Hariyana Ship Breakers Adjusts Quality Grade Amid Mixed Financial Performance Trends

Hariyana Ship Breakers, operating in the Aerospace & Defense sector, has recently undergone a quality adjustment reflecting its current financial standing. The company has reported a significant decline in sales growth over the past five years, with a figure of -58.27%. However, it has shown a positive trend in EBIT growth during the same period, registering at 13.71%.
Financial metrics indicate that the company has a negative EBIT to interest ratio, suggesting challenges in covering interest expenses. Despite this, Hariyana Ship Breakers maintains a manageable debt profile, with negative net debt and a low net debt to equity ratio of 0.06. The sales to capital employed ratio stands at 0.69, while the tax ratio is reported at 25.25%.

In terms of performance, the company's return metrics reveal a mixed picture. Over the past year, it has underperformed compared to the Sensex, with a return of -12.26% against the index's 9.00%. However, over a longer horizon of five years, the company has outperformed the Sensex significantly, achieving a return of 254.43% compared to the index's 93.78%.

When compared to its peers, Hariyana Ship Breakers is positioned alongside companies like Indiabulls and Uniphos Enterprises, which also reflect below-average quality metrics. This context highlights the competitive landscape within the Aerospace & Defense industry, where financial health and growth trajectories vary significantly among players.