What is Toughbuilt Inds Inc's earnings per share (EPS)?

Toughbuilt Inds Inc (TBLT) reported diluted earnings per share of $-122.12 for fiscal year 2023. EPS represents the portion of a company's net income allocated to each outstanding share of common stock and is widely used to evaluate profitability on a per-share basis.

Toughbuilt Inds Inc Financials

TBLT

Source SEC Filings (10-K/10-Q) Data as of Dec 31, 2023 Currency USD FYE December

This page shows Toughbuilt Inds Inc (TBLT) financial statements, including the income statement, balance sheet, cash flow statement, and key financial ratios. View 7 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).

Rhea AI TBLT FY2023 2026-04-22

Cash burn eased mainly because working capital unwound, while the core selling engine stayed deeply unprofitable in FY2023.

Operating cash burn improved to -$5.1M from -$37.3M even though revenue fell and gross margin compressed. The missing link is working capital: inventory was cut to $21.9M from $40.4M, so FY2023 looked less cash-hungry because cash was released from stock on hand while the underlying loss rate worsened.

The balance sheet is now funding operations from the liability side: FY2023 ended with negative equity of about -$9.7M and a current ratio of 0.6x. With cash at only $1.2M, routine operating needs have little internal cushion and depend heavily on supplier terms or new financing.

Overhead is the central problem, not just softer demand: selling/admin plus R&D ran at roughly 4x gross profit in FY2023. That cost shape turned $76.3M of sales into an operating margin of -75.0%, showing that scale alone has not yet covered the fixed commercial and development spend.

Financial Health Signals

Financial health score pending refresh

We are recalculating Toughbuilt Inds Inc's peer-relative financial health score against the latest fiscal year. It will appear here once the refresh completes. The signals and metrics below are current.

Altman Z-Score Distress

-7.95

Toughbuilt Inds Inc scores -7.95, below the 1.81 distress threshold. The score is driven primarily by a large market capitalization ($1.7M) relative to total liabilities ($61.5M). This indicates elevated financial distress risk and warrants close attention to liquidity and debt levels.

Distress-screening estimate for non-financial companies. Not computed for banks or insurers, where the Altman model does not apply.

Piotroski F-Score Partial

2/8

Toughbuilt Inds Inc passes 2 of 8 computable financial strength tests (1 of the nine could not be computed from available data). 1 of 4 profitability signals pass, no leverage/liquidity signals pass (rising debt, declining liquidity, or share dilution), 1 of 2 efficiency signals pass.

Earnings Quality Low Quality

0.11x

For every $1 of reported earnings, Toughbuilt Inds Inc generates $0.11 in operating cash flow (-$5.1M OCF vs -$46.4M net income). This low ratio suggests earnings are primarily driven by accounting accruals rather than cash generation, which may not be sustainable.

Interest Coverage At Risk

-33.6x

Toughbuilt Inds Inc earns $-33.6 in operating income for every $1 of interest expense (-$57.2M vs $1.7M). This narrow margin raises concern about the company's ability to service its debt if operating income declines.

Key Financial Metrics

Export CSV

Earnings & Revenue

Revenue

$76.3M

YoY-19.9%

5Y CAGR+37.9%

Toughbuilt Inds Inc generated $76.3M in revenue in fiscal year 2023. This represents a decrease of 19.9% from the prior year.

EBITDA

-$51.5M

YoY-6.9%

Toughbuilt Inds Inc's EBITDA was -$51.5M in fiscal year 2023, measuring earnings before interest, taxes, depreciation, and amortization. This represents a decrease of 6.9% from the prior year.

Net Income

-$46.4M

YoY-18.2%

Toughbuilt Inds Inc reported -$46.4M in net income in fiscal year 2023. This represents a decrease of 18.2% from the prior year.

EPS (Diluted)

$-122.12

Toughbuilt Inds Inc earned $-122.12 per diluted share (EPS) in fiscal year 2023.

Cash & Balance Sheet

Free Cash Flow

-$7.6M

YoY+82.1%

Toughbuilt Inds Inc generated -$7.6M in free cash flow in fiscal year 2023, representing cash available after capex. This represents an increase of 82.1% from the prior year.

Cash & Debt

$1.2M

YoY-55.1%

5Y CAGR-26.7%

Toughbuilt Inds Inc held $1.2M in cash against $0 in long-term debt as of fiscal year 2023.

