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Digitree Group (WAR:DTR) Financial Strength : 6 (As of Sep. 2024)


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What is Digitree Group Financial Strength?

Digitree Group has the Financial Strength Rank of 6.

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.

Digitree Group's Interest Coverage for the quarter that ended in Sep. 2024 was 0.32. Digitree Group's debt to revenue ratio for the quarter that ended in Sep. 2024 was 0.03. As of today, Digitree Group's Altman Z-Score is 3.68.


Competitive Comparison of Digitree Group's Financial Strength

For the Advertising Agencies subindustry, Digitree Group'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.


Digitree Group's Financial Strength Distribution in the Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Digitree Group's Financial Strength distribution charts can be found below:

* The bar in red indicates where Digitree Group's Financial Strength falls into.


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Digitree Group 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:

Digitree Group's Interest Expense for the months ended in Sep. 2024 was zł-0.08 Mil. Its Operating Income for the months ended in Sep. 2024 was zł0.03 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Sep. 2024 was zł0.00 Mil.

Digitree Group's Interest Coverage for the quarter that ended in Sep. 2024 is

Interest Coverage=-1*Operating Income (Q: Sep. 2024 )/Interest Expense (Q: Sep. 2024 )
=-1*0.025/-0.078
=0.32

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

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

Digitree Group'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
=(2.392 + 0) / 77.292
=0.03

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.

Digitree Group has a Z-score of 3.68, indicating it is in Safe Zones. This implies the Z-Score is strong.

Good Sign:

Altman Z-score of 3.68 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.


Digitree Group  (WAR:DTR) 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.

Digitree Group has the Financial Strength Rank of 6.


Digitree Group Financial Strength Related Terms

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


Digitree Group Business Description

Traded in Other Exchanges
N/A
Address
ul. Raciborska 35A, Rybnik, POL, 44-200
Digitree Group SA is a Polish group engaged in the area of support of online marketing sales processes and the implementing of technology solutions in the country and abroad. The firm offers its services in the area of publishers, business and media houses.

Digitree Group Headlines

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