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SME Credit Realisation Fund (LSE:SCRF) Financial Strength : 8 (As of Sep. 2022)


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What is SME Credit Realisation Fund Financial Strength?

SME Credit Realisation Fund has the Financial Strength Rank of 8. It shows strong financial strength and is unlikely to fall into distressed situations.

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.

GuruFocus does not calculate SME Credit Realisation Fund's interest coverage with the available data. SME Credit Realisation Fund's debt to revenue ratio for the quarter that ended in Sep. 2022 was 0.00. Altman Z-Score does not apply to banks and insurance companies.


SME Credit Realisation Fund 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:

SME Credit Realisation Fund's Interest Expense for the months ended in Sep. 2022 was £0.00 Mil. Its Operating Income for the months ended in Sep. 2022 was £0.00 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Sep. 2022 was £0.00 Mil.

SME Credit Realisation Fund's Interest Coverage for the quarter that ended in Sep. 2022 is

SME Credit Realisation Fund had no long-term debt (1).

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

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

SME Credit Realisation Fund's Debt to Revenue Ratio for the quarter that ended in Sep. 2022 is

Debt to Revenue Ratio=Total Debt (Q: Sep. 2022 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(0 + 0) / 11.706
=0.00

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.

Altman Z-Score does not apply to banks and insurance companies.

* 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.


SME Credit Realisation Fund  (LSE:SCRF) 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.

SME Credit Realisation Fund has the Financial Strength Rank of 8. It shows strong financial strength and is unlikely to fall into distressed situations.


SME Credit Realisation Fund Financial Strength Related Terms

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SME Credit Realisation Fund (LSE:SCRF) Business Description

Traded in Other Exchanges
N/A
Address
1 Royal Plaza, Royal Avenue, Saint Peter Port, GGY, GY1 2HL
SME Credit Realisation Fund Ltd is a closed-ended limited liability investment company. The company provides shareholders with sustainable and attractive levels of dividend income, primarily by way of investment in loans originated both directly through the Platforms operated by Funding Circle. Its geographical segment includes the UK, US, and CE. The company derives a majority of revenue from the UK. It also holds a number of investments in loans through special purpose vehicles.