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Medical Care Service Company (NGO:2494) Interest Coverage : 14.54 (As of Feb. 2013)


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What is Medical Care Service Company 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. Medical Care Service Company's Operating Income for the three months ended in Feb. 2013 was 円102 Mil. Medical Care Service Company's Interest Expense for the three months ended in Feb. 2013 was 円-7 Mil. Medical Care Service Company's interest coverage for the quarter that ended in Feb. 2013 was 14.54. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Medical Care Service Company's Interest Coverage or its related term are showing as below:

NGO:2494' s Interest Coverage Range Over the Past 10 Years
Min: 0   Med: 0   Max: 26.86
Current: 26.86


NGO:2494's Interest Coverage is not ranked
in the Healthcare Providers & Services industry.
Industry Median: 9.035 vs NGO:2494: 26.86

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


Medical Care Service Company Interest Coverage Historical Data

The historical data trend for Medical Care Service Company'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.

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Medical Care Service Company Interest Coverage Chart

Medical Care Service Company Annual Data
Trend Aug09 Aug10 Aug11
Interest Coverage
15.00 27.40 30.26

Medical Care Service Company Quarterly Data
Aug10 Feb11 May11 Aug11 Nov11 Feb12 May12 Aug12 Nov12 Feb13
Interest Coverage Get a 7-Day Free Trial Premium Member Only Premium Member Only 30.57 48.03 25.72 21.80 14.54

Competitive Comparison of Medical Care Service Company's Interest Coverage

For the Medical Care Facilities subindustry, Medical Care Service Company'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.


Medical Care Service Company's Interest Coverage Distribution in the Healthcare Providers & Services Industry

For the Healthcare Providers & Services industry and Healthcare sector, Medical Care Service Company's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Medical Care Service Company's Interest Coverage falls into.



Medical Care Service Company 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.

Medical Care Service Company's Interest Coverage for the fiscal year that ended in Aug. 2011 is calculated as

Here, for the fiscal year that ended in Aug. 2011, Medical Care Service Company's Interest Expense was 円-30 Mil. Its Operating Income was 円908 Mil. And its Long-Term Debt & Capital Lease Obligation was 円895 Mil.

Interest Coverage=-1* Operating Income (A: Aug. 2011 )/Interest Expense (A: Aug. 2011 )
=-1*908.497/-30.019
=30.26

Medical Care Service Company's Interest Coverage for the quarter that ended in Feb. 2013 is calculated as

Here, for the three months ended in Feb. 2013, Medical Care Service Company's Interest Expense was 円-7 Mil. Its Operating Income was 円102 Mil. And its Long-Term Debt & Capital Lease Obligation was 円1,191 Mil.

Interest Coverage=-1* Operating Income (Q: Feb. 2013 )/Interest Expense (Q: Feb. 2013 )
=-1*101.908/-7.008
=14.54

* 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.


Medical Care Service Company  (NGO:2494) 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 .


Medical Care Service Company Interest Coverage Related Terms

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Medical Care Service Company (NGO:2494) Business Description

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