Dividends Per Share

N/A

Shares Outstanding

37M

Toughbuilt Inds Inc had 37M shares outstanding in fiscal year 2023.

Margins & Returns

Gross Margin

21.5%

YoY-5.0pp

5Y CAGR-1.3pp

Toughbuilt Inds Inc's gross margin was 21.5% in fiscal year 2023, indicating the percentage of revenue retained after direct costs. This is down 5.0 percentage points from the prior year.

Operating Margin

-75.0%

YoY-20.1pp

5Y CAGR-32.8pp

Toughbuilt Inds Inc's operating margin was -75.0% in fiscal year 2023, reflecting core business profitability. This is down 20.1 percentage points from the prior year.

Net Margin

-60.9%

YoY-19.7pp

5Y CAGR+120.0pp

Toughbuilt Inds Inc's net profit margin was -60.9% in fiscal year 2023, showing the share of revenue converted to profit. This is down 19.7 percentage points from the prior year.

Return on Equity

N/A

Capital Allocation

R&D Spending

$12.0M

YoY+6.2%

5Y CAGR+45.9%

Toughbuilt Inds Inc invested $12.0M in research and development in fiscal year 2023. This represents an increase of 6.2% from the prior year.

Share Buybacks

N/A

Capital Expenditures

$2.5M

YoY-50.7%

Toughbuilt Inds Inc invested $2.5M in capex in fiscal year 2023, funding long-term assets and infrastructure. This represents a decrease of 50.7% from the prior year.

TBLT Income Statement

Metric	FY23	FY22	FY21	FY20	FY19	FY18
Revenue	$76.3M-19.9%	$95.3M+36.0%	$70.0M+77.6%	$39.4M+106.6%	$19.1M+24.9%	$15.3M
Cost of Revenue	$59.9M-14.5%	$70.0M+37.6%	$50.9M+91.6%	$26.6M+87.7%	$14.2M+20.0%	$11.8M
Gross Profit	$16.4M-34.9%	$25.2M+31.9%	$19.1M+48.6%	$12.9M+160.5%	$4.9M+41.2%	$3.5M
R&D Expenses	$12.0M+6.2%	$11.3M+61.8%	$7.0M+38.0%	$5.1M+139.0%	$2.1M+16.5%	$1.8M
SG&A Expenses	$56.0M-15.3%	$66.2M+28.7%	$51.4M+131.8%	$22.2M+94.6%	$11.4M+64.3%	$6.9M
Operating Income	-$57.2M-9.5%	-$52.3M-33.0%	-$39.3M-173.2%	-$14.4M-67.7%	-$8.6M-33.0%	-$6.5M
Interest Expense	$1.7M-11.1%	$1.9M	N/A	N/A	N/A	$8K
Income Tax	N/A	N/A	N/A	N/A	N/A	N/A
Net Income	-$46.4M-18.2%	-$39.3M-4.7%	-$37.5M-116.3%	-$17.3M-303.4%	-$4.3M+84.4%	-$27.7M
EPS (Diluted)	$-122.12	$-461.14	$-56.08-8147.1%	$-0.68+67.3%	$-2.08	N/A

Metric	Q4'23	Q3'23	Q2'23	Q1'23	Q4'22	Q3'22	Q2'22	Q1'22
Revenue	$20.7M+5.2%	$19.7M+16.1%	$17.0M-10.0%	$18.9M-36.9%	$29.9M-1.1%	$30.2M+69.1%	$17.9M+3.9%	$17.2M
Cost of Revenue	$16.3M+5.9%	$15.4M+26.6%	$12.1M-24.4%	$16.1M-21.9%	$20.6M-7.9%	$22.3M+72.6%	$12.9M-9.0%	$14.2M
Gross Profit	$4.5M+2.9%	$4.3M-10.4%	$4.8M+72.5%	$2.8M-70.0%	$9.3M+18.0%	$7.9M+60.0%	$4.9M+64.8%	$3.0M
R&D Expenses	$2.6M-9.5%	$2.9M+0.1%	$2.9M-17.4%	$3.5M+8.6%	$3.2M+16.7%	$2.8M+1.0%	$2.8M+9.6%	$2.5M
SG&A Expenses	$13.4M+6.7%	$12.6M-16.0%	$15.0M-0.8%	$15.1M-28.4%	$21.1M+43.7%	$14.7M+1.2%	$14.5M-9.0%	$15.9M
Operating Income	-$18.0M-66.0%	-$10.9M+18.5%	-$13.3M+11.3%	-$15.0M-0.2%	-$15.0M-57.1%	-$9.5M+22.5%	-$12.3M+20.3%	-$15.4M
Interest Expense	$278K+89.3%	$147K-74.5%	$576K-17.6%	$700K	N/A	$548K+493.3%	$92K	N/A
Income Tax	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Net Income	-$16.7M-15.2%	-$14.5M-108.1%	-$7.0M+15.2%	-$8.2M+64.3%	-$23.1M-388.0%	$8.0M+166.0%	-$12.1M-0.3%	-$12.1M
EPS (Diluted)	N/A	$-30.15-5.0%	$-28.71+21.0%	$-36.33	N/A	$0.03	$-9.45	$-14.04

