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SUNrise Bank (XNEP:SRBL) Financial Strength : 6 (As of Apr. 2023)


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What is SUNrise Bank Financial Strength?

SUNrise Bank 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.

GuruFocus does not calculate SUNrise Bank's interest coverage with the available data. SUNrise Bank's debt to revenue ratio for the quarter that ended in Apr. 2023 was 1.04. Altman Z-Score does not apply to banks and insurance companies.


SUNrise Bank 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:

SUNrise Bank's Interest Expense for the months ended in Apr. 2023 was NPR-3,071 Mil. Its Operating Income for the months ended in Apr. 2023 was NPR0 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Apr. 2023 was NPR6,429 Mil.

SUNrise Bank's Interest Coverage for the quarter that ended in Apr. 2023 is

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

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

SUNrise Bank's Debt to Revenue Ratio for the quarter that ended in Apr. 2023 is

Debt to Revenue Ratio=Total Debt (Q: Apr. 2023 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(0 + 6428.706) / 6199.852
=1.04

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.

Altman Z-Score does not apply to banks and insurance companies.

* 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.


SUNrise Bank  (XNEP:SRBL) 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.

SUNrise Bank has the Financial Strength Rank of 6.


SUNrise Bank Financial Strength Related Terms

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SUNrise Bank (XNEP:SRBL) Business Description

Traded in Other Exchanges
N/A
Address
Sunrise Plaza, Gairidhara, Metropolitian City-2, Kathmandu, NPL
SUNrise Bank Ltd operates in the finance and banking sector. It offers personal solutions including saving and fixed deposits and loans; business solutions including loans and advances; and other services. It offers various banking products and services including branchless banking, locker, internet banking, Sunrise smart banking, Sunrise visa debit card, extension counter and automated teller machine (ATM).