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Archosaur Games (HKSE:09990) Financial Strength : 7 (As of Dec. 2023)


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What is Archosaur Games Financial Strength?

Archosaur Games has the Financial Strength Rank of 7.

Good Sign:

Archosaur Games Inc 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.

Archosaur Games did not have earnings to cover the interest expense. Archosaur Games's debt to revenue ratio for the quarter that ended in Dec. 2023 was 0.04. As of today, Archosaur Games's Altman Z-Score is 0.76.


Competitive Comparison of Archosaur Games's Financial Strength

For the Electronic Gaming & Multimedia subindustry, Archosaur Games'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.


Archosaur Games's Financial Strength Distribution in the Interactive Media Industry

For the Interactive Media industry and Communication Services sector, Archosaur Games's Financial Strength distribution charts can be found below:

* The bar in red indicates where Archosaur Games's Financial Strength falls into.



Archosaur Games 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:

Archosaur Games's Interest Expense for the months ended in Dec. 2023 was HK$-1.7 Mil. Its Operating Income for the months ended in Dec. 2023 was HK$-97.9 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was HK$16.4 Mil.

Archosaur Games's Interest Coverage for the quarter that ended in Dec. 2023 is

Archosaur Games did not have earnings to cover the interest expense.

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

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

Archosaur Games'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
=(32.04 + 16.409) / 1107.414
=0.04

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.

Archosaur Games has a Z-score of 0.76, indicating it is in Distress Zones. This implies bankrupcy possibility in the next two years.

Warning Sign:

Altman Z-score of 0.76 is in distress zone. This implies bankruptcy 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.


Archosaur Games  (HKSE:09990) 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.

Archosaur Games has the Financial Strength Rank of 7.


Archosaur Games Financial Strength Related Terms

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


Archosaur Games (HKSE:09990) Business Description

Traded in Other Exchanges
N/A
Address
No.11 HePingLi East Street, 4th Floor, No. 8 Hangxing Science Park, Dongcheng District, Beijing, CHN, 100013
Archosaur Games Inc is a mobile game developer in China. The company's games include real 3D mobile MMORPG grand strategy wargames, Loong Craft; Dragon Raja which is a real 3D mobile MMORPG powered by Unreal Engine 4; and real 3D turn-based mobile MMORPGs, Fantasy Zhuxian.
Executives
Gic Private Limited 2102 Investment manager
Li Qing
Tencent Holdings Limited
Cresc Chorus Limited 2101 Beneficial owner
Luckq Technology Limited 2201 Interest of corporation controlled by you
Chi Yufeng 2201 Interest of corporation controlled by you
Perfect Freedom Company Limited 2201 Interest of corporation controlled by you
Perfect Game Speed Company Limited 2201 Interest of corporation controlled by you
Perfect World Interactive Entertainment Co., Ltd. 2101 Beneficial owner
Wan Mei Shi Jie Bei Jing Ruan Jian Ke Ji Fa Zhan You Xian Gong Si 2201 Interest of corporation controlled by you
Wan Mei Shi Jie You Xi You Xian Ze Ren Gong Si 2201 Interest of corporation controlled by you
Wan Mei Shi Jie Gu Fen You Xian Gong Si 2201 Interest of corporation controlled by you
Image Frame Investment (hk) Limited

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