TBLT Balance Sheet

Metric	FY23	FY22	FY21	FY20	FY19	FY18
Total Assets	$51.8M-38.3%	$83.9M+6.3%	$79.0M+187.2%	$27.5M+162.6%	$10.5M+18.3%	$8.9M
Current Assets	$33.5M-44.3%	$60.1M-7.3%	$64.9M+167.0%	$24.3M+163.4%	$9.2M+7.4%	$8.6M
Cash & Equivalents	$1.2M-55.1%	$2.6M-65.7%	$7.5M+240.4%	$2.2M+8657.3%	$25K-99.5%	$5.5M
Inventory	$21.9M-45.6%	$40.4M+5.0%	$38.4M+331.1%	$8.9M+302.4%	$2.2M+483.2%	$380K
Accounts Receivable	$10.2M-39.1%	$16.8M-7.5%	$18.2M+72.5%	$10.5M+407.7%	$2.1M+110.5%	$986K
Goodwill	N/A	N/A	N/A	N/A	N/A	N/A
Total Liabilities	$61.5M+13.5%	$54.2M+157.4%	$21.1M+158.6%	$8.1M+12.4%	$7.2M-74.0%	$27.8M
Current Liabilities	$60.1M+18.5%	$50.7M+140.9%	$21.1M+158.6%	$8.1M+12.4%	$7.2M-74.0%	$27.8M
Long-Term Debt	N/A	N/A	N/A	N/A	N/A	N/A
Total Equity	-$9.7M-132.7%	$29.7M-48.7%	$57.9M+199.3%	$19.3M+499.6%	$3.2M+117.0%	-$19.0M
Retained Earnings	-$191.4M-32.0%	-$145.0M-47.5%	-$98.3M-61.8%	-$60.8M-40.0%	-$43.4M-11.0%	-$39.1M

Metric	Q4'23	Q3'23	Q2'23	Q1'23	Q4'22	Q3'22	Q2'22	Q1'22
Total Assets	$51.8M-28.6%	$72.6M-3.5%	$75.2M-2.9%	$77.5M-7.7%	$83.9M-9.7%	$92.9M+12.1%	$82.9M+7.0%	$77.5M
Current Assets	$33.5M-29.4%	$47.5M-3.4%	$49.2M-6.8%	$52.8M-12.2%	$60.1M-11.4%	$67.9M+13.3%	$59.9M+2.5%	$58.4M
Cash & Equivalents	$1.2M-40.7%	$1.9M+5.3%	$1.8M-9.0%	$2.0M-20.9%	$2.6M+61.4%	$1.6M-25.9%	$2.1M+128.8%	$937K
Inventory	$21.9M-33.4%	$32.9M-11.5%	$37.2M+5.1%	$35.4M-12.3%	$40.4M+0.9%	$40.0M-0.4%	$40.2M-2.9%	$41.3M
Accounts Receivable	$10.2M-16.0%	$12.2M+25.2%	$9.7M-32.6%	$14.4M-14.1%	$16.8M-28.2%	$23.4M+55.6%	$15.0M-0.1%	$15.1M
Goodwill	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Total Liabilities	$61.5M-6.4%	$65.8M+9.7%	$59.9M+7.2%	$55.9M+3.1%	$54.2M+25.8%	$43.1M+3.7%	$41.5M+39.8%	$29.7M
Current Liabilities	$60.1M-4.2%	$62.7M+11.0%	$56.5M+7.4%	$52.6M+3.8%	$50.7M+28.9%	$39.4M+4.3%	$37.7M+33.5%	$28.3M
Long-Term Debt	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Total Equity	-$9.7M-242.4%	$6.8M-55.5%	$15.3M-29.0%	$21.6M-27.3%	$29.7M-40.4%	$49.8M+20.5%	$41.3M-13.4%	$47.7M
Retained Earnings	-$191.4M-9.6%	-$174.7M-9.1%	-$160.2M-4.6%	-$153.2M-5.7%	-$145.0M-18.9%	-$121.9M+0.4%	-$122.4M-11.0%	-$110.3M

