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KLNG (Koil Energy Solutions) Altman Z-Score : -1.58 (As of Mar. 18, 2025)


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What is Koil Energy Solutions 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 -1.71 is in distress zone. This implies bankruptcy possibility in the next two years.

Koil Energy Solutions has a Altman Z-Score of -1.58, indicating it is in Distress Zones. This implies bankrupcy possibility in the next two years.

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 Koil Energy Solutions's Altman Z-Score or its related term are showing as below:

KLNG' s Altman Z-Score Range Over the Past 10 Years
Min: -6.21   Med: -1.93   Max: 3.67
Current: -1.71

During the past 13 years, Koil Energy Solutions's highest Altman Z-Score was 3.67. The lowest was -6.21. And the median was -1.93.


Koil Energy Solutions Altman Z-Score Historical Data

The historical data trend for Koil Energy Solutions'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.

Koil Energy Solutions Altman Z-Score Chart

Koil Energy Solutions Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Altman Z-Score
Get a 7-Day Free Trial Premium Member Only Premium Member Only -2.23 -5.58 -2.43 -4.54 -4.24

Koil Energy Solutions Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
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 -4.11 -4.24 -3.65 -2.76 -2.06

Competitive Comparison of Koil Energy Solutions's Altman Z-Score

For the Oil & Gas Equipment & Services subindustry, Koil Energy Solutions'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.


Koil Energy Solutions's Altman Z-Score Distribution in the Oil & Gas Industry

For the Oil & Gas industry and Energy sector, Koil Energy Solutions's Altman Z-Score distribution charts can be found below:

* The bar in red indicates where Koil Energy Solutions's Altman Z-Score falls into.



Koil Energy Solutions 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.

Koil Energy Solutions'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*0.2634+1.4*-3.3907+3.3*0.0649+0.6*2.5366+1.0*1.119
=-1.58

* 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 Sep. 2024:
Total Assets was $18.59 Mil.
Total Current Assets was $9.84 Mil.
Total Current Liabilities was $4.95 Mil.
Retained Earnings was $-63.02 Mil.
Pre-Tax Income was 0.525 + 0.986 + 0.579 + -0.884 = $1.21 Mil.
Interest Expense was 0 + 0 + 0 + 0 = $0.00 Mil.
Revenue was 5.223 + 5.779 + 5.791 + 4.005 = $20.80 Mil.
Market Cap (Today) was $27.13 Mil.
Total Liabilities was $10.70 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
=(9.84 - 4.945)/18.586
=0.2634

X2=Retained Earnings/Total Assets
=-63.02/18.586
=-3.3907

X3=Earnings Before Interest and Taxes/Total Assets
=(Pre-Tax Income - Interest Expense)/Total Assets
=(1.206 - 0)/18.586
=0.0649

X4=Market Value Equity/Book Value of Total Liabilities
=Market Cap/Total Liabilities
=27.131/10.696
=2.5366

X5=Revenue/Total Assets
=20.798/18.586
=1.119

The zones of discrimination were as such:

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

Koil Energy Solutions has a Altman Z-Score of -1.58 indicating it is in Distress Zones.

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


Koil Energy Solutions  (OTCPK:KLNG) 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.


Koil Energy Solutions Altman Z-Score Related Terms

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Koil Energy Solutions Business Description

Traded in Other Exchanges
N/A
Address
1310 Rankin Road, Houston, TX, USA, 77073
Koil Energy Solutions Inc is an energy services company that provides equipment and support services to the world's energy and offshore industries. Its core services and technological solutions include distribution system installation support and engineering services, umbilical terminations, loose-tube steel flying leads, and related services. Additionally, its team can support subsea engineering, manufacturing, installation, commissioning, and maintenance projects. Its products include Buoyancy Solutions, Flying Leads, Storage, and Transportation, Subsea Fluid and Power Distribution, and Umbilical Termination Solutions.
Executives
Trevor L Ashurst officer: Vice President of Finance 18511 BEAUMONT HIGHWAY, HOUSTON TX 77049
Ronald Eric Smith director, 10 percent owner, officer: President, CEO and Director 3020 SOUTH ISLAND DRIVE, SEABROOK TX 77586
Micah Thomas Simmons officer: Chief Operating Officer 18511 BEAUMONT HIGHWAY, HOUSTON TX 77049
Neal I Goldman director 170 SOUTHPORT DRIVE, MORRISVILLE NC 27560
David J. Douglas director, 10 percent owner 3889 MAPLE AVE., 6TH FLOOR, DALLAS TX 75219
Charles K Njuguna officer: CHIEF FINANCIAL OFFICER PO BOX 1389, CROSBY TX 77532
Eugene L Butler director, officer: Chief Financial Officer PO BOX 12818, HOUSTON TX 77217
Wellington Trust Company, National Association Multiple Common Trust Funds Trust, Micro Cap Equity Portfolio 10 percent owner C/O WELLINGTON TRUST COMPANY, NA, 280 CONGRESS STREET, BOSTON MA 02210
Mary Lynne Budrunas director, 10 percent owner, officer: Secretary & Director 3020 SOUTH ISLAND DRIVE, SEABROOK TX 77586
Mark Carden director 18511 BEAUMONT HIGHWAY, HOUSTON TX 77049
Randolph W Warner director 8827 W. SAM HOUSTON PKWY N, #100, HOUSTON TX 77040
Perlus Microcap Fund L.p. 10 percent owner CRICKET SQUARE, HUTCHINS DRIVE, P.O. BOX 268, GRAND CAYMAN E9 KY1-1111
Ira Selya officer: Corporate Controller 8827 W SAM HOUSTON PKWY N, STE 100, HOUSTON TX 77040
Gay Stanley Mayeux officer: VP and CFO 8827 W. SAM HOUSTON PKWY N., STE 100, HOUSTON TX 77040
Mark R Hollinger director 8827 W. SAM HOUSTON PKWY N, STE 100, HOUSTON TX 77040

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