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Emperor Culture Group (HKSE:00491) Financial Strength : 0 (As of Dec. 2023)


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What is Emperor Culture Group Financial Strength?

Emperor Culture Group 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.

Emperor Culture Group did not have earnings to cover the interest expense. Emperor Culture Group's debt to revenue ratio for the quarter that ended in Dec. 2023 was 1.95. As of today, Emperor Culture Group's Altman Z-Score is -1.86.


Competitive Comparison of Emperor Culture Group's Financial Strength

For the Entertainment subindustry, Emperor Culture 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.


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

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

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



Emperor Culture 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:

Emperor Culture Group's Interest Expense for the months ended in Dec. 2023 was HK$-50.3 Mil. Its Operating Income for the months ended in Dec. 2023 was HK$-86.1 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was HK$867.6 Mil.

Emperor Culture Group's Interest Coverage for the quarter that ended in Dec. 2023 is

Emperor Culture Group 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.

Emperor Culture Group's Debt to Revenue Ratio for the quarter that ended in Dec. 2023 is

Debt to Revenue Ratio=Total Debt (Q: Dec. 2023 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(176.728 + 867.563) / 534.372
=1.95

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.

Emperor Culture Group has a Z-score of -1.86, indicating it is in Distress Zones. This implies bankrupcy possibility in the next two years.

Warning Sign:

Altman Z-score of -1.86 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.


Emperor Culture Group  (HKSE:00491) 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.

Emperor Culture Group has the Financial Strength Rank of 0.


Emperor Culture Group Financial Strength Related Terms

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Emperor Culture Group (HKSE:00491) Business Description

Traded in Other Exchanges
N/A
Address
288 Hennessy Road, 28th Floor, Emperor Group Centre, Wanchai, Hong Kong, HKG
Emperor Culture Group Ltd is a Hong Kong-based investment holding company principally engaged in films and television (TV) series-related businesses. It is involved in entertainment, media, and cultural development businesses, which include (i) cinema operation; and (ii) investment in films and a variety of cultural events. It operates only in the cinema operation segment and generates revenue from the same.

Emperor Culture Group (HKSE:00491) Headlines

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