What is Guoquan Food (Shanghai) Co Financial Strength?
Guoquan Food (Shanghai) Co has the Financial Strength Rank of 10. It shows strong financial strength and is unlikely to fall into distressed situations.
Good Sign:
Guoquan Food (Shanghai) Co 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.
Guoquan Food (Shanghai) Co's Interest Coverage for the quarter that ended in Dec. 2023 was 59.13.
Guoquan Food (Shanghai) Co's debt to revenue ratio for the quarter that ended in Dec. 2023 was 0.02.
As of today, Guoquan Food (Shanghai) Co's Altman Z-Score is 8.50.
Competitive Comparison of Guoquan Food (Shanghai) Co's Financial Strength
For the Packaged Foods subindustry, Guoquan Food (Shanghai) Co'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.
Guoquan Food (Shanghai) Co's Financial Strength Distribution in the Consumer Packaged Goods Industry
For the Consumer Packaged Goods industry and Consumer Defensive sector, Guoquan Food (Shanghai) Co's Financial Strength distribution charts can be found below:
* The bar in red indicates where Guoquan Food (Shanghai) Co's Financial Strength falls into.
Guoquan Food (Shanghai) Co 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:
Guoquan Food (Shanghai) Co's Interest Expense for the
months ended in Dec. 2023 was HK$-6 Mil. Its Operating Income for the
months ended in Dec. 2023 was HK$351 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was HK$22 Mil.
Guoquan Food (Shanghai) Co's Interest Coverage for the quarter that ended in Dec. 2023 is
The higher the ratio, the stronger the company's financial strength is.
Good Sign:
Ben Graham prefers companies' interest coverage to be at least 5. Guoquan Food (Shanghai) Co Ltd has enough cash to cover all of its debt. Its financial situation is stable.
2. Debt to revenue ratio. The lower, the better.
Guoquan Food (Shanghai) Co's Debt to Revenue Ratio for the quarter that ended in Dec. 2023 is
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.
Guoquan Food (Shanghai) Co has a Z-score of 8.50, indicating it is in Safe Zones. This implies the Z-Score is strong.
Good Sign:
Altman Z-score of 8.5 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.
Guoquan Food (Shanghai) Co (HKSE:02517) Business Description
Traded in Other Exchanges
N/A
Address
Lane 187, Xinghong Road, Room 802, No. 3, Minhang, Shanghai, CHN
Guoquan Food (Shanghai) Co Ltd is the leading and rapidly growing home meal products brand in China. It offers a variety of ready-to-eat, ready-to-heat, ready-to-cook and prepared ingredients, with a focus on at-home hotpot and barbecue products. With a carefully curated product portfolio and an extensive network of community-based stores, it enables consumers to enjoy meals at home with convenience, affordability and tastiness. Leveraging its robust supply chain and production capabilities, The company offers a wide variety of home meal products under the Guoquan Shihui brand through a nationwide network of 9,844 retail stores in China, serving diverse dining scenarios.
Guoquan Food (Shanghai) Co (HKSE:02517) Headlines
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