performance, underscores the need for improvement in managing current assets and liabilities to ensure smooth operations.