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Alpha Dhabi Holding PJSC (ADX:ALPHADHABI) Financial Strength : 5 (As of Mar. 2025)


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What is Alpha Dhabi Holding PJSC Financial Strength?

Alpha Dhabi Holding PJSC has the Financial Strength Rank of 5.

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.

Alpha Dhabi Holding PJSC's Interest Coverage for the quarter that ended in Mar. 2025 was 19.42. Alpha Dhabi Holding PJSC's debt to revenue ratio for the quarter that ended in Mar. 2025 was 0.49. As of today, Alpha Dhabi Holding PJSC's Altman Z-Score is 1.98.


Competitive Comparison of Alpha Dhabi Holding PJSC's Financial Strength

For the Conglomerates subindustry, Alpha Dhabi Holding PJSC'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.


Alpha Dhabi Holding PJSC's Financial Strength Distribution in the Conglomerates Industry

For the Conglomerates industry and Industrials sector, Alpha Dhabi Holding PJSC's Financial Strength distribution charts can be found below:

* The bar in red indicates where Alpha Dhabi Holding PJSC's Financial Strength falls into.


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Alpha Dhabi Holding PJSC 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:

Alpha Dhabi Holding PJSC's Interest Expense for the months ended in Mar. 2025 was د.إ-166 Mil. Its Operating Income for the months ended in Mar. 2025 was د.إ3,216 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2025 was د.إ30,611 Mil.

Alpha Dhabi Holding PJSC's Interest Coverage for the quarter that ended in Mar. 2025 is

Interest Coverage=-1*Operating Income (Q: Mar. 2025 )/Interest Expense (Q: Mar. 2025 )
=-1*3215.519/-165.574
=19.42

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

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

Alpha Dhabi Holding PJSC's Debt to Revenue Ratio for the quarter that ended in Mar. 2025 is

Debt to Revenue Ratio=Total Debt (Q: Mar. 2025 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(3684.79 + 30611.06) / 69689.14
=0.49

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.

Alpha Dhabi Holding PJSC has a Z-score of 1.98, indicating it is in Grey Zones. This implies that Alpha Dhabi Holding PJSC is in some kind of financial stress. If it is below 1.81, the company may faces bankrupcy risk.

Warning Sign:

Altman Z-score of 1.98 is in the grey area. This implies that the company is under some kind of financial stress. If it is below 1.8, the company may face bankruptcy risk.

* 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.


Alpha Dhabi Holding PJSC  (ADX:ALPHADHABI) 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.

Alpha Dhabi Holding PJSC has the Financial Strength Rank of 5.


Alpha Dhabi Holding PJSC Financial Strength Related Terms

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Alpha Dhabi Holding PJSC Business Description

Traded in Other Exchanges
N/A
Address
108, Al Muntazah Street, Office 1003, Level 10, TwoFour54 Building 6, P.O. Box 111059, Adjacent Park Rotana Hotel, Abu Dhabi, ARE
Alpha Dhabi Holding PJSC is an investment holding company in the UAE. It is organized into eight verticals such as Industrial, Construction, Hospitality, Healthcare, Investments, Energy, Climate Capital; and Real Estate. The Company operates in five main segments: Industrial (dredging, land reclamation, construction contracts), Construction (commercial and residential buildings, infrastructure), Real Estate (property rentals, investments, sales), Healthcare (hospitals, medical services, diagnostics), and Services (management, hospitality, ancillary activities like investments and insurance).

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