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Strawbear Entertainment Group (HKSE:02125) Financial Strength : 6 (As of Jun. 2024)


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What is Strawbear Entertainment Group Financial Strength?

Strawbear Entertainment Group has the Financial Strength Rank of 6.

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.

Strawbear Entertainment Group's Interest Coverage for the quarter that ended in Jun. 2024 was 11.90. Strawbear Entertainment Group's debt to revenue ratio for the quarter that ended in Jun. 2024 was 0.18. As of today, Strawbear Entertainment Group's Altman Z-Score is 1.28.


Competitive Comparison of Strawbear Entertainment Group's Financial Strength

For the Entertainment subindustry, Strawbear Entertainment Group'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.


Strawbear Entertainment Group's Financial Strength Distribution in the Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Strawbear Entertainment Group's Financial Strength distribution charts can be found below:

* The bar in red indicates where Strawbear Entertainment Group's Financial Strength falls into.


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Strawbear Entertainment Group 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:

Strawbear Entertainment Group's Interest Expense for the months ended in Jun. 2024 was HK$-7 Mil. Its Operating Income for the months ended in Jun. 2024 was HK$87 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2024 was HK$4 Mil.

Strawbear Entertainment Group'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*87.17/-7.328
=11.90

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

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

Strawbear Entertainment Group'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
=(325.226 + 3.771) / 1823.55
=0.18

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.

Strawbear Entertainment Group has a Z-score of 1.28, indicating it is in Distress Zones. This implies bankrupcy possibility in the next two years.

Warning Sign:

Altman Z-score of 1.28 is in distress zone. This implies bankruptcy 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.


Strawbear Entertainment Group  (HKSE:02125) 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.

Strawbear Entertainment Group has the Financial Strength Rank of 6.


Strawbear Entertainment Group Financial Strength Related Terms

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


Strawbear Entertainment Group Business Description

Traded in Other Exchanges
N/A
Address
No. 98, Jiangdong Zhong Road, Room 2508, Building A, Wanda Plaza, Jianye District, Jiangsu, Nanjing, CHN
Strawbear Entertainment Group is one of the drama series producers and distributors in China, covering the investment, development, production, and distribution of TV series and web series. The revenue is mostly generated from licensing the broadcasting rights of self-produced drama series to TV channels, online video platforms, or third-party distributors; licensing the broadcasting rights of outright-purchased drama series from online video platforms or drama series producers to TV channels, third-party distributors or online video platforms; and production services for made-to-order drama series per online video platforms' orders. the company earns its revenue from mainland china.
Executives
Liu Xiaofeng 2307 Founder of a discretionary trust who can infl
Master Sagittarius Holding Limited 2305 Beneficiary of a trust
Vistra Trust (hong Kong) Limited 2301 Trustee
Success Tale Enterprises Limited 2201 Interest of corporation controlled by you
Iqiyi, Inc. 2201 Interest of corporation controlled by you
Gorgeous Horizon Limited 2101 Beneficial owner
Ma Sean 2201 Interest of corporation controlled by you
Snow Lake Management Lp 2102 Investment manager
Snow Lake Management Llc 2201 Interest of corporation controlled by you
Snow Lake Capital (hk) Limited 2102 Investment manager
Snow Lake China Offshore Fund, Ltd. 2201 Interest of corporation controlled by you
Snow Lake China Master Fund, Ltd. 2101 Beneficial owner
Vistra Trust (singapore) Pte. Limited
Li Yanhong 2201 Interest of corporation controlled by you
Baidu, Inc. 2201 Interest of corporation controlled by you

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