Kinetic Engineering Key Ratios

The negative PAT margins from 2004 to 2005 indicate severe profitability issues, contributing to ROE losses that peaked at -826.555% in 2005.Stronger asset turnover in 2005 (0.9624) contrasted with significantly higher leverage (38.1657), suggesting an over-reliance on debt and leading to pronounced losses.By 2024, the increase in PAT margin to 3.477% and a healthy ROE of 20.6354 shows recovery driven by profitability, despite reduced asset turnover.

Inventory days peaked at 156.072 in 2023, indicating inefficiencies in stock management, potentially impacting liquidity.Receivable days showed volatility but improved significantly in 2024 to 77.6 days, reflecting better credit control and cash flow.Payable days surged to 466.81 in 2023, signaling stretched supplier payments which, alongside negative cash conversion cycles, suggest liquidity challenges.

ROE bounced back to 20.6354% in 2024 from severe negatives earlier, indicating enhanced shareholder value generation, primarily driven by profitability.ROCE improved from -30.7478% in 2005 to 11.4346% in 2024, highlighting better capital efficiency as operations stabilize.ROA also showed positive momentum rising to 2.9914% in 2024, signifying improved overall asset efficiency and the importance of positive net income reinstating investor confidence.