GURUFOCUS.COM » STOCK LIST » Communication Services » Telecommunication Services » Agni Systems Ltd (DHA:AGNISYSL) » Definitions » Financial Strength

Agni Systems (DHA:AGNISYSL) Financial Strength : 10 (As of Mar. 2024)


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

What is Agni Systems Financial Strength?

Agni Systems has the Financial Strength Rank of 10. It shows strong financial strength and is unlikely to fall into distressed situations.

Good Sign:

Agni Systems 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.

Agni Systems's Interest Coverage for the quarter that ended in Mar. 2024 was 19.47. Agni Systems's debt to revenue ratio for the quarter that ended in Mar. 2024 was 0.08. As of today, Agni Systems's Altman Z-Score is 7.27.


Competitive Comparison of Agni Systems's Financial Strength

For the Telecom Services subindustry, Agni Systems'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.


Agni Systems's Financial Strength Distribution in the Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, Agni Systems's Financial Strength distribution charts can be found below:

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



Agni Systems 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:

Agni Systems's Interest Expense for the months ended in Mar. 2024 was BDT-1.6 Mil. Its Operating Income for the months ended in Mar. 2024 was BDT30.6 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2024 was BDT34.9 Mil.

Agni Systems's Interest Coverage for the quarter that ended in Mar. 2024 is

Interest Coverage=-1*Operating Income (Q: Mar. 2024 )/Interest Expense (Q: Mar. 2024 )
=-1*30.632/-1.573
=19.47

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

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

Agni Systems's Debt to Revenue Ratio for the quarter that ended in Mar. 2024 is

Debt to Revenue Ratio=Total Debt (Q: Mar. 2024 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(18.386 + 34.874) / 703.252
=0.08

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.

Agni Systems has a Z-score of 7.27, indicating it is in Safe Zones. This implies the Z-Score is strong.

Good Sign:

Altman Z-score of 7.27 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.


Agni Systems  (DHA:AGNISYSL) 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.

Agni Systems has the Financial Strength Rank of 10. It shows strong financial strength and is unlikely to fall into distressed situations.


Agni Systems Financial Strength Related Terms

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


Agni Systems (DHA:AGNISYSL) Business Description

Traded in Other Exchanges
N/A
Address
45, Gulshan Avenue, Gulshan 1, Navana Tower, 11th Floor, Suite A, Dhaka, BGD, 1212
Agni Systems Ltd is an internet service provider. It offers services such as Internet Connectivity, Data Connectivity, Find a Domain, Voice Call Solution, Web Solution, Hosting Solution, P2P Radios, and Email Solution. The majority of its revenue comes from ICX service, Internet service, Software & Hardware sales, and other installation and workstation services. All of its revenues are generated in Bangladesh.

Agni Systems (DHA:AGNISYSL) Headlines

No Headlines