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PT Tower Bersama Infrastructure Tbk (PT Tower Bersama Infrastructure Tbk) Financial Strength : 4 (As of Dec. 2023)


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What is PT Tower Bersama Infrastructure Tbk Financial Strength?

PT Tower Bersama Infrastructure Tbk has the Financial Strength Rank of 4.

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.

PT Tower Bersama Infrastructure Tbk's Interest Coverage for the quarter that ended in Dec. 2023 was 2.03. PT Tower Bersama Infrastructure Tbk's debt to revenue ratio for the quarter that ended in Dec. 2023 was 4.45. As of today, PT Tower Bersama Infrastructure Tbk's Altman Z-Score is 1.01.


Competitive Comparison of PT Tower Bersama Infrastructure Tbk's Financial Strength

For the Telecom Services subindustry, PT Tower Bersama Infrastructure Tbk'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.


PT Tower Bersama Infrastructure Tbk's Financial Strength Distribution in the Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, PT Tower Bersama Infrastructure Tbk's Financial Strength distribution charts can be found below:

* The bar in red indicates where PT Tower Bersama Infrastructure Tbk's Financial Strength falls into.



PT Tower Bersama Infrastructure Tbk 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:

PT Tower Bersama Infrastructure Tbk's Interest Expense for the months ended in Dec. 2023 was $-32.8 Mil. Its Operating Income for the months ended in Dec. 2023 was $66.7 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was $1,241.6 Mil.

PT Tower Bersama Infrastructure Tbk's Interest Coverage for the quarter that ended in Dec. 2023 is

Interest Coverage=-1*Operating Income (Q: Dec. 2023 )/Interest Expense (Q: Dec. 2023 )
=-1*66.732/-32.841
=2.03

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

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

PT Tower Bersama Infrastructure Tbk's Debt to Revenue Ratio for the quarter that ended in Dec. 2023 is

Debt to Revenue Ratio=Total Debt (Q: Dec. 2023 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(705.397 + 1241.59) / 437.936
=4.45

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.

PT Tower Bersama Infrastructure Tbk has a Z-score of 1.01, indicating it is in Distress Zones. This implies bankrupcy possibility in the next two years.

Warning Sign:

Altman Z-score of 1.01 is in distress zone. This implies bankruptcy possibility in the next two years.

* 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.


PT Tower Bersama Infrastructure Tbk  (OTCPK:PTFRF) 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.

PT Tower Bersama Infrastructure Tbk has the Financial Strength Rank of 4.


PT Tower Bersama Infrastructure Tbk Financial Strength Related Terms

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PT Tower Bersama Infrastructure Tbk (PT Tower Bersama Infrastructure Tbk) Business Description

Traded in Other Exchanges
Address
Jl. H.R Rasuna Said, Kawasan Rasuna Epicentrum, Jakarta Selatan, The Convergence Indonesia 11th Floor, Jakarta, IDN, 12940
PT Tower Bersama Infrastructure Tbk is a provider of coverage solutions. The firm's primary business is leasing space for antennas and other equipment for wireless signal transmission to telecommunication operators. PT Tower Bersama's other services include network planning, land acquisition and site licensing, infrastructure design and construction, network installation and project management, network expansion rollouts, and ongoing servicing. The Company also provides telecommunications operators with access to its Distributed Antennae System networks in shopping malls and office buildings in urban areas. A majority of the firm's revenue is generated in Indonesia.

PT Tower Bersama Infrastructure Tbk (PT Tower Bersama Infrastructure Tbk) Headlines

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