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Circuit Research Labs (Circuit Research Labs) Financial Strength : 0 (As of Sep. 2008)


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What is Circuit Research Labs Financial Strength?

Circuit Research Labs 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.

GuruFocus does not calculate Circuit Research Labs's interest coverage with the available data. Circuit Research Labs's debt to revenue ratio for the quarter that ended in Sep. 2008 was 0.24. As of today, Circuit Research Labs's Altman Z-Score is 0.00.


Competitive Comparison of Circuit Research Labs's Financial Strength

For the Communication Equipment subindustry, Circuit Research Labs'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.


Circuit Research Labs's Financial Strength Distribution in the Hardware Industry

For the Hardware industry and Technology sector, Circuit Research Labs's Financial Strength distribution charts can be found below:

* The bar in red indicates where Circuit Research Labs's Financial Strength falls into.



Circuit Research Labs 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:

Circuit Research Labs's Interest Expense for the months ended in Sep. 2008 was $0.00 Mil. Its Operating Income for the months ended in Sep. 2008 was $0.18 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Sep. 2008 was $2.38 Mil.

Circuit Research Labs's Interest Coverage for the quarter that ended in Sep. 2008 is

GuruFocus does not calculate Circuit Research Labs's interest coverage with the available data.

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

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

Circuit Research Labs's Debt to Revenue Ratio for the quarter that ended in Sep. 2008 is

Debt to Revenue Ratio=Total Debt (Q: Sep. 2008 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(0.755 + 2.378) / 13.14
=0.24

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.

Circuit Research Labs 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.


Circuit Research Labs  (OTCPK:CRLI) 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.

Circuit Research Labs has the Financial Strength Rank of 0.


Circuit Research Labs Financial Strength Related Terms

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Circuit Research Labs (Circuit Research Labs) Business Description

Traded in Other Exchanges
N/A
Address
7970 S. Kyrene Road, Tempe, AZ, USA, 85282
Website
Circuit Research Labs Inc develops manufactures and markets electronic audio processing, transmission encoding and noise reduction equipment for the radio, television, cable, Internet and professional audio markets.

Circuit Research Labs (Circuit Research Labs) Headlines

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