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BCPL Railway Infrastructure (BOM:542057) Financial Strength : 6 (As of Mar. 2024)


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What is BCPL Railway Infrastructure Financial Strength?

BCPL Railway Infrastructure has the Financial Strength Rank of 6.

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.

BCPL Railway Infrastructure's Interest Coverage for the quarter that ended in Mar. 2024 was 0.64. BCPL Railway Infrastructure's debt to revenue ratio for the quarter that ended in Mar. 2024 was 0.39. As of today, BCPL Railway Infrastructure's Altman Z-Score is 2.74.


Competitive Comparison of BCPL Railway Infrastructure's Financial Strength

For the Infrastructure Operations subindustry, BCPL Railway Infrastructure'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.


BCPL Railway Infrastructure's Financial Strength Distribution in the Construction Industry

For the Construction industry and Industrials sector, BCPL Railway Infrastructure's Financial Strength distribution charts can be found below:

* The bar in red indicates where BCPL Railway Infrastructure's Financial Strength falls into.



BCPL Railway Infrastructure 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:

BCPL Railway Infrastructure's Interest Expense for the months ended in Mar. 2024 was ₹-7.5 Mil. Its Operating Income for the months ended in Mar. 2024 was ₹4.8 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2024 was ₹215.6 Mil.

BCPL Railway Infrastructure's Interest Coverage for the quarter that ended in Mar. 2024 is

Interest Coverage=-1*Operating Income (Q: Mar. 2024 )/Interest Expense (Q: Mar. 2024 )
=-1*4.751/-7.479
=0.64

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

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

BCPL Railway Infrastructure'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
=(182.772 + 215.637) / 1034.688
=0.39

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.

BCPL Railway Infrastructure has a Z-score of 2.74, indicating it is in Grey Zones. This implies that BCPL Railway Infrastructure 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 2.74 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.


BCPL Railway Infrastructure  (BOM:542057) 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.

BCPL Railway Infrastructure has the Financial Strength Rank of 6.


BCPL Railway Infrastructure Financial Strength Related Terms

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BCPL Railway Infrastructure (BOM:542057) Business Description

Traded in Other Exchanges
N/A
Address
112, Raja Ram Mohan Roy Sarani, Ground Floor, Kolkata, WB, IND, 700 009
BCPL Railway Infrastructure Ltd is engaged in the field of Railway Infrastructure development, involving design, drawing, supply, erection, and commissioning of single-phase traction overhead equipment. The company is primarily engaged in Engineering, Procurement, and Construction business (EPC) relating to Railway Overhead Electrification projects and systems and related activities for power transmission, distribution. Its segment includes Railway Overhead Electrification and Merchant Exports. The company generates maximum revenue from the Railway Overhead Electrification segment.

BCPL Railway Infrastructure (BOM:542057) Headlines

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