Blow-up avoidance

Forensic Risk

Distress and earnings-quality flags computed from each company's latest filed annual statement. Every figure comes from the filing — where a statement lacks the inputs, the score reads unavailable rather than being estimated.

What can be useful

A company drifting toward the distress zone while still reporting profits is worth a closer read of its cash flow.

What needs caution

These are screening flags, not verdicts. A low score is a reason to investigate, never a standalone sell signal.

Data note

Not meaningful for banks, NBFCs or insurers — their balance sheets don't split current vs non-current, so the score is withheld rather than guessed.

How to read Altman Z″

A bankruptcy-risk score (the emerging-market Z″ variant) built from working capital, retained earnings, operating profit and equity relative to the balance sheet. Higher is safer. It is a statistical screen, not a prediction.

Safe above 2.6   Grey 1.1 to 2.6   Distress below 1.1
What the Flags count means

How many of five red flags fired on the latest annual statement. Click the number to see which ones.

  • Altman Z″ in the distress zone
  • Accruals above 10% of assets (profit not backed by cash)
  • Interest coverage below 1.5×
  • Negative operating cash flow
  • Reported net loss
The other two columns

Accruals = (net profit − operating cash flow) ÷ total assets. High positive values mean reported profit is not arriving as cash.
Int. cover = EBIT ÷ interest expense. Below ~1.5× the company barely covers its interest bill; negative means operating profit is negative.

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