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Econ Healthcare (Asia) (SGX:EHG) Net-Net Working Capital : S$-0.11 (As of Sep. 2023)


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What is Econ Healthcare (Asia) Net-Net Working Capital?

In calculating the Net-Net Working Capital (NNWC), Benjamin Graham assumed that a company's accounts receivable is only worth 75% its value, its inventory is only worth 50% of its value, but its liabilities have to be paid in full. In addition, Graham believed that preferred stock belongs on the liability side of the balance sheet, not as part of capital and surplus. This is a conservative way of estimating the company's value.

Econ Healthcare (Asia)'s Net-Net Working Capital for the quarter that ended in Sep. 2023 was S$-0.11.

The industry rank for Econ Healthcare (Asia)'s Net-Net Working Capital or its related term are showing as below:

SGX:EHG's Price-to-Net-Net-Working-Capital is not ranked *
in the Healthcare Providers & Services industry.
Industry Median: 7.07
* Ranked among companies with meaningful Price-to-Net-Net-Working-Capital only.

Econ Healthcare (Asia) Net-Net Working Capital Historical Data

The historical data trend for Econ Healthcare (Asia)'s Net-Net Working Capital 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.

Econ Healthcare (Asia) Net-Net Working Capital Chart

Econ Healthcare (Asia) Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23
Net-Net Working Capital
Get a 7-Day Free Trial -0.11 -0.14 -0.11 -0.14 -0.12

Econ Healthcare (Asia) Semi-Annual Data
Mar18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23
Net-Net Working Capital Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only -0.06 -0.14 -0.14 -0.12 -0.11

Competitive Comparison of Econ Healthcare (Asia)'s Net-Net Working Capital

For the Medical Care Facilities subindustry, Econ Healthcare (Asia)'s Price-to-Net-Net-Working-Capital, along with its competitors' market caps and Price-to-Net-Net-Working-Capital 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.


Econ Healthcare (Asia)'s Price-to-Net-Net-Working-Capital Distribution in the Healthcare Providers & Services Industry

For the Healthcare Providers & Services industry and Healthcare sector, Econ Healthcare (Asia)'s Price-to-Net-Net-Working-Capital distribution charts can be found below:

* The bar in red indicates where Econ Healthcare (Asia)'s Price-to-Net-Net-Working-Capital falls into.



Econ Healthcare (Asia) Net-Net Working Capital Calculation

Econ Healthcare (Asia)'s Net-Net Working Capital (NNWC) per share for the fiscal year that ended in Mar. 2023 is calculated as

Net-Net Working Capital(A: Mar. 2023 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(25.376+0.75 * 6.291+0.5 * 0.01-60.746
-0--0.233)/257
=-0.12

Econ Healthcare (Asia)'s Net-Net Working Capital (NNWC) per share for the quarter that ended in Sep. 2023 is calculated as

Net-Net Working Capital(Q: Sep. 2023 )
=(Cash, Cash Equivalents, Marketable Securities+0.75 * Accounts Receivable+0.5 * Total Inventories-Total Liabilities
-Preferred Stock-Minority Interest)/Shares Outstanding (EOP)
=(23.847+0.75 * 5.756+0.5 * 0.007-57.205
-0--0.284)/257
=-0.11

* 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.

In calculating the Net-Net Working Capital (NNWC), Benjamin Graham assumed that a company's accounts receivable is only worth 75% its value, its inventory is only worth 50% of its value, but its liabilities have to be paid in full.

In addition, Graham believed that preferred stock belongs on the liability side of the balance sheet, not as part of capital and surplus. In "Security Analysis", preferred stock is dubbed "an imperfect creditorship position" that is best placed on the balance sheet alongside funded debt.

This is a conservative way of estimating the company's value.


Econ Healthcare (Asia)  (SGX:EHG) Net-Net Working Capital Explanation

One research study, covering the years 1970 through 1983 showed that portfolios picked at the beginning of each year, and held for one year, returned 29.4 percent, on average, over the 13-year period, compared to 11.5 percent for the S&P 500 Index. Other studies of Graham's strategy produced similar results.

Benjamin Graham looked for companies whose market values were less than two-thirds of their net-net value. They are collected under our Net-Net screener.


Econ Healthcare (Asia) Net-Net Working Capital Related Terms

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Econ Healthcare (Asia) (SGX:EHG) Business Description

Traded in Other Exchanges
N/A
Address
160 Changi Road, No. 05-01-13, Hexacube, Singapore, SGP, 419728
Econ Healthcare (Asia) Ltd is a private nursing home operator in Singapore and Malaysia. The operating business segments are Medicare Centres and Nursing Homes and Other Operations and Ancillary Services. The company derives maximum revenue from the provision of medicare centres and the nursing home segment. Geographically it derives a majority of its revenue from Singapore.

Econ Healthcare (Asia) (SGX:EHG) Headlines

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