TBLT Cash Flow Statement

Metric	FY23	FY22	FY21	FY20	FY19	FY18
Operating Cash Flow	-$5.1M+86.4%	-$37.3M+43.7%	-$66.2M-164.1%	-$25.1M-145.0%	-$10.2M-24.1%	-$8.2M
Capital Expenditures	$2.5M-50.7%	$5.1M-54.9%	$11.3M+352.4%	$2.5M+142.3%	$1.0M	N/A
Free Cash Flow	-$7.6M+82.1%	-$42.4M+45.3%	-$77.5M-181.1%	-$27.6M-144.8%	-$11.3M	N/A
Investing Cash Flow	-$2.6M+48.5%	-$5.0M+55.3%	-$11.3M-2350.9%	$502K+148.7%	-$1.0M	N/A
Financing Cash Flow	$6.2M-83.5%	$37.4M-54.8%	$82.8M+209.6%	$26.7M+358.8%	$5.8M-57.3%	$13.7M
Dividends Paid	N/A	N/A	N/A	N/A	N/A	N/A
Share Buybacks	N/A	N/A	N/A	N/A	N/A	N/A

Metric	Q4'23	Q3'23	Q2'23	Q1'23	Q4'22	Q3'22	Q2'22	Q1'22
Operating Cash Flow	-$1.1M+28.5%	-$1.5M+50.8%	-$3.0M-771.4%	$447K+106.4%	-$7.0M+59.8%	-$17.4M-514.6%	-$2.8M+71.9%	-$10.1M
Capital Expenditures	-$798K-175.0%	$1.1M+7.3%	$992K-21.1%	$1.3M+162.4%	-$2.0M-137.8%	$5.3M+403.5%	$1.1M+45.3%	$728K
Free Cash Flow	-$1.9M+27.0%	-$2.5M+36.4%	-$4.0M-392.7%	-$811K+91.0%	-$9.0M+60.4%	-$22.7M-484.4%	-$3.9M+64.0%	-$10.8M
Investing Cash Flow	$715K+167.2%	-$1.1M-7.3%	-$992K+21.1%	-$1.3M-162.4%	$2.0M+137.8%	-$5.3M-403.5%	-$1.1M-56.0%	-$678K
Financing Cash Flow	-$507K-119.0%	$2.7M-29.4%	$3.8M+1308.2%	$268K-95.5%	$6.0M-73.1%	$22.2M+335.2%	$5.1M+21.2%	$4.2M
Dividends Paid	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Share Buybacks	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

TBLT Financial Ratios

Metric	FY23	FY22	FY21	FY20	FY19	FY18
Gross Margin	21.5%-5.0pp	26.5%-0.8pp	27.3%-5.3pp	32.6%+6.8pp	25.9%+3.0pp	22.9%
Operating Margin	-75.0%-20.1pp	-54.9%+1.2pp	-56.1%-19.6pp	-36.5%+8.5pp	-45.0%-2.8pp	-42.2%
Net Margin	-60.9%-19.7pp	-41.3%+12.3pp	-53.6%-9.6pp	-44.0%-21.5pp	-22.5%+158.3pp	-180.8%
Return on Equity	N/A	-132.3%-67.5pp	-64.8%+24.9pp	-89.7%+43.6pp	-133.3%	N/A
Return on Assets	-89.7%-42.9pp	-46.8%+0.7pp	-47.5%+15.6pp	-63.1%-22.0pp	-41.1%+271.3pp	-312.4%
Current Ratio	0.56-0.6	1.18-1.9	3.08+0.1	2.98+1.7	1.27+1.0	0.31
Debt-to-Equity	-6.33-8.2	1.82+1.5	0.36-0.1	0.42-1.8	2.24+3.7	-1.47
FCF Margin	-10.0%+34.5pp	-44.5%+66.1pp	-110.7%-40.8pp	-69.9%-10.9pp	-59.0%	N/A

