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DRRKF (dorma+kaba Holding AG) Altman Z-Score : 2.72 (As of Dec. 13, 2024)


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What is dorma+kaba Holding AG Altman Z-Score?

The Altman Z-Score is a model designed to predict the likelihood of a company going bankrupt within the next two years. Created by American finance professor Edward Altman in 1968, the model is specifically designed for publicly traded manufacturing companies with assets greater than $1 million.

Warning Sign:

Altman Z-score of 2.74 is in the grey area. This implies that the company is under some kind of financial stress. If it is below 1.8, the company may face bankruptcy risk.

dorma+kaba Holding AG has a Altman Z-Score of 2.72, indicating it is in Grey Zones. This implies that dorma+kaba Holding AG is in some kind of financial stress. If it is below 1.81, the company may face bankrupcy risk.

The zones of discrimination were as such:

When Altman Z-Score <= 1.8, it is in Distress Zones.
When Altman Z-Score >= 3, it is in Safe Zones.
When Altman Z-Score is between 1.8 and 3, it is in Grey Zones.

The historical rank and industry rank for dorma+kaba Holding AG's Altman Z-Score or its related term are showing as below:

DRRKF' s Altman Z-Score Range Over the Past 10 Years
Min: 1.83   Med: 3.83   Max: 6.76
Current: 2.74

During the past 13 years, dorma+kaba Holding AG's highest Altman Z-Score was 6.76. The lowest was 1.83. And the median was 3.83.


dorma+kaba Holding AG Altman Z-Score Historical Data

The historical data trend for dorma+kaba Holding AG's Altman Z-Score can be seen below:

* 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.

* Premium members only.

dorma+kaba Holding AG Altman Z-Score Chart

dorma+kaba Holding AG Annual Data
Trend Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24
Altman Z-Score
Get a 7-Day Free Trial Premium Member Only Premium Member Only 3.88 3.90 1.83 2.31 2.40

dorma+kaba Holding AG Semi-Annual Data
Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Jun24
Altman Z-Score Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only - 1.83 - 2.31 2.40

Competitive Comparison of dorma+kaba Holding AG's Altman Z-Score

For the Building Products & Equipment subindustry, dorma+kaba Holding AG's Altman Z-Score, along with its competitors' market caps and Altman Z-Score 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.


dorma+kaba Holding AG's Altman Z-Score Distribution in the Construction Industry

For the Construction industry and Industrials sector, dorma+kaba Holding AG's Altman Z-Score distribution charts can be found below:

* The bar in red indicates where dorma+kaba Holding AG's Altman Z-Score falls into.



dorma+kaba Holding AG Altman Z-Score Calculation

Altman 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.

dorma+kaba Holding AG's Altman Z-Score for today is calculated with this formula:

Z=1.2*X1+1.4*X2+3.3*X3+0.6*X4+1.0*X5
=1.2*0.2476+1.4*-0.2447+3.3*0.0872+0.6*1.723+1.0*1.4434
=2.72

* 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. GuruFocus does not calculate Altman Z-Score when X4 or X5 value is 0.

Trailing Twelve Months (TTM) ended in Jun. 2024:
Total Assets was $2,199 Mil.
Total Current Assets was $1,361 Mil.
Total Current Liabilities was $816 Mil.
Retained Earnings was $-538 Mil.
Pre-Tax Income was $150 Mil.
Interest Expense was $-42 Mil.
Revenue was $3,174 Mil.
Market Cap (Today) was $3,129 Mil.
Total Liabilities was $1,816 Mil.

* Note that for stock reported semi-annually or annually, GuruFocus uses latest annual data as the TTM data.

X1=Working Capital/Total Assets
=(Total Current Assets - Total Current Liabilities)/Total Assets
=(1360.707 - 816.178)/2199.038
=0.2476

X2=Retained Earnings/Total Assets
=-538.152/2199.038
=-0.2447

X3=Earnings Before Interest and Taxes/Total Assets
=(Pre-Tax Income - Interest Expense)/Total Assets
=(150.034 - -41.732)/2199.038
=0.0872

X4=Market Value Equity/Book Value of Total Liabilities
=Market Cap/Total Liabilities
=3128.901/1815.954
=1.723

X5=Revenue/Total Assets
=3174.2/2199.038
=1.4434

The zones of discrimination were as such:

Distress Zones - 1.81 < Grey Zones < 2.99 - Safe Zones

dorma+kaba Holding AG has a Altman Z-Score of 2.72 indicating it is in Grey Zones.

Study by Altman found that companies that are in Distress Zone have more than 80% of chances of bankruptcy in two years.


dorma+kaba Holding AG  (OTCPK:DRRKF) Altman Z-Score Explanation

X1: The Working Capital/Total Assets (WC/TA) ratio is a measure of the net liquid assets of the firm relative to the total capitalization. Working capital is defined as the difference between current assets and current liabilities. Ordinarily, a firm experiencing consistent operating losses will have shrinking current assets in relation to total assets. Altman found this one proved to be the most valuable liquidity ratio comparing with the current ratio and the quick ratio. This is however the least significant of the five factors.

X2: Retained Earnings/Total Assets: the RE/TA ratio measures the leverage of a firm. Retained earnings is the account which reports the total amount of reinvested earnings and/or losses of a firm over its entire life. Those firms with high RE, relative to TA, have financed their assets through retention of profits and have not utilized as much debt.

X3, Earnings Before Interest and Taxes/Total Assets (EBIT/TA): This ratio is a measure of the true productivity of the firm's assets, independent of any tax or leverage factors. Since a firm's ultimate existence is based on the earning power of its assets, this ratio appears to be particularly appropriate for studies dealing with corporate failure. This ratio continually outperforms other profitability measures, including cash flow.

X4, Market Value of Equity/Book Value of Total Liabilities (MVE/TL): The measure shows how much the firm's assets can decline in value (measured by market value of equity plus debt) before the liabilities exceed the assets and the firm becomes insolvent.

X5, Revenue/Total Assets (S/TA): The capital-turnover ratio is a standard financial ratio illustrating the sales generating ability of the firm's assets.

Read more about Altman Z-Score and the original research.


Be Aware

Altman Z-Score does not apply to financial companies.


dorma+kaba Holding AG Altman Z-Score Related Terms

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dorma+kaba Holding AG Business Description

Traded in Other Exchanges
Address
Hofwisenstrasse 24, Rumlang, CHE, 8153
dorma+kaba Holding AG is a security group that provides smart and secure access solutions and systems in the security industry. The products include door closers, architectural hardware, space and rescue doors, automatic doors and operators, physical access systems, electronic access control, workforce management, installation services, master key systems, cylinder locks, digital and electronic locks, lodging systems, safe locks, interior glass products, and movable walls. The company has two operating segments: Access Solutions and Key & Wall Solutions and OEM. It generates the majority of its revenue from the Access Solutions segment.

dorma+kaba Holding AG Headlines

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