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Non-Standard Finance (LSE:NSF) Financial Strength : 0 (As of Dec. 2022)


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What is Non-Standard Finance Financial Strength?

Non-Standard Finance has the Financial Strength Rank of 0.

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors:

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.
2. Debt to revenue ratio. The lower, the better.
3. Altman Z-Score.

GuruFocus does not calculate Non-Standard Finance's interest coverage with the available data. Non-Standard Finance's debt to revenue ratio for the quarter that ended in Dec. 2022 was 4.88. Altman Z-Score does not apply to banks and insurance companies.


Non-Standard Finance Financial Strength Calculation

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

Non-Standard Finance's Interest Expense for the months ended in Dec. 2022 was £-14.91 Mil. Its Operating Income for the months ended in Dec. 2022 was £0.00 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2022 was £262.46 Mil.

Non-Standard Finance's Interest Coverage for the quarter that ended in Dec. 2022 is

The higher the ratio, the stronger the company's financial strength is.

2. Debt to revenue ratio. The lower, the better.

Non-Standard Finance's Debt to Revenue Ratio for the quarter that ended in Dec. 2022 is

Debt to Revenue Ratio=Total Debt (Q: Dec. 2022 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(0 + 262.46) / 53.766
=4.88

3. Altman Z-Score.

Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.

The zones of discrimination were as such:

When Z-Score is less than 1.81, it is in Distress Zones.
When Z-Score is greater than 2.99, it is in Safe Zones.
When Z-Score is between 1.81 and 2.99, it is in Grey Zones.

Altman Z-Score does not apply to banks and insurance companies.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Non-Standard Finance  (LSE:NSF) Financial Strength Explanation

The maximum rank is 10. Companies with rank 7 or higher will be unlikely to fall into distressed situations. Companies with rank of 3 or less are likely in financial distress.

Non-Standard Finance has the Financial Strength Rank of 0.


Non-Standard Finance Financial Strength Related Terms

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Non-Standard Finance (LSE:NSF) Business Description

Traded in Other Exchanges
N/A
Address
The Bothy, The Nostell Estate Yard The Nostell Estate, Nostell, Wakefield, West Yorkshire, GBR, WF4 1AB
Non-Standard Finance PLC is a consumer finance provider based in the United Kingdom. Its core business is the provision of consumer finance through loans and other credit facilities throughout the country. Its business is structured in four segments, namely, Branch-based lending (Everyday Loans); Guarantor loans (TrustTwo and George Banco); Home credit (Loans at Home); and Central (head office activities). The company has a Home Credit Division, which trades as Loans at Home. The company's subsidiary Trust Two focuses on guaranteed loans in the non-standard finance sector. Everyday Loans provides unsecured consumer loans, primarily on a face-to-face basis, through its network of branches across the country.