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Fast Fitness Japan (TSE:7092) Financial Strength : 7 (As of Dec. 2023)


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What is Fast Fitness Japan Financial Strength?

Fast Fitness Japan has the Financial Strength Rank of 7.

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.

Fast Fitness Japan's Interest Coverage for the quarter that ended in Dec. 2023 was 172.80. Fast Fitness Japan's debt to revenue ratio for the quarter that ended in Dec. 2023 was 0.23. As of today, Fast Fitness Japan's Altman Z-Score is 3.78.


Competitive Comparison of Fast Fitness Japan's Financial Strength

For the Leisure subindustry, Fast Fitness Japan'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.


Fast Fitness Japan's Financial Strength Distribution in the Travel & Leisure Industry

For the Travel & Leisure industry and Consumer Cyclical sector, Fast Fitness Japan's Financial Strength distribution charts can be found below:

* The bar in red indicates where Fast Fitness Japan's Financial Strength falls into.



Fast Fitness Japan 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:

Fast Fitness Japan's Interest Expense for the months ended in Dec. 2023 was 円-5 Mil. Its Operating Income for the months ended in Dec. 2023 was 円864 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was 円2,193 Mil.

Fast Fitness Japan's Interest Coverage for the quarter that ended in Dec. 2023 is

Interest Coverage=-1*Operating Income (Q: Dec. 2023 )/Interest Expense (Q: Dec. 2023 )
=-1*864/-5
=172.80

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. Fast Fitness Japan Inc has enough cash to cover all of its debt. Its financial situation is stable.

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

Fast Fitness Japan's Debt to Revenue Ratio for the quarter that ended in Dec. 2023 is

Debt to Revenue Ratio=Total Debt (Q: Dec. 2023 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(1437 + 2193) / 15932
=0.23

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.

Fast Fitness Japan has a Z-score of 3.78, indicating it is in Safe Zones. This implies the Z-Score is strong.

Good Sign:

Altman Z-score of 3.78 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.


Fast Fitness Japan  (TSE:7092) 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.

Fast Fitness Japan has the Financial Strength Rank of 7.


Fast Fitness Japan Financial Strength Related Terms

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Fast Fitness Japan (TSE:7092) Business Description

Traded in Other Exchanges
N/A
Address
Shinjuku-ku, 6-12-1 Park West 6th Floor, Nishi-Shinjuku, Tokyo, JPN, 160-0023
Fast Fitness Japan Inc is an operator of fitness club in Japan. The company engages in planning and management of fitness club under the name anytime fitness.

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