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Amadeus Fire AG (XTER:AAD) Financial Strength : 7 (As of Mar. 2024)


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What is Amadeus Fire AG Financial Strength?

Amadeus Fire AG has the Financial Strength Rank of 7.

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.

Amadeus Fire AG's Interest Coverage for the quarter that ended in Mar. 2024 was 13.98. Amadeus Fire AG's debt to revenue ratio for the quarter that ended in Mar. 2024 was 0.15. As of today, Amadeus Fire AG's Altman Z-Score is 4.08.


Competitive Comparison of Amadeus Fire AG's Financial Strength

For the Staffing & Employment Services subindustry, Amadeus Fire AG'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.


Amadeus Fire AG's Financial Strength Distribution in the Business Services Industry

For the Business Services industry and Industrials sector, Amadeus Fire AG's Financial Strength distribution charts can be found below:

* The bar in red indicates where Amadeus Fire AG's Financial Strength falls into.



Amadeus Fire AG 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:

Amadeus Fire AG's Interest Expense for the months ended in Mar. 2024 was €-1.0 Mil. Its Operating Income for the months ended in Mar. 2024 was €14.0 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2024 was €50.9 Mil.

Amadeus Fire AG'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*13.966/-0.999
=13.98

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

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

Amadeus Fire AG'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
=(18.093 + 50.914) / 459.336
=0.15

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.

Amadeus Fire AG has a Z-score of 4.08, indicating it is in Safe Zones. This implies the Z-Score is strong.

Good Sign:

Altman Z-score of 4.08 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.


Amadeus Fire AG  (XTER:AAD) 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.

Amadeus Fire AG has the Financial Strength Rank of 7.


Amadeus Fire AG Financial Strength Related Terms

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


Amadeus Fire AG (XTER:AAD) Business Description

Traded in Other Exchanges
Address
Hanauer Landstrasse 160, Frankfurt am Main, DEU, 60314
Amadeus Fire AG is engaged in providing specialized staffing services for business professionals and executives. The business functions in Germany with two professional segments: Personnel services (Temporary Staffing, Permanent Placement, Interim Project Management), and Training. It provides services for international groups, medium-sized companies, and start-ups in the commercial and Information Technology sectors. Amadeus derives the majority of its revenue from the Temporary Staffing segment.
Executives
Dennis Gerlitzki Board of Directors
Robert Von Wülfing Board of Directors
Otto Kajetan Weixler Supervisory Board

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