GURUFOCUS.COM » STOCK LIST » Financial Services » Banks » Territorial Bancorp Inc (NAS:TBNK) » Definitions » Financial Strength

Territorial Bancorp (Territorial Bancorp) Financial Strength : 3 (As of Dec. 2023)


View and export this data going back to 2009. Start your Free Trial

What is Territorial Bancorp Financial Strength?

Territorial Bancorp 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:

Territorial Bancorp 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.

GuruFocus does not calculate Territorial Bancorp's interest coverage with the available data. Territorial Bancorp's debt to revenue ratio for the quarter that ended in Dec. 2023 was 6.47. Altman Z-Score does not apply to banks and insurance companies.


Territorial Bancorp 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:

Territorial Bancorp's Interest Expense for the months ended in Dec. 2023 was $-8.28 Mil. Its Operating Income for the months ended in Dec. 2023 was $0.00 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was $259.30 Mil.

Territorial Bancorp's Interest Coverage for the quarter that ended in Dec. 2023 is

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

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

Territorial Bancorp'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
=(0 + 259.297) / 40.068
=6.47

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.

Altman Z-Score does not apply to banks and insurance companies.

* 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.


Territorial Bancorp  (NAS:TBNK) 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.

Territorial Bancorp 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.


Territorial Bancorp Financial Strength Related Terms

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


Territorial Bancorp (Territorial Bancorp) Business Description

Traded in Other Exchanges
N/A
Address
1003 Bishop Street, Suite 500, Pauahi Tower, Honolulu, HI, USA, 96813
Territorial Bancorp Inc operates as a bank holding company. It offers a wide variety of FDIC-insured deposit products and loan products for the consumer and small businesses. Its business consists primarily of accepting deposits from the general public and investing those deposits, together with funds generated from operations and borrowings, in one-to four-family residential mortgage loans and investment securities. Its loan segment portfolio consists of Residential Mortgage; Construction, Commercial, and Other Mortgage Loans; Home Equity loans & line of credit; and Consumer & others.
Executives
Troy Yoshimasu officer: Sr. VP/Chief Lending Officer 1132 BISHOP STREET, SUITE 2200, HONOLULU HI 96813
Jan Sam director 1132 BISHOP STREET, SUITE 2200, HONOLULU HI 96813
Vernon Hirata officer: Vice Chairman & Co-COO, other: Gen. Counsel & Secretary 1132 BISHOP STREET, SUITE 2200, HONOLULU HI 96813
Ralph Y Nakatsuka officer: Vice Chairman & Co-COO 1132 BISHOP STREET, SUITE 2200, HONOLULU HI 96813
Howard Y Ikeda director 1132 BISHOP STREET, SUITE 2200, HONOLULU HI 96813
Allan S Kitagawa director, officer: Chairman, President and CEO 1132 BISHOP STREET, SUITE 2200, HONOLULU HI 96813
David S Murakami director 1132 BISHOP STREET, SUITE 2200, HONOLULU HI 96813
John M Ohama director 1132 BISHOP STREET, SUITE 2200, HONOLULU HI 96813
Kirk W Caldwell director 1132 BISHOP STREET, SUITE 2200, HONOLULU HI 96813
Jennifer Isobe director 1132 BISHOP STREET, SUITE 2200, HONOLULU HI 96813
Richard I Murakami director 1132 BISHOP STREET, SUITE 2200, HONOLULU HI 96813
Francis E. Tanaka director 1132 BISHOP STREET, SUITE 2200, HONOLULU HI 96813
Melvin M Miyamoto officer: SVP and Treasurer 1132 BISHOP STREET, SUITE 2200, HONOLULU HI 96813
Richard Kc Lau officer: SVP 1132 BISHOP STREET, SUITE 2200, HONOLULU HI 96813
Karen J Cox officer: SVP 1132 BISHOP STREET, SUITE 2200, HONOLULU HI 96813