Metric	Q4'23	Q3'23	Q2'23	Q1'23	Q4'22	Q3'22	Q2'22	Q1'22
Gross Margin	21.5%-0.5pp	22.0%-6.5pp	28.4%+13.6pp	14.8%-16.4pp	31.3%+5.1pp	26.2%-1.5pp	27.7%+10.2pp	17.4%
Operating Margin	-87.0%-31.8pp	-55.1%+23.3pp	-78.5%+1.2pp	-79.6%-29.5pp	-50.1%-18.6pp	-31.5%+37.2pp	-68.8%+20.9pp	-89.7%
Net Margin	-80.7%-7.0pp	-73.7%-32.6pp	-41.1%+2.6pp	-43.6%+33.5pp	-77.1%-103.6pp	26.5%+94.3pp	-67.8%+2.4pp	-70.3%
Return on Equity	N/A	-212.7%-167.2pp	-45.5%-7.4pp	-38.1%+39.5pp	-77.6%-93.7pp	16.1%+45.4pp	-29.4%-4.0pp	-25.4%
Return on Assets	-32.3%-12.3pp	-20.0%-10.7pp	-9.3%+1.3pp	-10.6%+16.9pp	-27.5%-36.1pp	8.6%+23.3pp	-14.6%+1.0pp	-15.6%
Current Ratio	0.56-0.2	0.76-0.1	0.87-0.1	1.00-0.2	1.18-0.5	1.72+0.1	1.59-0.5	2.07
Debt-to-Equity	-6.33-16.0	9.63+5.7	3.91+1.3	2.59+0.8	1.82+1.0	0.87-0.1	1.01+0.4	0.62
FCF Margin	-8.9%+3.9pp	-12.9%+10.6pp	-23.5%-19.2pp	-4.3%+25.8pp	-30.1%+45.0pp	-75.1%-53.4pp	-21.7%+40.9pp	-62.7%

Note: Shareholder equity is negative (-$9.7M), which causes debt-to-equity and return on equity ratios to appear negative or not meaningful. This can occur from accumulated losses or large share buyback programs.

Note: The current ratio is below 1.0 (0.56), indicating current liabilities exceed current assets, which may suggest potential short-term liquidity concerns.

Similar Companies

QEP Co Inc QEPC

$148.1M

Nightfood Hldgs NGTF

$16.9M

Cubicfarm System CUBXF

$790K

Strategic Environmental & Ener SENR

$1.4M

Dewey Electronic DEWY

$4.4M

Frequently Asked Questions

What is Toughbuilt Inds Inc's annual revenue?

Toughbuilt Inds Inc (TBLT) reported $76.3M in total revenue for fiscal year 2023. This represents a -19.9% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.

How fast is Toughbuilt Inds Inc's revenue growing?

Toughbuilt Inds Inc (TBLT) revenue declined by 19.9% year-over-year, from $95.3M to $76.3M in fiscal year 2023.

Is Toughbuilt Inds Inc profitable?

No, Toughbuilt Inds Inc (TBLT) reported a net income of -$46.4M in fiscal year 2023, with a net profit margin of -60.9%.

What is Toughbuilt Inds Inc's EBITDA?

Toughbuilt Inds Inc (TBLT) had EBITDA of -$51.5M in fiscal year 2023, measuring earnings before interest, taxes, depreciation, and amortization.

What is Toughbuilt Inds Inc's gross margin?

Toughbuilt Inds Inc (TBLT) had a gross margin of 21.5% in fiscal year 2023, indicating the percentage of revenue retained after direct costs of goods sold.

What is Toughbuilt Inds Inc's operating margin?

Toughbuilt Inds Inc (TBLT) had an operating margin of -75.0% in fiscal year 2023, reflecting the profitability of core business operations before interest and taxes.

What is Toughbuilt Inds Inc's net profit margin?

