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Jinmao Property Services Co (FRA:TZ0) Financial Strength : 8 (As of Jun. 2024)


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What is Jinmao Property Services Co Financial Strength?

Jinmao Property Services Co has the Financial Strength Rank of 8. It shows strong financial strength and is unlikely to fall into distressed situations.

Good Sign:

Jinmao Property Services Co Ltd shows strong financial strength.

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.

Jinmao Property Services Co's Interest Coverage for the quarter that ended in Jun. 2024 was 65.59. Jinmao Property Services Co's debt to revenue ratio for the quarter that ended in Jun. 2024 was 0.06. As of today, Jinmao Property Services Co's Altman Z-Score is 2.43.


Competitive Comparison of Jinmao Property Services Co's Financial Strength

For the Real Estate Services subindustry, Jinmao Property Services Co'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.


Jinmao Property Services Co's Financial Strength Distribution in the Real Estate Industry

For the Real Estate industry and Real Estate sector, Jinmao Property Services Co's Financial Strength distribution charts can be found below:

* The bar in red indicates where Jinmao Property Services Co's Financial Strength falls into.



Jinmao Property Services Co 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:

Jinmao Property Services Co's Interest Expense for the months ended in Jun. 2024 was €-0.5 Mil. Its Operating Income for the months ended in Jun. 2024 was €34.0 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2024 was €16.9 Mil.

Jinmao Property Services Co's Interest Coverage for the quarter that ended in Jun. 2024 is

Interest Coverage=-1*Operating Income (Q: Jun. 2024 )/Interest Expense (Q: Jun. 2024 )
=-1*33.975/-0.518
=65.59

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

Good Sign:

Ben Graham prefers companies' interest coverage to be at least 5. Jinmao Property Services Co Ltd has enough cash to cover all of its debt. Its financial situation is stable.

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

Jinmao Property Services Co's Debt to Revenue Ratio for the quarter that ended in Jun. 2024 is

Debt to Revenue Ratio=Total Debt (Q: Jun. 2024 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(4.938 + 16.872) / 381.954
=0.06

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.

Jinmao Property Services Co has a Z-score of 2.43, indicating it is in Grey Zones. This implies that Jinmao Property Services Co 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 2.43 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.


Jinmao Property Services Co  (FRA:TZ0) 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.

Jinmao Property Services Co has the Financial Strength Rank of 8. It shows strong financial strength and is unlikely to fall into distressed situations.


Jinmao Property Services Co Financial Strength Related Terms

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Jinmao Property Services Co Business Description

Traded in Other Exchanges
Address
Unit 2, Xitieying Middle Avenue, 6th Floor, YouAn International Tower, Fengtai, Beijing, CHN
Jinmao Property Services Co Ltd is a fast growing property management company in China, and a city operation service provider, managing a diversified property portfolio covering both residential properties and non-residential services.

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