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Soquimich Comercial (XSGO:SOQUICOM) Financial Strength : 10 (As of Dec. 2024)


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What is Soquimich Comercial Financial Strength?

Soquimich Comercial has the Financial Strength Rank of 10. It shows strong financial strength and is unlikely to fall into distressed situations.

Good Sign:

Soquimich Comercial SA shows strong financial strength.

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.

Soquimich Comercial's Interest Coverage for the quarter that ended in Dec. 2024 was 183.79. Soquimich Comercial's debt to revenue ratio for the quarter that ended in Dec. 2024 was 0.02. As of today, Soquimich Comercial's Altman Z-Score is 3.76.


Competitive Comparison of Soquimich Comercial's Financial Strength

For the Agricultural Inputs subindustry, Soquimich Comercial'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.


Soquimich Comercial's Financial Strength Distribution in the Agriculture Industry

For the Agriculture industry and Basic Materials sector, Soquimich Comercial's Financial Strength distribution charts can be found below:

* The bar in red indicates where Soquimich Comercial's Financial Strength falls into.


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Soquimich Comercial 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:

Soquimich Comercial's Interest Expense for the months ended in Dec. 2024 was CLP-29 Mil. Its Operating Income for the months ended in Dec. 2024 was CLP5,248 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2024 was CLP1,901 Mil.

Soquimich Comercial's Interest Coverage for the quarter that ended in Dec. 2024 is

Interest Coverage=-1*Operating Income (Q: Dec. 2024 )/Interest Expense (Q: Dec. 2024 )
=-1*5247.856/-28.553
=183.79

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. Soquimich Comercial SA has enough cash to cover all of its debt. Its financial situation is stable.

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

Soquimich Comercial's Debt to Revenue Ratio for the quarter that ended in Dec. 2024 is

Debt to Revenue Ratio=Total Debt (Q: Dec. 2024 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(1180.521 + 1901.24) / 180699.528
=0.02

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.

Soquimich Comercial has a Z-score of 3.76, indicating it is in Safe Zones. This implies the Z-Score is strong.

Good Sign:

Altman Z-score of 3.76 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.


Soquimich Comercial  (XSGO:SOQUICOM) 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.

Soquimich Comercial has the Financial Strength Rank of 10. It shows strong financial strength and is unlikely to fall into distressed situations.


Soquimich Comercial Financial Strength Related Terms

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


Soquimich Comercial Business Description

Traded in Other Exchanges
N/A
Address
4290 Los Militares Street, Las Condes, Santiago, CHL
Soquimich Comercial SA provides plant-based nutritional proposals for sustainable agriculture. The company produces, markets, distributes, and retails products for agricultural activity. It offers various products under the Qrop, QropMix, Ultrasol, Ultrasol Especial, and other brands which include specialty fertilizers, manures, nutrients, seeds, nitrates and similar salts, iodine, and chemical compounds of these products. In addition, the company also provides machinery, equipment, and capital goods destined for agricultural activity.

Soquimich Comercial Headlines

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