Danish Agro Machinery Holding A/S — Credit Rating and Financial Key Figures

Danish Agro Machinery Holding A/S (CVR number: 37520632K) is a company from SKANDERBORG. The company reported a net sales of 5232.9 mDKK in 2023, demonstrating a growth of 2.9 % compared to the previous year. The operating profit percentage was at 4.1 % (EBIT: 216.3 mDKK), while net earnings were 63.8 mDKK. The profitability of the company measured by Return on Assets (ROA) was 16.3 %, which can be considered excellent but Return on Equity (ROE) was 13.5 %, which can be considered good. The equity ratio, a key indicator for solidity, stood at 17.5 %, a level that can be considered to be very low. This means the company is highly leveraged, with most assets financed through debt. This high level of financial risk could pose challenges in periods of financial distress or rising interest rates. Danish Agro Machinery Holding A/S's liquidity measured by quick ratio was 0.2 which is at a very low level. Thus, the company is in an unstable financial position, with its liquid assets significantly undermatching its current liabilities. This severe liquidity deficiency may lead to financial distress and threaten the company's operational continuity.