Examples of Net worth ratio in a sentence
Net worth ratio Risk-based capital ratio also applicable if complex And subject to following condition(s) .
Some of the sub-factors considered in financial risk analysis are: Trend: Sales, sales returns, profitability, debt-equity, debt servicing cover Margins: Operating profit margins, PAT margins among others Liquidity: Current ratio, quick ratio, inventory days, receivable/payable/working capital days Return Measures: Return on net worth, Return on capital employed and Return on assets Debt and Debt Coverage: Debt equity mix, Total outside liabilities (TOL) to Net worth ratio, Interest coverage ratio.
Cash Flow Indicators Interim period endedSeptember 30, 2004Interim period endedSeptember 30, 2005Interim period endedSeptember 30, 2006Interim period endedSeptember 30, 2007Net worth ratio (%)47.242.345.344.7Debt repayment period (years)2.21.00.30.6Interest coverage ratio (%)42.2119.3265.6103.1 Net worth ratio: Net worth/Total assetsDebt repayment period: Interest-bearing debt/Operating cash flow Interest coverage ratio: Operating cash flow/Interest expenseNotes: 1.
Post-merger, the return on Net worth ratio increased, so the researcher concluded that after the M&A, the liquidity position of the Indus tower improved.
Return on Net worth ratio expresses the capacity of the banks to utilize its owner’s fund.