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Dr Sulaiman Al Habib Medical Services Group (SAU:4013) Financial Strength : 6 (As of Mar. 2024)


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What is Dr Sulaiman Al Habib Medical Services Group Financial Strength?

Dr Sulaiman Al Habib Medical Services Group has the Financial Strength Rank of 6.

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.

Dr Sulaiman Al Habib Medical Services Group's Interest Coverage for the quarter that ended in Mar. 2024 was 35.25. Dr Sulaiman Al Habib Medical Services Group's debt to revenue ratio for the quarter that ended in Mar. 2024 was 0.58. As of today, Dr Sulaiman Al Habib Medical Services Group's Altman Z-Score is 7.85.


Competitive Comparison of Dr Sulaiman Al Habib Medical Services Group's Financial Strength

For the Medical Care Facilities subindustry, Dr Sulaiman Al Habib Medical Services 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.


Dr Sulaiman Al Habib Medical Services Group's Financial Strength Distribution in the Healthcare Providers & Services Industry

For the Healthcare Providers & Services industry and Healthcare sector, Dr Sulaiman Al Habib Medical Services Group's Financial Strength distribution charts can be found below:

* The bar in red indicates where Dr Sulaiman Al Habib Medical Services Group's Financial Strength falls into.



Dr Sulaiman Al Habib Medical Services 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:

Dr Sulaiman Al Habib Medical Services Group's Interest Expense for the months ended in Mar. 2024 was ﷼-16 Mil. Its Operating Income for the months ended in Mar. 2024 was ﷼556 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2024 was ﷼5,766 Mil.

Dr Sulaiman Al Habib Medical Services Group's Interest Coverage for the quarter that ended in Mar. 2024 is

Interest Coverage=-1*Operating Income (Q: Mar. 2024 )/Interest Expense (Q: Mar. 2024 )
=-1*556.075/-15.773
=35.25

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

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

Dr Sulaiman Al Habib Medical Services Group's Debt to Revenue Ratio for the quarter that ended in Mar. 2024 is

Debt to Revenue Ratio=Total Debt (Q: Mar. 2024 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(84.825 + 5766.302) / 10085.636
=0.58

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.

Dr Sulaiman Al Habib Medical Services Group has a Z-score of 7.85, indicating it is in Safe Zones. This implies the Z-Score is strong.

Good Sign:

Altman Z-score of 7.85 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.


Dr Sulaiman Al Habib Medical Services Group  (SAU:4013) 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.

Dr Sulaiman Al Habib Medical Services Group has the Financial Strength Rank of 6.


Dr Sulaiman Al Habib Medical Services Group Financial Strength Related Terms

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Dr Sulaiman Al Habib Medical Services Group (SAU:4013) Business Description

Traded in Other Exchanges
N/A
Address
King Fahad Road, P.O. Box 301578, Al Olaya District, Riyadh, SAU, 11372
Dr Sulaiman Al Habib Medical Services Group is a healthcare operator. The company is engaged in establishing, operating, and managing hospitals, general and specialized medical complexes, dispensaries, health care centers, diagnostics centers as well as radiology centers. It is also involved in import, wholesale and retail sales of medicines, medical products, cosmetics, and medical supplies and equipment. The company reports in three segments are Hospitals/ Healthcare Facilities, Pharmacies, and HMG Solutions / Others. The majority of the revenue is earned from the Hospitals/ Healthcare Facilities segment.

Dr Sulaiman Al Habib Medical Services Group (SAU:4013) Headlines

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