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South Jersey Industries Financial Strength

: 4 (As of Jun. 2022)
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South Jersey Industries has the Financial Strength Rank of 4.

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.

South Jersey Industries did not have earnings to cover the interest expense. South Jersey Industries's debt to revenue ratio for the quarter that ended in Jun. 2022 was 1.73. As of today, South Jersey Industries's Altman Z-Score is 0.90.


Competitive Comparison

For the Utilities - Diversified subindustry, South Jersey Industries'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.

   

South Jersey Industries Financial Strength Distribution

For the Utilities - Regulated industry and Utilities sector, South Jersey Industries's Financial Strength distribution charts can be found below:

* The bar in red indicates where South Jersey Industries's Financial Strength falls into.



South Jersey Industries 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:

South Jersey Industries's Interest Expense for the months ended in Jun. 2022 was $-32 Mil. Its Operating Income for the months ended in Jun. 2022 was $-10 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2022 was $3,178 Mil.

South Jersey Industries's Interest Coverage for the quarter that ended in Jun. 2022 is

South Jersey Industries 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.

South Jersey Industries's Debt to Revenue Ratio for the quarter that ended in Jun. 2022 is

Debt to Revenue Ratio=Total Debt (Q: Jun. 2022 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(364.976 + 3177.991) / 2045.724
=1.73

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.

South Jersey Industries has a Z-score of 0.90, indicating it is in Distress Zones. This implies bankrupcy possibility in the next two years.

Warning Sign:

Altman Z-score of 0.9 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.


South Jersey Industries  (NYSE:SJI) 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.

South Jersey Industries has the Financial Strength Rank of 4.


South Jersey Industries Financial Strength Related Terms

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


South Jersey Industries Business Description

South Jersey Industries logo
Traded in Other Exchanges
Address
1 South Jersey Plaza, Folsom, NJ, USA, 08037
South Jersey Industries Inc is a New Jersey holding company that acquires and develops utility companies. Through its many subsidiaries, SJI is primarily involved in transmitting, distributing, and selling natural gas and electricity in the mid-Atlantic U.S. The company segments its operations into gas utility operations and energy group businesses. The majority of SJI's total revenue comes from its gas utility operations, which encompasses the company's principal subsidiary: South Jersey Gas. SJG purchases, transmit, and sells natural gas primarily for residential consumers in southern New Jersey. The energy group also represents a significant income stream through its wholesale energy and retail electric services.
Executives
Phillips Karen L officer: SVP, Human Resources 1 SOUTH JERSEY PLAZA FOLSOM NJ 08037
Stein Eric Moss officer: SVP, General Counsel 1 SOUTH JERSEY PLAZA FOLSOM NJ 08037
Brinson Leonard Jr officer: SVP, Chief Information Officer 1 SOUTH JERSEY PLAZA FOLSOM NJ 08037
Paladino Christopher director 1 SOUTH JERSEY PLAZA FOLSOM NJ 08037
Larkin Kathleen D officer: SVP & CHRO 1 SOUTH JERSEY PLAZA FOLSOM NJ 08037
O'dowd Kevin M. director 1 SOUTH JERSEY PLAZA FOLSOM NJ 08037
Holland G Edison director 270 PEACHTREE ST NW BIN 910 ATLANTA GA 30303
Hernandez Cielo officer: SVP & CFO C/O XL FLEET CORP. 145 NEWTON STREET BOSTON MA 02135
Orsen Melissa officer: SVP & General Counsel 1 SOUTH JERSEY PLAZA FOLSOM NJ 08037
Cocchi Steven R officer: SVP, Strategy & Growth 1 SOUTH JERSEY PLAZA FOLSOM NJ 08037
Kavanaugh Thomas S officer: Vice President & Controller 1 SOUTH JERSEY PLAZA FOLSOM NJ 08037
Rigby Joseph M director SOUTH JERSEY INDUSTRIES 1 SOUTH JERSEY PLAZA FOLSOM NJ 08037
Robbins David Jr officer: Vice President 1 SOUTH JERSEY PLAZA FOLSOM NJ 08037
Nuzzo Gregory M officer: Vice President 1 SOUTH JERSEY PLAZA FOLSOM NJ 08037
Anthony Ann T officer: Treasurer 1 SOUTH JERSEY PLAZA FOLSOM NJ 08037

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