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E-Star Commercial Management Co (HKSE:06668) Interest Coverage : 6.00 (As of Dec. 2023)


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What is E-Star Commercial Management Co 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. E-Star Commercial Management Co's Operating Income for the six months ended in Dec. 2023 was HK$125.9 Mil. E-Star Commercial Management Co's Interest Expense for the six months ended in Dec. 2023 was HK$-21.0 Mil. E-Star Commercial Management Co's interest coverage for the quarter that ended in Dec. 2023 was 6.00. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for E-Star Commercial Management Co's Interest Coverage or its related term are showing as below:

HKSE:06668' s Interest Coverage Range Over the Past 10 Years
Min: 6.26   Med: 32.04   Max: 63.46
Current: 6.26


HKSE:06668's Interest Coverage is ranked better than
59.86% of 1328 companies
in the Real Estate industry
Industry Median: 3.955 vs HKSE:06668: 6.26

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


E-Star Commercial Management Co Interest Coverage Historical Data

The historical data trend for E-Star Commercial Management Co'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.

E-Star Commercial Management Co Interest Coverage Chart

E-Star Commercial Management Co Annual Data
Trend Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Interest Coverage
Get a 7-Day Free Trial 36.46 42.37 63.46 9.45 6.26

E-Star Commercial Management Co Semi-Annual Data
Dec17 Dec18 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23
Interest Coverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only 72.58 26.05 5.34 6.52 6.00

Competitive Comparison of E-Star Commercial Management Co's Interest Coverage

For the Real Estate Services subindustry, E-Star Commercial Management Co'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.


E-Star Commercial Management Co's Interest Coverage Distribution in the Real Estate Industry

For the Real Estate industry and Real Estate sector, E-Star Commercial Management Co's Interest Coverage distribution charts can be found below:

* The bar in red indicates where E-Star Commercial Management Co's Interest Coverage falls into.



E-Star Commercial Management Co 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.

E-Star Commercial Management Co's Interest Coverage for the fiscal year that ended in Dec. 2023 is calculated as

Here, for the fiscal year that ended in Dec. 2023, E-Star Commercial Management Co's Interest Expense was HK$-41.9 Mil. Its Operating Income was HK$262.1 Mil. And its Long-Term Debt & Capital Lease Obligation was HK$721.0 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2023 )/Interest Expense (A: Dec. 2023 )
=-1*262.053/-41.875
=6.26

E-Star Commercial Management Co's Interest Coverage for the quarter that ended in Dec. 2023 is calculated as

Here, for the six months ended in Dec. 2023, E-Star Commercial Management Co's Interest Expense was HK$-21.0 Mil. Its Operating Income was HK$125.9 Mil. And its Long-Term Debt & Capital Lease Obligation was HK$721.0 Mil.

Interest Coverage=-1* Operating Income (Q: Dec. 2023 )/Interest Expense (Q: Dec. 2023 )
=-1*125.945/-20.991
=6.00

* 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.


E-Star Commercial Management Co  (HKSE:06668) 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 .


E-Star Commercial Management Co Interest Coverage Related Terms

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E-Star Commercial Management Co (HKSE:06668) Business Description

Traded in Other Exchanges
N/A
Address
1 Yabao Road, 32nd Floor, Building A Galaxy World, Longgang District, Guangdong Province, Shenzhen, CHN, 518000
E-Star Commercial Management Co Ltd is a commercial operational service provider in China with business lines including, positioning, construction consultancy and tenant sourcing services including market positioning, business planning consultancy, design and construction consultancy and tenant sourcing services; operational management services including formulating operation strategies, conducting marketing and promotional events, tenant management services, property management services and rent collection services; property leasing services including sublease of commercial spaces; and value-added services including management of common areas in the shopping centers and management of advertising spaces, such as LED boards and interior and exterior facades of the shopping centers.
Executives
Virtue Investment Development Limited 2101 Beneficial owner
Huang Chu-long
Go Star Investment Holding Limited 2201 Interest of corporation controlled by you
Long Harmony Holding Limited 2201 Interest of corporation controlled by you
Tmf (cayman) Ltd. 2301 Trustee
Huang De-lin Benny 2101 Beneficial owner
Central Huijin Investment Ltd. 2201 Interest of corporation controlled by you

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