GURUFOCUS.COM » STOCK LIST » Utilities » Utilities - Regulated » Centuri Holdings Inc (NYSE:CTRI) » Definitions » Financial Strength

CTRI (Centuri Holdings) Financial Strength : 4 (As of Dec. 2024)


View and export this data going back to 2024. Start your Free Trial

What is Centuri Holdings Financial Strength?

Centuri Holdings 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.

Centuri Holdings's Interest Coverage for the quarter that ended in Dec. 2024 was 1.69. Centuri Holdings's debt to revenue ratio for the quarter that ended in Dec. 2024 was 0.35. As of today, Centuri Holdings's Altman Z-Score is 1.98.


Competitive Comparison of Centuri Holdings's Financial Strength

For the Utilities - Regulated Gas subindustry, Centuri Holdings'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.


Centuri Holdings's Financial Strength Distribution in the Utilities - Regulated Industry

For the Utilities - Regulated industry and Utilities sector, Centuri Holdings's Financial Strength distribution charts can be found below:

* The bar in red indicates where Centuri Holdings's Financial Strength falls into.



Centuri Holdings 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:

Centuri Holdings's Interest Expense for the months ended in Dec. 2024 was $-20 Mil. Its Operating Income for the months ended in Dec. 2024 was $34 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2024 was $951 Mil.

Centuri Holdings's Interest Coverage for the quarter that ended in Dec. 2024 is

Interest Coverage=-1*Operating Income (Q: Dec. 2024 )/Interest Expense (Q: Dec. 2024 )
=-1*33.659/-19.862
=1.69

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

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

Centuri Holdings's Debt to Revenue Ratio for the quarter that ended in Dec. 2024 is

Debt to Revenue Ratio=Total Debt (Q: Dec. 2024 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(58.044 + 950.611) / 2868.312
=0.35

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.

Centuri Holdings has a Z-score of 1.98, indicating it is in Grey Zones. This implies that Centuri Holdings 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 1.98 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.


Centuri Holdings  (NYSE:CTRI) 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.

Centuri Holdings has the Financial Strength Rank of 4.


Centuri Holdings Financial Strength Related Terms

Thank you for viewing the detailed overview of Centuri Holdings's Financial Strength provided by GuruFocus.com. Please click on the following links to see related term pages.


Centuri Holdings Business Description

Traded in Other Exchanges
N/A
Address
19820 North 7th Avenue, Suite 120, Phoenix, AZ, USA, 85027
Centuri Holdings Inc is a pure-play North American utility infrastructure services company that partners with regulated utilities to maintain, upgrade and expand the energy network that powers millions of homes and businesses. Its service offerings primarily consist of the modernization of utility infrastructure through the maintenance, retrofitting and installation of electric and natural gas distribution networks to meet current and future demands while also preparing systems for the transition to clean energy sources. They operate under two primary lines of business which includes Gas Utility Services and Electric Utility Services it is also their two reportable segments as well.