GURUFOCUS.COM » STOCK LIST » Consumer Defensive » Beverages - Alcoholic » Delta Corp Ltd (XZIM:DLTA.ZW) » Definitions » Financial Strength

Delta (XZIM:DLTA.ZW) Financial Strength : 9 (As of Mar. 2025)


View and export this data going back to . Start your Free Trial

What is Delta Financial Strength?

Delta has the Financial Strength Rank of 9. It shows strong financial strength and is unlikely to fall into distressed situations.

Good Sign:

Delta Corp Ltd shows strong financial strength.

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is rated on a scale of 1 to 10 and 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.
4. Other debt related ratios.

A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.

Delta's Interest Coverage for the quarter that ended in Mar. 2025 was 50.27. Delta's debt to revenue ratio for the quarter that ended in Mar. 2025 was 0.03. As of today, Delta's Altman Z-Score is 246.13.


Competitive Comparison of Delta's Financial Strength

For the Beverages - Brewers subindustry, Delta'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.


Delta's Financial Strength Distribution in the Beverages - Alcoholic Industry

For the Beverages - Alcoholic industry and Consumer Defensive sector, Delta's Financial Strength distribution charts can be found below:

* The bar in red indicates where Delta's Financial Strength falls into.


;
;

Delta 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:

Delta's Interest Expense for the months ended in Mar. 2025 was ZWG-47 Mil. Its Operating Income for the months ended in Mar. 2025 was ZWG2,360 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2025 was ZWG113 Mil.

Delta's Interest Coverage for the quarter that ended in Mar. 2025 is

Interest Coverage=-1*Operating Income (Q: Mar. 2025 )/Interest Expense (Q: Mar. 2025 )
=-1*2360.125/-46.951
=50.27

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

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

Delta's Debt to Revenue Ratio for the quarter that ended in Mar. 2025 is

Debt to Revenue Ratio=Total Debt (Q: Mar. 2025 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(407.875 + 112.806) / 17287.364
=0.03

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.

Delta has a Z-score of 246.13, indicating it is in Safe Zones. This implies the Z-Score is strong.

Good Sign:

Altman Z-score of 246.13 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.


Delta  (XZIM:DLTA.ZW) Financial Strength Explanation

The rank is rated on a scale of 1 to 10. A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.

Delta has the Financial Strength Rank of 9. It shows strong financial strength and is unlikely to fall into distressed situations.


Delta Financial Strength Related Terms

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


Delta Business Description

Traded in Other Exchanges
N/A
Address
Sable House, Northridge Park, P.O. Box: BW 294, Northridge Close, Borrowdale, Harare, ZWE
Delta Corp Ltd is principally an integrated beverage company. The firm manufactures and distributes beverages in Zimbabwe. The company operates through Lager Beer, Sparkling Beverages, Wines and Spirits, and Sorghum Beer segments. The Lager Beer segment manufactures and distributes lager beer (malt and sorghum-based clear beers). Sparkling Beverages segment trades in carbonated soft drinks and alternative non-alcoholic beverages, Wines and Spirits manufactures and distributes wines and spirits and the Sorghum Beer segment manufactures and sells sorghum-based opaque beer. The company generates the majority of its revenue from the Lager Beer segment.

Delta Headlines

No Headlines