KBRLF (K-Bro Linen) Financial Strength: 5 (As of Mar. 2026) — Near Median

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Director of Data and Quant Analytics at GuruFocus
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KBRLF K-Bro Linen Inc KBRLF
90 GF Score
Price $30.45
GF Value $34.38
Valuation Modestly Undervalued
! 8 Warning Signs
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What is K-Bro Linen Financial Strength?

K-Bro Linen KBRLF 90 Financial Strength is 5 as of Mar. 2026, which is at its 10-year median of 5.00. GuruFocus rates KBRLF with a GF Score™ of 90/100 and a GF Value™ of $34.38 (Modestly Undervalued). The stock has 8 warning signs investors should review.

K-Bro Linen 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.

K-Bro Linen's Interest Coverage for the quarter that ended in Mar. 2026 was 1.57. K-Bro Linen's debt to revenue ratio for the quarter that ended in Mar. 2026 was 0.57. As of today, K-Bro Linen's Altman Z-Score is 1.99.


K-Bro Linen  (OTCPK:KBRLF) 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.

K-Bro Linen has the Financial Strength Rank of 5.


K-Bro Linen Financial Strength Related Terms


KBRLF vs CTAS, CPRT, GPN: Financial Strength Comparison

For the Specialty Business Services subindustry, K-Bro Linen'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.


K-Bro Linen Financial Strength vs Business Services Industry

For the Business Services industry and Industrials sector, K-Bro Linen's Financial Strength distribution charts can be found below:

* The bar in red indicates where K-Bro Linen's Financial Strength falls into.


KBRLF
90GF Score
K-Bro Linen Inc KBRLF
Financial Strength is just one metric. See GF Score™, valuation, warning signs, and more.
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K-Bro Linen 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:

K-Bro Linen's Interest Expense for the months ended in Mar. 2026 was $-3.2 Mil. Its Operating Income for the months ended in Mar. 2026 was $5.1 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2026 was $209.9 Mil.

K-Bro Linen's Interest Coverage for the quarter that ended in Mar. 2026 is

Interest Coverage=-1*Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*5.077/-3.234
=1.57

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

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

K-Bro Linen's Debt to Revenue Ratio for the quarter that ended in Mar. 2026 is

Debt to Revenue Ratio=Total Debt (Q: Mar. 2026 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(20.368 + 209.926) / 405.564
=0.57

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.

K-Bro Linen has a Z-score of 1.99, indicating it is in Grey Zones. This implies that K-Bro Linen 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 1.99 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.

Frequently Asked Questions Learn more about Financial Strength →
What does a Financial Strength of 5 mean?
K-Bro Linen (KBRLF) has a Financial Strength of 5 as of Mar. 2026. The financial strength rank measures the strength of a company's balance sheet based on revenue and debt. View historical data on K-Bro Linen and its competitors. This is near median its historical median of 5.00. Over the past decade, K-Bro Linen's Financial Strength has ranged from 4.00 to 10.00.
Is K-Bro Linen's Financial Strength too high?
K-Bro Linen's current Financial Strength of 5 is near median its 10-year median of 5.00. Over the past 10 years, this metric has ranged from a low of 4.00 to a high of 10.00. Overall, K-Bro Linen has a GF Score™ of 90/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does K-Bro Linen's Financial Strength compare to CTAS and CPRT?
K-Bro Linen's Financial Strength of 5 can be compared against companies in the Business Services industry. Historically, K-Bro Linen's own Financial Strength has ranged from 4.00 to 10.00 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Financial Strength for a Business Services company?
A good Financial Strength depends on the Business Services industry context. However, Financial Strength should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Financial Strength mean?
A high Financial Strength can signal that a stock is expensive relative to its fundamentals. The financial strength rank measures the strength of a company's balance sheet based on revenue and debt. View historical data on K-Bro Linen and its competitors. K-Bro Linen's current Financial Strength is 5, which is near median its own 10-year median of 5.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is K-Bro Linen stock overvalued right now?
Based on GuruFocus' analysis, K-Bro Linen (KBRLF) is currently considered Modestly Undervalued. The stock's GF Value™ is $34.38, compared to a current price of $30.45 — trading 11.4% below its estimated fair value. The current Financial Strength is 5, which is near median its 10-year median of 5.00. K-Bro Linen's overall GF Score™ is 90/100 with 8 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Financial Strength calculated?
Financial Strength is calculated from a company's financial statements. For K-Bro Linen (KBRLF), the current Financial Strength is 5 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is K-Bro Linen (KBRLF) Overvalued in 2026?

Based on GuruFocus' analysis, K-Bro Linen stock appears to be undervalued. The current stock price of $30.45 is trading 11.4% below its estimated GF Value™ of $34.38. GuruFocus considers K-Bro Linen to be Modestly Undervalued.

Key valuation signals for KBRLF:

  • Financial Strength: 5 (near median its 10-year median of 5.00)
  • GF Value™: $34.38 vs. price of $30.45 (11.4% below fair value)
  • GF Score™: 90/100 with 8 warning signs

No single metric tells the full story. See the KBRLF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


K-Bro Linen Business Description

Other Exchanges 74R:GermanyKBL:Canada
Address 14903-137 Avenue N.W., Edmonton, AB, CAN, T5V 1R9
K-Bro Linen Inc is a healthcare and hospitality laundry and linen processor in Canada. It operates in cities across Canada, and has two distribution centers, providing management services and laundry processing of hospitality, healthcare, and specialty linens. The company provides vital products and services that help people heal, travel, live, and play. It helps hospitals and extended care centers care for the young, old, and vulnerable in environmentally responsible ways. It operates through two divisions, which are the Canadian segment, which provides laundry and linen services to the healthcare and hospitality sectors in Canada. and the United Kingdom Segment, which provides laundry and linen services to the healthcare and hospitality sectors in United Kingdom.
90GF Score

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Financial Strength is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$30.45
Price
$34.38
GF Value