AMTD IDEA Group (AMTD IDEA Group) Interest Coverage

: 29.34 (As of Jun. 2023)

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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. AMTD IDEA Group's Operating Income for the six months ended in Jun. 2023 was $105.2 Mil. AMTD IDEA Group's Interest Expense for the six months ended in Jun. 2023 was $-3.6 Mil. AMTD IDEA Group's interest coverage for the quarter that ended in Jun. 2023 was 29.34. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for AMTD IDEA Group's Interest Coverage or its related term are showing as below:

AMTD' s Interest Coverage Range Over the Past 10 Years
Min: 18.67 Med: 76.61 Max: No Debt
Current: 18.67

AMTD's Interest Coverage is ranked worse than
56.92% of 448 companies
in the Asset Management industry
Industry Median: 38 vs AMTD: 18.67

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

AMTD IDEA Group Interest Coverage Historical Data

The historical data trend for AMTD IDEA Group'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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AMTD IDEA Group Annual Data

Trend

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Interest Coverage

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66.66

25.82

99.27

86.58

AMTD IDEA Group Semi-Annual Data
	Dec17	Jun18	Dec18	Jun19	Dec19	Jun20	Dec20	Jun21	Dec21	Jun22	Dec22	Jun23
Interest Coverage	Get a 7-Day Free Trial							99.68	98.86	321.41	-	29.34

Competitive Comparison

For the Asset Management subindustry, AMTD IDEA Group'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.

AMTD IDEA Group Interest Coverage Distribution

For the Asset Management industry and Financial Services sector, AMTD IDEA Group's Interest Coverage distribution charts can be found below:

* The bar in red indicates where AMTD IDEA Group's Interest Coverage falls into.

AMTD IDEA Group 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.

AMTD IDEA Group's Interest Coverage for the fiscal year that ended in Dec. 2022 is calculated as

Here, for the fiscal year that ended in Dec. 2022, AMTD IDEA Group's Interest Expense was $-0.9 Mil. Its Operating Income was $74.5 Mil. And its Long-Term Debt & Capital Lease Obligation was $0.5 Mil.

Interest Coverage	=	-1	*	Operating Income (A: Dec. 2022 )	/	Interest Expense (A: Dec. 2022 )
	=	-1	*	74.543	/	-0.861
	=	86.58

AMTD IDEA Group's Interest Coverage for the quarter that ended in Jun. 2023 is calculated as

Here, for the six months ended in Jun. 2023, AMTD IDEA Group's Interest Expense was $-3.6 Mil. Its Operating Income was $105.2 Mil. And its Long-Term Debt & Capital Lease Obligation was $30.4 Mil.

Interest Coverage	=	-1	*	Operating Income (Q: Jun. 2023 )	/	Interest Expense (Q: Jun. 2023 )
	=	-1	*	105.236	/	-3.587
	=	29.34

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

AMTD IDEA Group (NYSE:AMTD) 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 .

AMTD IDEA Group Interest Coverage Related Terms

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AMTD IDEA Group (AMTD IDEA Group) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Financial Services » Asset Management » AMTD IDEA Group (NYSE:AMTD) » Definitions » Interest Coverage

Comparable Companies

Traded in Other Exchanges

HKB:Singapore

Address

41 Connaught Road Central, 23rd Floor Nexxus Building, Hong Kong, HKG

Website

https://www.amtdinc.com

AMTD IDEA Group is a financial institution operating in four business segment: The capital market solutions segment assists customers in raising funds through equity and debt financing, private placements and debt issuances. The digital solutions and other services segment provides institutional and corporate clients with exclusive, paid access to enhance investor communication, investor relations and corporate communication. The fashion and luxury media advertising and marketing services segment, engages in provision of print and digital advertising campaigns, licensing, and value-added marketing services including branded content, video production, social media activation. The strategic investment segment engages in proprietary investments and management of investment portfolio.