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Bothra Metals & Alloys (BOM:535279) Financial Strength : 4 (As of Sep. 2024)


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What is Bothra Metals & Alloys Financial Strength?

Bothra Metals & Alloys has the Financial Strength Rank of 4.

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is rated on a scale of 1 to 10 and 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.
4. Other debt related ratios.

A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.

Bothra Metals & Alloys's Interest Coverage for the quarter that ended in Sep. 2024 was 1.72. Bothra Metals & Alloys's debt to revenue ratio for the quarter that ended in Sep. 2024 was 0.91. As of today, Bothra Metals & Alloys's Altman Z-Score is 1.81.


Competitive Comparison of Bothra Metals & Alloys's Financial Strength

For the Aluminum subindustry, Bothra Metals & Alloys'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.


Bothra Metals & Alloys's Financial Strength Distribution in the Metals & Mining Industry

For the Metals & Mining industry and Basic Materials sector, Bothra Metals & Alloys's Financial Strength distribution charts can be found below:

* The bar in red indicates where Bothra Metals & Alloys's Financial Strength falls into.


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Bothra Metals & Alloys 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:

Bothra Metals & Alloys's Interest Expense for the months ended in Sep. 2024 was ₹-3.5 Mil. Its Operating Income for the months ended in Sep. 2024 was ₹6.1 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Sep. 2024 was ₹0.0 Mil.

Bothra Metals & Alloys's Interest Coverage for the quarter that ended in Sep. 2024 is

Interest Coverage=-1*Operating Income (Q: Sep. 2024 )/Interest Expense (Q: Sep. 2024 )
=-1*6.086/-3.544
=1.72

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

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

Bothra Metals & Alloys's Debt to Revenue Ratio for the quarter that ended in Sep. 2024 is

Debt to Revenue Ratio=Total Debt (Q: Sep. 2024 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(126.609 + 0) / 139.286
=0.91

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.

Bothra Metals & Alloys has a Z-score of 1.81, indicating it is in Grey Zones. This implies that Bothra Metals & Alloys 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 1.81 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.


Bothra Metals & Alloys  (BOM:535279) Financial Strength Explanation

The rank is rated on a scale of 1 to 10. A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.

Bothra Metals & Alloys has the Financial Strength Rank of 4.


Bothra Metals & Alloys Financial Strength Related Terms

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Bothra Metals & Alloys Business Description

Traded in Other Exchanges
N/A
Address
5 Assembly Lane, Dadi Seth Agyari Lane, Room No 15, Ground Floor, Bothra House, Kalbadevi, Mumbai, MH, IND, 400 002
Bothra Metals & Alloys Ltd is engaged in manufacturing of Aluminium Section and Ingots. The company is also into trading of all type of Non-Ferrous Metals. Its product offerings include Aluminium Billets, Aluminium Channels, Aluminum Ingot, Aluminium Profile, Aluminium Extrusions, and others.

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