Toughbuilt Inds Inc (TBLT) had a net profit margin of -60.9% in fiscal year 2023, representing the share of revenue converted into profit after all expenses.

What is Toughbuilt Inds Inc's free cash flow?

Toughbuilt Inds Inc (TBLT) generated -$7.6M in free cash flow during fiscal year 2023. This represents a 82.1% change compared to the previous fiscal year. Free cash flow represents the cash a company generates after accounting for capital expenditures, and is widely used to assess financial flexibility and shareholder value.

What is Toughbuilt Inds Inc's operating cash flow?

Toughbuilt Inds Inc (TBLT) generated -$5.1M in operating cash flow during fiscal year 2023, representing cash generated from core business activities.

What are Toughbuilt Inds Inc's total assets?

Toughbuilt Inds Inc (TBLT) had $51.8M in total assets as of fiscal year 2023, including both current and long-term assets.

What are Toughbuilt Inds Inc's capital expenditures?

Toughbuilt Inds Inc (TBLT) invested $2.5M in capital expenditures during fiscal year 2023, funding long-term assets and infrastructure.

How much does Toughbuilt Inds Inc spend on research and development?

Toughbuilt Inds Inc (TBLT) invested $12.0M in research and development during fiscal year 2023.

How many shares does Toughbuilt Inds Inc have outstanding?

Toughbuilt Inds Inc (TBLT) had 37M shares outstanding as of fiscal year 2023.

What is Toughbuilt Inds Inc's current ratio?

Toughbuilt Inds Inc (TBLT) had a current ratio of 0.56 as of fiscal year 2023, which is below 1.0, which may suggest potential liquidity concerns.

What is Toughbuilt Inds Inc's debt-to-equity ratio?

Toughbuilt Inds Inc (TBLT) had a debt-to-equity ratio of -6.33 as of fiscal year 2023, measuring the company's financial leverage by comparing total debt to shareholder equity.

What is Toughbuilt Inds Inc's return on assets (ROA)?

Toughbuilt Inds Inc (TBLT) had a return on assets of -89.7% for fiscal year 2023, measuring how efficiently the company uses its assets to generate profit.

What is Toughbuilt Inds Inc's cash runway?

Based on fiscal year 2023 data, Toughbuilt Inds Inc (TBLT) had $1.2M in cash against an annual operating cash burn of $5.1M. This gives an estimated cash runway of approximately 3 months at the current burn rate. Cash runway measures how long a company can continue operating before running out of cash, assuming no additional funding.

Why is Toughbuilt Inds Inc's debt-to-equity ratio negative or unusual?

Toughbuilt Inds Inc (TBLT) has negative shareholder equity of -$9.7M as of fiscal year 2023, which causes the debt-to-equity ratio to appear negative or not meaningful. This can occur when accumulated losses exceed invested capital, or after large share buyback programs. Other solvency metrics like the current ratio or interest coverage may be more informative.

What is Toughbuilt Inds Inc's Altman Z-Score?

Toughbuilt Inds Inc (TBLT) has an Altman Z-Score of -7.95, placing it in the Distress Zone (elevated bankruptcy risk). The Z-Score combines five financial ratios (working capital, retained earnings, EBIT, market capitalization, and revenue relative to total assets) to predict the likelihood of bankruptcy. Scores above 2.99 indicate financial safety while scores below 1.81 suggest financial distress. Learn more in our complete guide to financial health indicators.

What is Toughbuilt Inds Inc's Piotroski F-Score?

Toughbuilt Inds Inc (TBLT) has a Piotroski F-Score of 2 out of 8 computable signals; 1 of the nine could not be computed from available data, so the full-scale strength rating is not shown. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7 to 9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.

Are Toughbuilt Inds Inc's earnings high quality?

Toughbuilt Inds Inc (TBLT) has an earnings quality ratio of 0.11x, considered low quality (accrual-driven). This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.

Can Toughbuilt Inds Inc cover its interest payments?

Toughbuilt Inds Inc (TBLT) has an interest coverage ratio of -33.6x, meaning it can struggle to cover its interest obligations. This ratio divides operating income by interest expense. Ratios above 5x indicate strong debt-servicing ability, while ratios below 2x suggest the company may face difficulty meeting interest payments if earnings decline. Learn more in our complete guide to financial health indicators.