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Motisons Jewellers (NSE:MOTISONS) Financial Strength : 7 (As of Mar. 2025)


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What is Motisons Jewellers Financial Strength?

Motisons Jewellers has the Financial Strength Rank of 7.

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.

Motisons Jewellers's Interest Coverage for the quarter that ended in Mar. 2025 was 9.22. Motisons Jewellers's debt to revenue ratio for the quarter that ended in Mar. 2025 was 0.15. As of today, Motisons Jewellers's Altman Z-Score is 14.92.


Competitive Comparison of Motisons Jewellers's Financial Strength

For the Luxury Goods subindustry, Motisons Jewellers'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.


Motisons Jewellers's Financial Strength Distribution in the Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Motisons Jewellers's Financial Strength distribution charts can be found below:

* The bar in red indicates where Motisons Jewellers's Financial Strength falls into.


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Motisons Jewellers 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:

Motisons Jewellers's Interest Expense for the months ended in Mar. 2025 was ₹-18 Mil. Its Operating Income for the months ended in Mar. 2025 was ₹169 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2025 was ₹5 Mil.

Motisons Jewellers'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*168.951/-18.319
=9.22

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

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

Motisons Jewellers'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
=(719.307 + 4.637) / 4750.032
=0.15

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.

Motisons Jewellers has a Z-score of 14.92, indicating it is in Safe Zones. This implies the Z-Score is strong.

Good Sign:

Altman Z-score of 14.92 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.


Motisons Jewellers  (NSE:MOTISONS) 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.

Motisons Jewellers has the Financial Strength Rank of 7.


Motisons Jewellers Financial Strength Related Terms

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


Motisons Jewellers Business Description

Traded in Other Exchanges
Address
Tonk Road, SB-110, Motisons Tower, Lalkothi, Jaipur, RJ, IND, 302015
Motisons Jewellers Ltd is a jewelry retail company. Its business includes the sale of jewelry made of gold, diamond, Kundan, and the sale of other jewelry products that include pearl, silver, platinum, precious, semi-precious stones, and other metals. The company's product includes Earrings, Bracelets, Mangalsutras, Necklace sets, Pendants, Rings, and Silver.

Motisons Jewellers Headlines

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