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Drozapol-Profil (WAR:DPL) Financial Strength : 7 (As of Mar. 2024)


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What is Drozapol-Profil Financial Strength?

Drozapol-Profil has the Financial Strength Rank of 7.

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.

Drozapol-Profil has no long-term debt (1). Drozapol-Profil's debt to revenue ratio for the quarter that ended in Mar. 2024 was 0.01. As of today, Drozapol-Profil's Altman Z-Score is 2.29.

(1) Note: An indication of "no long-term debt" does not necessarily mean that the company has no long-term debt obligations; it could be due to missing data in the quarterly or annual report. Use caution when interpreting this information.


Competitive Comparison of Drozapol-Profil's Financial Strength

For the Industrial Distribution subindustry, Drozapol-Profil's Financial Strength, along with its competitors' market caps and Financial Strength data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Drozapol-Profil's Financial Strength Distribution in the Industrial Distribution Industry

For the Industrial Distribution industry and Industrials sector, Drozapol-Profil's Financial Strength distribution charts can be found below:

* The bar in red indicates where Drozapol-Profil's Financial Strength falls into.



Drozapol-Profil 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:

Drozapol-Profil's Interest Expense for the months ended in Mar. 2024 was zł0.00 Mil. Its Operating Income for the months ended in Mar. 2024 was zł-0.74 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2024 was zł0.00 Mil.

Drozapol-Profil's Interest Coverage for the quarter that ended in Mar. 2024 is

Drozapol-Profil had no long-term debt (1).

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

Good Sign:

Ben Graham prefers companies' interest coverage to be at least 5. Drozapol-Profil SA has enough cash to cover all of its debt. Its financial situation is stable.

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

Drozapol-Profil's Debt to Revenue Ratio for the quarter that ended in Mar. 2024 is

Debt to Revenue Ratio=Total Debt (Q: Mar. 2024 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(0.315 + 0) / 61.548
=0.01

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.

Drozapol-Profil has a Z-score of 2.29, indicating it is in Grey Zones. This implies that Drozapol-Profil is in some kind of financial stress. If it is below 1.81, the company may faces bankrupcy risk.

Warning Sign:

Altman Z-score of 2.29 is in the grey area. This implies that the company is under some kind of financial stress. If it is below 1.8, the company may face bankruptcy risk.

* 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.


Drozapol-Profil  (WAR:DPL) 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.

Drozapol-Profil has the Financial Strength Rank of 7.


Drozapol-Profil Financial Strength Related Terms

Thank you for viewing the detailed overview of Drozapol-Profil's Financial Strength provided by GuruFocus.com. Please click on the following links to see related term pages.


Drozapol-Profil (WAR:DPL) Business Description

Traded in Other Exchanges
N/A
Address
ul. Torunska 298a, Bydgoszcz, POL, 85-880
Drozapol-Profil SA is engaged in the distribution of steel products. The company deals in the sale of non-alloy steel product such as hot and cold rolled sheets, hot and cold rolled sections, round and flat bars and closed profiles and pipes. It also provides steel processing and a transportation service. The group is also involved in the construction of two wind farms with the capacity of 8 MW and 10 MW.

Drozapol-Profil (WAR:DPL) Headlines

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