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Henderson Far Eastome (CHIX:HFELL) Financial Strength : 5 (As of Feb. 2025)


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What is Henderson Far Eastome Financial Strength?

Henderson Far Eastome has the Financial Strength Rank of 5.

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.

GuruFocus does not calculate Henderson Far Eastome's interest coverage with the available data. Henderson Far Eastome's debt to revenue ratio for the quarter that ended in Feb. 2025 was 1.15. Altman Z-Score does not apply to banks and insurance companies.


Henderson Far Eastome 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:

Henderson Far Eastome's Interest Expense for the months ended in Feb. 2025 was £-0.54 Mil. Its Operating Income for the months ended in Feb. 2025 was £0.00 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Feb. 2025 was £23.83 Mil.

Henderson Far Eastome's Interest Coverage for the quarter that ended in Feb. 2025 is

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

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

Henderson Far Eastome's Debt to Revenue Ratio for the quarter that ended in Feb. 2025 is

Debt to Revenue Ratio=Total Debt (Q: Feb. 2025 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(0 + 23.826) / 20.718
=1.15

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.

Altman Z-Score does not apply to banks and insurance companies.

* 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.


Henderson Far Eastome  (CHIX:HFELl) 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.

Henderson Far Eastome has the Financial Strength Rank of 5.


Henderson Far Eastome Financial Strength Related Terms

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Henderson Far Eastome Business Description

Traded in Other Exchanges
Address
201 Bishopsgate, London, GBR, EC2M 3AE
Henderson Far East Income Ltd is a closed-end investment company. Its investment objective is to provide shareholders with a growing total annual dividend per share, as well as capital appreciation, from a diversified portfolio of investments from the Asia Pacific region. The company mainly invests in listed equities of companies that are either listed in, registered in, or whose principal business is in, the Asia Pacific region which includes Japan, the Indian subcontinent, and Australasia. It may also invest in unlisted securities which are expected to list, preference shares, fixed income securities, convertible securities, warrants, and collective investment schemes.