Growth Ratio Summary

Growth Score : 2.00

The company's growth ratios indicate substantial challenges. Negative growth rates across revenue, operating profit, EPS, assets, and net income raise concerns about the company's ability to sustain its operations and expand its business. While the IT industry can be volatile, addressing these growth issues is crucial for long-term survival and success.

Financial Ratio Summary

Financial Score : 4.00

The company's financial ratios present a mixed picture. While capital expenditures are well-managed, other metrics such as adjusted EPS, cash EPS, and book value per share indicate areas for improvement. The absence of dividends also impacts the overall financial performance. Enhancing these financial metrics is crucial for improving investor confidence and attracting capital.

Profitability Ratio Summary

Profitability Score : 9.20

The company exhibits strong profitability ratios. High gross profit margin, ROCE, ROE, ROA, operating margin, and net margin indicate efficient operations and effective management. This strong profitability provides a solid foundation for future growth and stability. The company's ability to generate profits from its operations is a significant strength.

Efficiency Ratio Summary

Efficiency Score : 4.67

The company demonstrates mixed results in its efficiency ratios. While receivable days are managed efficiently, other turnover ratios suggest areas for improvement. The company's ability to efficiently use its assets and manage its working capital is crucial for sustaining growth and profitability. Opportunities exist to optimize inventory and asset utilization to enhance overall operational efficiency.

Coverage Ratio Summary

Coverage Score : 2.00

The company's coverage ratios indicate challenges in meeting its interest and dividend obligations. The interest coverage ratio suggests limited ability to cover interest expenses, while the equity dividend coverage ratio indicates no coverage for equity dividends. Addressing these coverage issues is crucial for maintaining financial stability and investor confidence. This highlights a potential area of vulnerability that needs attention.

Solvency Ratio Summary

Solvency Score : 8.00

The company exhibits a strong solvency position, characterized by the absence of debt. This indicates a low risk of financial distress and a high level of financial stability. The absence of debt provides the company with flexibility in its financial strategies. This focus on equity financing can be both a strength and a limitation, requiring careful management of equity to fuel growth and maintain stability.

Liquidity Ratio Summary

Liquidity Score : 2.40

The company's liquidity position requires careful attention. While the current and quick ratios suggest potential challenges in meeting short-term obligations, the operating cash flow ratio offers some reassurance. The cash ratio is quite low. This indicates that the company may face difficulties in promptly paying off its current liabilities. A balanced approach to managing current assets and liabilities is essential to improve financial flexibility.