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Real Estate Investments Zambia (LUS:REIZ) Financial Strength : 2 (As of . 20)


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What is Real Estate Investments Zambia Financial Strength?

Real Estate Investments Zambia has the Financial Strength Rank of 2. It displays poor financial strength and is likely in financial distress. Usually this is caused by too much debt for the company.

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.

Real Estate Investments Zambia did not have earnings to cover the interest expense. As of today, Real Estate Investments Zambia's Altman Z-Score is 0.00.


Competitive Comparison of Real Estate Investments Zambia's Financial Strength

For the Real Estate - Development subindustry, Real Estate Investments Zambia'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.


Real Estate Investments Zambia's Financial Strength Distribution in the Real Estate Industry

For the Real Estate industry and Real Estate sector, Real Estate Investments Zambia's Financial Strength distribution charts can be found below:

* The bar in red indicates where Real Estate Investments Zambia's Financial Strength falls into.



Real Estate Investments Zambia 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:

Real Estate Investments Zambia's Interest Expense for the months ended in . 20 was ZMW0.00 Mil. Its Operating Income for the months ended in . 20 was ZMW0.00 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in . 20 was ZMW0.00 Mil.

Real Estate Investments Zambia's Interest Coverage for the quarter that ended in . 20 is

Real Estate Investments Zambia had no long-term debt (1).

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

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

Real Estate Investments Zambia's Debt to Revenue Ratio for the quarter that ended in . 20 is

Debt to Revenue Ratio=Total Debt (Q: . 20 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=( + ) / 0
=N/A

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.

Real Estate Investments Zambia has a Z-score of 0.00, indicating it is in Distress Zones. This implies bankrupcy possibility in the next two years.

* 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.


Real Estate Investments Zambia  (LUS:REIZ) 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.

Real Estate Investments Zambia has the Financial Strength Rank of 2. It displays poor financial strength and is likely in financial distress. Usually this is caused by too much debt for the company.


Real Estate Investments Zambia Financial Strength Related Terms

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Real Estate Investments Zambia (LUS:REIZ) Business Description

Comparable Companies
Traded in Other Exchanges
N/A
Address
Cairo Road, Stand 2713, P O Box 30012, Lusaka, ZMB
Real Estate Investments Zambia PLC is involved in the investment, development, and restructuring of commercial and non-commercial property for letting. It has properties located in Lusaka, Zambia. Its property portfolio comprises Central Park, Arcades Entertainment and Retail Centre, Dedan Kimathi Road Office, Eureka Park, Abacus Square, and Counting House Square, among others.

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