Vikram Thermo's Quality Grade Upgrade Reflects Strong Financial Performance and Stability

Vikram Thermo, a microcap player in the commodity chemicals sector, has recently undergone an evaluation revision reflecting its financial performance metrics. The company has demonstrated notable sales growth over the past five years, with a rate of 14.51%. Additionally, its EBIT growth during the same period stands at 24.59%, indicating a robust operational efficiency.
The company's financial health is further underscored by its EBIT to interest ratio of 24.95, suggesting strong earnings relative to interest obligations. Vikram Thermo maintains a low debt to EBITDA ratio of 0.53 and a minimal net debt to equity ratio of 0.03, highlighting its conservative leverage and financial stability. The sales to capital employed ratio is at 1.00, reflecting effective capital utilization.

In comparison to its peers, Vikram Thermo stands out with a return on capital employed (ROCE) of 25.19% and a return on equity (ROE) of 19.89%, both of which are favorable indicators of its operational performance. While other companies in the sector, such as Stallion India and TGV Sraac, are rated average, Vikram Thermo's metrics suggest a stronger position within the commodity chemicals industry.