Growth Ratio Summary

Growth Score : 6.00

The company's growth metrics are inconsistent. Revenue and operating profit show good growth. EPS and net income are declining. Rapid revenue and operating profit growth indicate a strong market position, but declining profitability and earnings raise concerns about long-term sustainability. Focus should be on strategies to convert revenue growth into improved bottom-line results.

Financial Ratio Summary

Financial Score : 3.20

The company's financial metrics present a mixed picture. While the cash earnings per share is adequate, the adjusted earnings per share and book value per share are low. The dividend per share is also modest, and capital expenditures are moderate. While cash earnings provide some comfort, the company's overall financial performance indicates potential areas for improvement.

Profitability Ratio Summary

Profitability Score : 10.00

Worth Peripherals Ltd. demonstrates exceptional profitability across all key metrics. The company exhibits strong gross profit margins, high returns on capital employed, equity, and assets, as well as robust operating and net margins. This indicates efficient operations and effective management, resulting in high profitability and value creation. The company's consistent profitability enhances its financial stability and attractiveness to investors.

Efficiency Ratio Summary

Efficiency Score : 6.33

The company demonstrates mixed efficiency. Inventory management is strong, as indicated by the high inventory turnover and low days sales in inventory. However, the company has less effective fixed asset and capital turnover. While strong inventory practices optimize working capital, the underutilization of fixed assets and capital could limit overall operational effectiveness.

Coverage Ratio Summary

Coverage Score : 10.00

The company demonstrates exceptional coverage ratios, indicating a strong ability to meet its interest and dividend obligations. The company's high interest coverage ratio suggests it can easily handle its debt obligations, while the high equity dividend coverage ratio indicates it can comfortably cover dividend payments. This provides financial stability and reassurance to investors.

Solvency Ratio Summary

Solvency Score : 10.00

Worth Peripherals Ltd. exhibits exceptional solvency, indicating a very low risk of financial distress. The company maintains minimal debt relative to its equity and assets, reflecting a conservative capital structure. High equity ratio further supports the company's financial stability. This strong solvency position enables the company to pursue growth opportunities and withstand economic downturns effectively.

Liquidity Ratio Summary

Liquidity Score : 8.80

The company shows a very strong ability to meet its short-term obligations. High current, quick, and cash ratios indicate the company has ample liquid assets. However, the operating cash flow ratio is weak, suggesting potential issues with cash generation from operations. Maintaining high liquidity provides a buffer against unforeseen financial challenges, but improving operational cash flow would enhance overall financial stability.