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Benefit Systems (WAR:BFT) Financial Strength : 6 (As of Mar. 2024)


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What is Benefit Systems Financial Strength?

Benefit Systems 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.

Benefit Systems's Interest Coverage for the quarter that ended in Mar. 2024 was 10.67. Benefit Systems's debt to revenue ratio for the quarter that ended in Mar. 2024 was 0.36. As of today, Benefit Systems's Altman Z-Score is 4.64.


Competitive Comparison of Benefit Systems's Financial Strength

For the Leisure subindustry, Benefit Systems'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.


Benefit Systems's Financial Strength Distribution in the Travel & Leisure Industry

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

* The bar in red indicates where Benefit Systems's Financial Strength falls into.



Benefit Systems 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:

Benefit Systems's Interest Expense for the months ended in Mar. 2024 was zł-12 Mil. Its Operating Income for the months ended in Mar. 2024 was zł123 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2024 was zł931 Mil.

Benefit Systems'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*123.034/-11.534
=10.67

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

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

Benefit Systems'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
=(227.219 + 930.542) / 3204.432
=0.36

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.

Benefit Systems has a Z-score of 4.64, indicating it is in Safe Zones. This implies the Z-Score is strong.

Good Sign:

Altman Z-score of 4.64 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.


Benefit Systems  (WAR:BFT) 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.

Benefit Systems has the Financial Strength Rank of 6.


Benefit Systems Financial Strength Related Terms

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


Benefit Systems (WAR:BFT) Business Description

Traded in Other Exchanges
Address
European Square 2, Warsaw, POL, 00-844
Benefit Systems SA is Poland based company which is engaged in providing work benefits in the area of sport, recreations, culture and entertainment. Its products portfolio includes MultiSport Plus card, program that allows access to the sport and recreation clubs and multi-purpose facilities as well as Mybenefit, Benefitlunch, Multibilet, Multikafeteria and others.

Benefit Systems (WAR:BFT) Headlines

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