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KODAMA CHEMICAL INDUSTRY Co (TSE:4222) Financial Strength : 3 (As of Sep. 2024)


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What is KODAMA CHEMICAL INDUSTRY Co Financial Strength?

KODAMA CHEMICAL INDUSTRY Co has the Financial Strength Rank of 3. It displays poor financial strength and is likely in financial distress. Usually this is caused by too much debt for the company.

Warning Sign:

KODAMA CHEMICAL INDUSTRY Co Ltd displays poor financial strength. Usually, this is caused by too much debt for the company.

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.

GuruFocus does not calculate KODAMA CHEMICAL INDUSTRY Co's interest coverage with the available data. As of today, KODAMA CHEMICAL INDUSTRY Co's Altman Z-Score is 0.96.


Competitive Comparison of KODAMA CHEMICAL INDUSTRY Co's Financial Strength

For the Auto Parts subindustry, KODAMA CHEMICAL INDUSTRY 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.


KODAMA CHEMICAL INDUSTRY Co's Financial Strength Distribution in the Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, KODAMA CHEMICAL INDUSTRY Co's Financial Strength distribution charts can be found below:

* The bar in red indicates where KODAMA CHEMICAL INDUSTRY Co's Financial Strength falls into.


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KODAMA CHEMICAL INDUSTRY 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:

KODAMA CHEMICAL INDUSTRY Co's Interest Expense for the months ended in Sep. 2024 was 円0 Mil. Its Operating Income for the months ended in Sep. 2024 was 円0 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Sep. 2024 was 円272 Mil.

KODAMA CHEMICAL INDUSTRY Co's Interest Coverage for the quarter that ended in Sep. 2024 is

GuruFocus does not calculate KODAMA CHEMICAL INDUSTRY Co's interest coverage with the available data.

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

Warning Sign:

Ben Graham prefers companies' interest coverage to be at least 5. KODAMA CHEMICAL INDUSTRY Co Ltd interest coverage is 2.11, which is low.

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

KODAMA CHEMICAL INDUSTRY Co's Debt to Revenue Ratio for the quarter that ended in Sep. 2024 is

Debt to Revenue Ratio=Total Debt (Q: Sep. 2024 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(3953.477 + 271.977) / 0
=N/A

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.

KODAMA CHEMICAL INDUSTRY Co has a Z-score of 0.96, indicating it is in Distress Zones. This implies bankrupcy possibility in the next two years.

Warning Sign:

Altman Z-score of 0.96 is in distress zone. This implies bankruptcy possibility in the next two years.

* 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.


KODAMA CHEMICAL INDUSTRY Co  (TSE:4222) 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.

KODAMA CHEMICAL INDUSTRY Co has the Financial Strength Rank of 3. It displays poor financial strength and is likely in financial distress. Usually this is caused by too much debt for the company.


KODAMA CHEMICAL INDUSTRY Co Financial Strength Related Terms

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KODAMA CHEMICAL INDUSTRY Co Business Description

Traded in Other Exchanges
N/A
Address
1-2-2 Nihombashi-machi-cho machi, Chuo-ku, Tokyo, JPN, 103-0021
KODAMA CHEMICAL INDUSTRY Co Ltd is engaged in the production of moulded plastic products. It is organised into three principal operating segments - Auto Parts, Housing Facility / Cold Equipment Parts, and Entertainment business. The company supply automotive interior and exterior products such as various pillars, luggage trim, trunk trim, door trim, spoiler, fender cover, instrument panel, front spoiler and skirt to major automobile manufacturers. Its Housing Facility / Cold Equipment Parts division offers resin products such as toilet makeup cabinet, bathroom cabinet, bathroom panel, washing machine pan, and bathroom ceiling. The majority of its revenue is derived from the Auto Parts business.

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