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Vista Land & Lifescapes (PHS:VLL) Financial Strength : 3 (As of Dec. 2023)


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What is Vista Land & Lifescapes Financial Strength?

Vista Land & Lifescapes has the Financial Strength Rank of 3. It displays poor financial strength and is likely in financial distress. Usually this is caused by too much debt for the company.

Warning Sign:

Vista Land & Lifescapes Inc displays poor financial strength. 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.

Vista Land & Lifescapes's Interest Coverage for the quarter that ended in Dec. 2023 was 3.34. Vista Land & Lifescapes's debt to revenue ratio for the quarter that ended in Dec. 2023 was 5.57. As of today, Vista Land & Lifescapes's Altman Z-Score is 0.94.


Competitive Comparison of Vista Land & Lifescapes's Financial Strength

For the Residential Construction subindustry, Vista Land & Lifescapes'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.


Vista Land & Lifescapes's Financial Strength Distribution in the Homebuilding & Construction Industry

For the Homebuilding & Construction industry and Consumer Cyclical sector, Vista Land & Lifescapes's Financial Strength distribution charts can be found below:

* The bar in red indicates where Vista Land & Lifescapes's Financial Strength falls into.



Vista Land & Lifescapes 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:

Vista Land & Lifescapes's Interest Expense for the months ended in Dec. 2023 was ₱-1,265 Mil. Its Operating Income for the months ended in Dec. 2023 was ₱4,226 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was ₱116,771 Mil.

Vista Land & Lifescapes'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*4225.911/-1265.038
=3.34

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

Warning Sign:

Ben Graham prefers companies' interest coverage to be at least 5. Vista Land & Lifescapes Inc interest coverage is 2.9, which is low.

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

Vista Land & Lifescapes'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
=(57444.397 + 116771.296) / 31256.372
=5.57

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.

Vista Land & Lifescapes has a Z-score of 0.94, indicating it is in Distress Zones. This implies bankrupcy possibility in the next two years.

Warning Sign:

Altman Z-score of 0.94 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.


Vista Land & Lifescapes  (PHS:VLL) 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.

Vista Land & Lifescapes has the Financial Strength Rank of 3. It displays poor financial strength and is likely in financial distress. Usually this is caused by too much debt for the company.


Vista Land & Lifescapes Financial Strength Related Terms

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Vista Land & Lifescapes (PHS:VLL) Business Description

Traded in Other Exchanges
N/A
Address
Lower Ground Floor, Evia lifestyle center, Building B, Vista City, Daanghari, Almanza 2, Las Pinas, PHL, 1740
Vista Land & Lifescapes Inc is one of the largest homebuilders in the Philippines. The company operates seven distinct housing brands: Brittany, Crown Asia, Camella, Vistamalls, Communities Philippines, Vista Residences, and VLL International Inc. Vista Land constructs a wide range of homes under these brands, including large single-family luxury homes, middle-income housing communities, low-cost apartments, and residential towers around the country. The company is present in over 49 provinces and 147 cities across the Philippines. The Camella and Communities Philippines middle- and low-cost brands provide the majority of the company's revenue, followed by Vista high-rise developments.

Vista Land & Lifescapes (PHS:VLL) Headlines

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