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Yixintang Pharmaceutical Group Co (SZSE:002727) Financial Strength : 6 (As of Mar. 2024)


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What is Yixintang Pharmaceutical Group Co Financial Strength?

Yixintang Pharmaceutical Group Co has the Financial Strength Rank of 6.

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.

Yixintang Pharmaceutical Group Co's Interest Coverage for the quarter that ended in Mar. 2024 was 9.99. Yixintang Pharmaceutical Group Co's debt to revenue ratio for the quarter that ended in Mar. 2024 was 0.15. As of today, Yixintang Pharmaceutical Group Co's Altman Z-Score is 2.39.


Competitive Comparison of Yixintang Pharmaceutical Group Co's Financial Strength

For the Pharmaceutical Retailers subindustry, Yixintang Pharmaceutical Group Co'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.


Yixintang Pharmaceutical Group Co's Financial Strength Distribution in the Healthcare Providers & Services Industry

For the Healthcare Providers & Services industry and Healthcare sector, Yixintang Pharmaceutical Group Co's Financial Strength distribution charts can be found below:

* The bar in red indicates where Yixintang Pharmaceutical Group Co's Financial Strength falls into.



Yixintang Pharmaceutical Group Co 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:

Yixintang Pharmaceutical Group Co's Interest Expense for the months ended in Mar. 2024 was ¥-36 Mil. Its Operating Income for the months ended in Mar. 2024 was ¥357 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2024 was ¥1,627 Mil.

Yixintang Pharmaceutical Group Co's Interest Coverage for the quarter that ended in Mar. 2024 is

Interest Coverage=-1*Operating Income (Q: Mar. 2024 )/Interest Expense (Q: Mar. 2024 )
=-1*356.519/-35.704
=9.99

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

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

Yixintang Pharmaceutical Group Co's Debt to Revenue Ratio for the quarter that ended in Mar. 2024 is

Debt to Revenue Ratio=Total Debt (Q: Mar. 2024 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(1517.762 + 1626.601) / 20398.072
=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.

Yixintang Pharmaceutical Group Co has a Z-score of 2.39, indicating it is in Grey Zones. This implies that Yixintang Pharmaceutical Group Co 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 2.39 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.


Yixintang Pharmaceutical Group Co  (SZSE:002727) 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.

Yixintang Pharmaceutical Group Co has the Financial Strength Rank of 6.


Yixintang Pharmaceutical Group Co Financial Strength Related Terms

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Yixintang Pharmaceutical Group Co (SZSE:002727) Business Description

Traded in Other Exchanges
N/A
Address
No. 1 Hongxiang Road, Economic Development Zone, Yunnan province, Kunming City, CHN, 650500
Yixintang Pharmaceutical Group Co Ltd is a China-based company engages in the operation of pharmaceutical retail chains and wholesale businesses. Its products include traditional Chinese medicine, Western medicine, and medical equipment.
Executives
Zhang Yong Directors, executives
Xiao Dong Lei Executives
Liu Qiong Director
Ruan Hong Xian Directors, executives
Guo Chun Li Director
Ruan Guo Wei Directors, executives
Li Zheng Hong Directors, executives
Zhao Biao Directors, executives
Tian Jun Directors, Directors, and Executives
Xu Ke Yi Director
Luo Yong Bin Executives
Zhou Hong Yun Directors, executives

Yixintang Pharmaceutical Group Co (SZSE:002727) Headlines

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