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3SBio, (FRA:YFK) Interest Coverage : 6.81 (As of Dec. 2016)


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What is 3SBio, Interest Coverage?

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income by its Interest Expense. 3SBio,'s Operating Income for the six months ended in Dec. 2016 was €68.3 Mil. 3SBio,'s Interest Expense for the six months ended in Dec. 2016 was €-10.0 Mil. 3SBio,'s interest coverage for the quarter that ended in Dec. 2016 was 6.81. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for 3SBio,'s Interest Coverage or its related term are showing as below:

FRA:YFK' s Interest Coverage Range Over the Past 10 Years
Min: 5.74   Med: 5029.47   Max: No Debt
Current: 5.77


FRA:YFK's Interest Coverage is not ranked
in the Biotechnology industry.
Industry Median: 144.99 vs FRA:YFK: 5.77

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.


3SBio, Interest Coverage Historical Data

The historical data trend for 3SBio,'s Interest Coverage can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Note: For Interest Coverage, "No debt" indicates no long-term debt. An indication of "No Debt" does not necessarily mean that the company has no long-term debt obligations; it could be due to missing data in the quarterly or annual report. Use caution when interpreting this information.

* Premium members only.

3SBio, Interest Coverage Chart

3SBio, Annual Data
Trend Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec14 Dec15 Dec16
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only No Debt No Debt 13.09 22.22 5.76

3SBio, Semi-Annual Data
Jun06 Dec06 Jun07 Dec07 Jun08 Dec08 Jun09 Dec09 Jun10 Dec10 Jun11 Dec11 Jun12 Dec12 Jun14 Dec14 Jun15 Dec15 Jun16 Dec16
Interest Coverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 10.32 12.76 65.71 4.74 6.81

Competitive Comparison of 3SBio,'s Interest Coverage

For the Biotechnology subindustry, 3SBio,'s Interest Coverage, along with its competitors' market caps and Interest Coverage data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


3SBio,'s Interest Coverage Distribution in the Biotechnology Industry

For the Biotechnology industry and Healthcare sector, 3SBio,'s Interest Coverage distribution charts can be found below:

* The bar in red indicates where 3SBio,'s Interest Coverage falls into.



3SBio, Interest Coverage Calculation

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

If Interest Expense is negative and Operating Income is positive, then

Interest Coverage=-1* Operating Income /Interest Expense

Else if Interest Expense is negative and Operating Income is negative, then

The company did not have earnings to cover the interest expense.

Else if Interest Expense is 0 and Long-Term Debt & Capital Lease Obligation is 0, then

The company had no debt (1).


Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

3SBio,'s Interest Coverage for the fiscal year that ended in Dec. 2016 is calculated as

Here, for the fiscal year that ended in Dec. 2016, 3SBio,'s Interest Expense was €-20.2 Mil. Its Operating Income was €116.6 Mil. And its Long-Term Debt & Capital Lease Obligation was €348.1 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2016 )/Interest Expense (A: Dec. 2016 )
=-1*116.632/-20.236
=5.76

3SBio,'s Interest Coverage for the quarter that ended in Dec. 2016 is calculated as

Here, for the six months ended in Dec. 2016, 3SBio,'s Interest Expense was €-10.0 Mil. Its Operating Income was €68.3 Mil. And its Long-Term Debt & Capital Lease Obligation was €348.1 Mil.

Interest Coverage=-1* Operating Income (Q: Dec. 2016 )/Interest Expense (Q: Dec. 2016 )
=-1*68.327/-10.036
=6.81

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

The higher the ratio, the stronger the company's Financial Strength is.


3SBio,  (FRA:YFK) Interest Coverage Explanation

Ben Graham requires that a company has a minimum interest coverage of 5 with the companies he invested. If the interest coverage is less than 2, the company is burdened by debt. Any business slow or recession may drag the company into a situation where it cannot pay the interest on its debt.

Interest Coverage is an important factor when GuruFocus ranks a company's overage Financial Strength .


3SBio, Interest Coverage Related Terms

Thank you for viewing the detailed overview of 3SBio,'s Interest Coverage provided by GuruFocus.com. Please click on the following links to see related term pages.


3SBio, (FRA:YFK) Business Description

Traded in Other Exchanges
N/A
Address
3SBio Inc is engaged in the healthcare sector based in China. It is a pharmaceutical products company and its core activities pertain to developing, manufacturing and marketing biopharmaceuticals. Its portfolio of products comprises of TPIAO and Yisaipu. TPIAO is the only commercialized recombinant human thrombopoietin (rhTPO) product in the world and Yisaipu is a TNF inhibibator product and accounts for the major share in the pharmaceutical industry in China. Most of the company's activities are focused on China while having a minor footprint in a foreign land.

3SBio, (FRA:YFK) Headlines

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