What is Hua Hong Semiconductor Financial Strength?
Hua Hong Semiconductor has the Financial Strength Rank of 4.
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.
Hua Hong Semiconductor did not have earnings to cover the interest expense.
Hua Hong Semiconductor's debt to revenue ratio for the quarter that ended in Dec. 2024 was 1.03.
As of today, Hua Hong Semiconductor's Altman Z-Score is 2.08.
Competitive Comparison of Hua Hong Semiconductor's Financial Strength
For the Semiconductors subindustry, Hua Hong Semiconductor'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.
Hua Hong Semiconductor's Financial Strength Distribution in the Semiconductors Industry
For the Semiconductors industry and Technology sector, Hua Hong Semiconductor's Financial Strength distribution charts can be found below:
* The bar in red indicates where Hua Hong Semiconductor's Financial Strength falls into.
Hua Hong Semiconductor 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:
Hua Hong Semiconductor's Interest Expense for the
months ended in Dec. 2024 was €-19.5 Mil. Its Operating Income for the
months ended in Dec. 2024 was €-47.0 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2024 was €1,848.2 Mil.
Hua Hong Semiconductor's Interest Coverage for the quarter that ended in Dec. 2024 is
| Hua Hong Semiconductor did not have earnings to cover the interest expense. |
The higher the ratio, the stronger the company's financial strength is.
2. Debt to revenue ratio. The lower, the better.
Hua Hong Semiconductor's Debt to Revenue Ratio for the quarter that ended in Dec. 2024 is
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.
Hua Hong Semiconductor has a Z-score of 2.08, indicating it is in Grey Zones. This implies that Hua Hong Semiconductor 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 2.08 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.
Hua Hong Semiconductor Business Description
Traded in Other Exchanges
Address
288 Halei Road, Zhangjiang Hi-Tech Park, Shanghai, CHN, 201203
Hua Hong Semiconductor, or Hua Hong, is the second-largest Chinese foundry and the seventh-largest globally. Its current form is a result of an intragroup restructuring completed in 2013. Hua Hong is headquartered in Shanghai with another plant in Wuxi, China, and has sales offices in Japan, Taiwan and the us. It employs more than 6,800 employees. Hua Hong's products are used on smartphones, PCs, for the Internet of Things, data centers, and for automotive and industrial purposes, and so on, but it focuses on more mature process technologies.
Hua Hong Semiconductor Headlines
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