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Roto Pumps (BOM:517500) Financial Strength : 8 (As of Dec. 2023)


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What is Roto Pumps Financial Strength?

Roto Pumps has the Financial Strength Rank of 8. It shows strong financial strength and is unlikely to fall into distressed situations.

Good Sign:

Roto Pumps Ltd shows strong financial strength.

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.

Roto Pumps's Interest Coverage for the quarter that ended in Dec. 2023 was 6.99. Roto Pumps's debt to revenue ratio for the quarter that ended in Dec. 2023 was 0.00. As of today, Roto Pumps's Altman Z-Score is 10.08.


Competitive Comparison of Roto Pumps's Financial Strength

For the Specialty Industrial Machinery subindustry, Roto Pumps'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.


Roto Pumps's Financial Strength Distribution in the Industrial Products Industry

For the Industrial Products industry and Industrials sector, Roto Pumps's Financial Strength distribution charts can be found below:

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



Roto Pumps 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:

Roto Pumps's Interest Expense for the months ended in Dec. 2023 was ₹-11 Mil. Its Operating Income for the months ended in Dec. 2023 was ₹80 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was ₹0 Mil.

Roto Pumps's Interest Coverage for the quarter that ended in Dec. 2023 is

Interest Coverage=-1*Operating Income (Q: Dec. 2023 )/Interest Expense (Q: Dec. 2023 )
=-1*80.224/-11.476
=6.99

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

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

Roto Pumps's Debt to Revenue Ratio for the quarter that ended in Dec. 2023 is

Debt to Revenue Ratio=Total Debt (Q: Dec. 2023 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(0 + 0) / 2265.444
=0.00

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.

Roto Pumps has a Z-score of 10.08, indicating it is in Safe Zones. This implies the Z-Score is strong.

Good Sign:

Altman Z-score of 10.08 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.


Roto Pumps  (BOM:517500) 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.

Roto Pumps has the Financial Strength Rank of 8. It shows strong financial strength and is unlikely to fall into distressed situations.


Roto Pumps Financial Strength Related Terms

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Roto Pumps (BOM:517500) Business Description

Traded in Other Exchanges
Address
13, Roto House, Noida Special Economic Zone, Noida, UP, IND, 201305
Roto Pumps Ltd is engaged in the manufacturing of screw pumps and parts of pumps. The company's products include progressive cavity pumps (PCP), twin screw pumps (TSP), and retrofit parts. Its products serve a cross-section of industries including infrastructure, oil and gas, power, mining, paper, and pulp. It operates in a single reporting segment being Pumps and Spares.

Roto Pumps (BOM:517500) Headlines

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