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Saraiva Livreiros EM Recuperacao Judicial (BSP:SLED3) Financial Strength : 0 (As of Jun. 2023)


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What is Saraiva Livreiros EM Recuperacao Judicial Financial Strength?

Saraiva Livreiros EM Recuperacao Judicial has the Financial Strength Rank of 0.

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.

Saraiva Livreiros EM Recuperacao Judicial did not have earnings to cover the interest expense. Saraiva Livreiros EM Recuperacao Judicial's debt to revenue ratio for the quarter that ended in Jun. 2023 was 1.99. As of today, Saraiva Livreiros EM Recuperacao Judicial's Altman Z-Score is -15.09.


Competitive Comparison of Saraiva Livreiros EM Recuperacao Judicial's Financial Strength

For the Specialty Retail subindustry, Saraiva Livreiros EM Recuperacao Judicial'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.


Saraiva Livreiros EM Recuperacao Judicial's Financial Strength Distribution in the Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Saraiva Livreiros EM Recuperacao Judicial's Financial Strength distribution charts can be found below:

* The bar in red indicates where Saraiva Livreiros EM Recuperacao Judicial's Financial Strength falls into.



Saraiva Livreiros EM Recuperacao Judicial 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:

Saraiva Livreiros EM Recuperacao Judicial's Interest Expense for the months ended in Jun. 2023 was R$-2.30 Mil. Its Operating Income for the months ended in Jun. 2023 was R$-12.71 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2023 was R$10.73 Mil.

Saraiva Livreiros EM Recuperacao Judicial's Interest Coverage for the quarter that ended in Jun. 2023 is

Saraiva Livreiros EM Recuperacao Judicial did not have earnings to cover the interest expense.

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

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

Saraiva Livreiros EM Recuperacao Judicial's Debt to Revenue Ratio for the quarter that ended in Jun. 2023 is

Debt to Revenue Ratio=Total Debt (Q: Jun. 2023 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(48.377 + 10.732) / 29.728
=1.99

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.

Saraiva Livreiros EM Recuperacao Judicial has a Z-score of -15.09, indicating it is in Distress Zones. This implies bankrupcy possibility in the next two years.

Warning Sign:

Altman Z-score of -15.09 is in distress zone. This implies bankruptcy possibility in the next two years.

* 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.


Saraiva Livreiros EM Recuperacao Judicial  (BSP:SLED3) 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.

Saraiva Livreiros EM Recuperacao Judicial has the Financial Strength Rank of 0.


Saraiva Livreiros EM Recuperacao Judicial Financial Strength Related Terms

Thank you for viewing the detailed overview of Saraiva Livreiros EM Recuperacao Judicial's Financial Strength provided by GuruFocus.com. Please click on the following links to see related term pages.


Saraiva Livreiros EM Recuperacao Judicial (BSP:SLED3) Business Description

Traded in Other Exchanges
N/A
Address
Rua Henrique Schaumann 270, Sao Paulo, SP, BRA, 5413909
Saraiva Livreiros SA EM Recuperacao Judicial is a Brazil-based company involved in the retail business of products related to culture, education, leisure, and information through its physical store and e-commerce. Its products include literature, office supplies, stationery, music, films, games and software, telephony, electronic devices, and magazines, and offers services such as the sale of credit for prepaid cell phones, tickets, gifts, and prepaid cards among others.

Saraiva Livreiros EM Recuperacao Judicial (BSP:SLED3) Headlines

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