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Karuturi Global (BOM:531687) Financial Strength : 0 (As of Dec. 2018)


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What is Karuturi Global Financial Strength?

Karuturi Global 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.

Karuturi Global's Interest Coverage for the quarter that ended in Dec. 2018 was 19.54. Karuturi Global's debt to revenue ratio for the quarter that ended in Dec. 2018 was 0.00. As of today, Karuturi Global's Altman Z-Score is 0.00.


Competitive Comparison of Karuturi Global's Financial Strength

For the Farm Products subindustry, Karuturi Global'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.


Karuturi Global's Financial Strength Distribution in the Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Karuturi Global's Financial Strength distribution charts can be found below:

* The bar in red indicates where Karuturi Global's Financial Strength falls into.



Karuturi Global 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:

Karuturi Global's Interest Expense for the months ended in Dec. 2018 was ₹-6 Mil. Its Operating Income for the months ended in Dec. 2018 was ₹125 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2018 was ₹0 Mil.

Karuturi Global's Interest Coverage for the quarter that ended in Dec. 2018 is

Interest Coverage=-1*Operating Income (Q: Dec. 2018 )/Interest Expense (Q: Dec. 2018 )
=-1*125.282/-6.412
=19.54

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

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

Karuturi Global's Debt to Revenue Ratio for the quarter that ended in Dec. 2018 is

Debt to Revenue Ratio=Total Debt (Q: Dec. 2018 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(0 + 0) / 2215.164
=0.00

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.

Karuturi Global has a Z-score of 0.00, indicating it is in Distress Zones. This implies bankrupcy 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.


Karuturi Global  (BOM:531687) 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.

Karuturi Global has the Financial Strength Rank of 0.


Karuturi Global Financial Strength Related Terms

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Karuturi Global (BOM:531687) Business Description

Traded in Other Exchanges
N/A
Address
11, Crescent Road, Number 204, Embassy Center, Bangalore, KA, IND, 560001
Karuturi Global Ltd is engaged in the manufacturing of flowers, plant and plant materials. The company is a producer and exporter of cut roses and has its operations in India, Ethiopia, Dubai, and Kenya. It is involved in the business of Floriculture, Agriculture, Food processing and Information technology (IT). The Floriculture products consist of cut flowers, pot plants, seeds bulbs, rooted cuttings and dried flowers. Its Agriculture business produces cereal crops like maize, corn, sugarcane, and oilseeds. The Food processing business specializes in gherkin processing such as bay valley foods, mount olive, vlassic, heinz, and lidl. The IT business offers customized e-commerce solutions to companies dealing with perishable goods and commodities, paper industries, and government agencies.

Karuturi Global (BOM:531687) Headlines

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