GURUFOCUS.COM » STOCK LIST » Technology » Semiconductors » Visual Photonics Epitaxy Co Ltd (TPE:2455) » Definitions » Financial Strength

Visual Photonics Epitaxy Co (TPE:2455) Financial Strength : 9 (As of Mar. 2025)


View and export this data going back to 2002. Start your Free Trial

What is Visual Photonics Epitaxy Co Financial Strength?

Visual Photonics Epitaxy Co has the Financial Strength Rank of 9. It shows strong financial strength and is unlikely to fall into distressed situations.

Good Sign:

Visual Photonics Epitaxy Co Ltd shows strong financial strength.

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.

Visual Photonics Epitaxy Co's Interest Coverage for the quarter that ended in Mar. 2025 was 88.65. Visual Photonics Epitaxy Co's debt to revenue ratio for the quarter that ended in Mar. 2025 was 0.13. As of today, Visual Photonics Epitaxy Co's Altman Z-Score is 11.33.


Competitive Comparison of Visual Photonics Epitaxy Co's Financial Strength

For the Semiconductor Equipment & Materials subindustry, Visual Photonics Epitaxy 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.


Visual Photonics Epitaxy Co's Financial Strength Distribution in the Semiconductors Industry

For the Semiconductors industry and Technology sector, Visual Photonics Epitaxy Co's Financial Strength distribution charts can be found below:

* The bar in red indicates where Visual Photonics Epitaxy Co's Financial Strength falls into.


;
;

Visual Photonics Epitaxy 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:

Visual Photonics Epitaxy Co's Interest Expense for the months ended in Mar. 2025 was NT$-2 Mil. Its Operating Income for the months ended in Mar. 2025 was NT$179 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2025 was NT$406 Mil.

Visual Photonics Epitaxy Co'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*178.983/-2.019
=88.65

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

Good Sign:

Ben Graham prefers companies' interest coverage to be at least 5. Visual Photonics Epitaxy Co Ltd has enough cash to cover all of its debt. Its financial situation is stable.

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

Visual Photonics Epitaxy Co'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
=(3.724 + 405.953) / 3174.652
=0.13

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.

Visual Photonics Epitaxy Co has a Z-score of 11.33, indicating it is in Safe Zones. This implies the Z-Score is strong.

Good Sign:

Altman Z-score of 11.33 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.


Visual Photonics Epitaxy Co  (TPE:2455) 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.

Visual Photonics Epitaxy Co has the Financial Strength Rank of 9. It shows strong financial strength and is unlikely to fall into distressed situations.


Visual Photonics Epitaxy Co Financial Strength Related Terms

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


Visual Photonics Epitaxy Co Business Description

Traded in Other Exchanges
N/A
Address
Gongye 1st Road, No. 16, Pingzhen Industrial Zone, Pingzhen District, Taoyuan, TWN, 324
Visual Photonics Epitaxy Co Ltd is a Taiwan-based company that is principally engaged in developing, producing, and marketing of optoelectronic semiconductors epitaxy, optoelectronic components products. The company's products are used to provide solutions for wireless communications, optical fiber communications, and solar cell applications. The company's products consist of GaAs Heterojunction Bipolar Transistor epi wafer, Low turn-on voltage gaAsSb HBT epi wafers, High-voltage gaAs HBT epi wafer, and InP HBT epi wafers, and others.

Visual Photonics Epitaxy Co Headlines

No Headlines