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Mettler-Toledo International (FRA:MTO) Financial Strength : 5 (As of Mar. 2025)


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What is Mettler-Toledo International Financial Strength?

Mettler-Toledo International 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.

Mettler-Toledo International's Interest Coverage for the quarter that ended in Mar. 2025 was 13.18. Mettler-Toledo International's debt to revenue ratio for the quarter that ended in Mar. 2025 was 0.59. As of today, Mettler-Toledo International's Altman Z-Score is 6.33.


Competitive Comparison of Mettler-Toledo International's Financial Strength

For the Diagnostics & Research subindustry, Mettler-Toledo International'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.


Mettler-Toledo International's Financial Strength Distribution in the Medical Diagnostics & Research Industry

For the Medical Diagnostics & Research industry and Healthcare sector, Mettler-Toledo International's Financial Strength distribution charts can be found below:

* The bar in red indicates where Mettler-Toledo International's Financial Strength falls into.


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Mettler-Toledo International 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:

Mettler-Toledo International's Interest Expense for the months ended in Mar. 2025 was €-15 Mil. Its Operating Income for the months ended in Mar. 2025 was €203 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2025 was €1,749 Mil.

Mettler-Toledo International's Interest Coverage for the quarter that ended in Mar. 2025 is

Interest Coverage=-1*Operating Income (Q: Mar. 2025 )/Interest Expense (Q: Mar. 2025 )
=-1*203.075/-15.404
=13.18

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

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

Mettler-Toledo International's Debt to Revenue Ratio for the quarter that ended in Mar. 2025 is

Debt to Revenue Ratio=Total Debt (Q: Mar. 2025 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(169.141 + 1749.397) / 3269.852
=0.59

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.

Mettler-Toledo International has a Z-score of 6.33, indicating it is in Safe Zones. This implies the Z-Score is strong.

Good Sign:

Altman Z-score of 6.33 is strong.

* 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.


Mettler-Toledo International  (FRA:MTO) 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.

Mettler-Toledo International has the Financial Strength Rank of 5.


Mettler-Toledo International Financial Strength Related Terms

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Mettler-Toledo International Business Description

Traded in Other Exchanges
Address
1900 Polaris Parkway, Columbus, OH, USA, 43240
Mettler-Toledo supplies weighing and precision instruments to customers in the life sciences (around 55% of sales), industrial (around 40%), and food retail (around 5%) industries. Its products include laboratory and retail scales, pipettes, pH meters, thermal analysis equipment, titrators, metal detectors, and X-ray analyzers. Mettler leads the market for weighing instrumentation and controls more than 50% of the market for lab balances. The business is geographically diversified, with the Americas accounting for about 37% of sales, Europe about 28%, China about 16% and the rest of the world about 19%.

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