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A. Schulman (A. Schulman) Interest Coverage : 1.47 (As of May. 2018)


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What is A. Schulman 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. A. Schulman's Operating Income for the three months ended in May. 2018 was $21 Mil. A. Schulman's Interest Expense for the three months ended in May. 2018 was $-14 Mil. A. Schulman's interest coverage for the quarter that ended in May. 2018 was 1.47. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for A. Schulman's Interest Coverage or its related term are showing as below:


SHLM's Interest Coverage is not ranked *
in the Chemicals industry.
Industry Median: 9.88
* Ranked among companies with meaningful Interest Coverage only.

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


A. Schulman Interest Coverage Historical Data

The historical data trend for A. Schulman'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.

A. Schulman Interest Coverage Chart

A. Schulman Annual Data
Trend Aug08 Aug09 Aug10 Aug11 Aug12 Aug13 Aug14 Aug15 Aug16 Aug17
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 9.90 10.27 3.75 1.91 1.92

A. Schulman Quarterly Data
Aug13 Nov13 Feb14 May14 Aug14 Nov14 Feb15 May15 Aug15 Nov15 Feb16 May16 Aug16 Nov16 Feb17 May17 Aug17 Nov17 Feb18 May18
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 2.52 1.26 2.23 0.99 1.47

Competitive Comparison of A. Schulman's Interest Coverage

For the Chemicals subindustry, A. Schulman'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.


A. Schulman's Interest Coverage Distribution in the Chemicals Industry

For the Chemicals industry and Basic Materials sector, A. Schulman's Interest Coverage distribution charts can be found below:

* The bar in red indicates where A. Schulman's Interest Coverage falls into.



A. Schulman 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.

A. Schulman's Interest Coverage for the fiscal year that ended in Aug. 2017 is calculated as

Here, for the fiscal year that ended in Aug. 2017, A. Schulman's Interest Expense was $-53 Mil. Its Operating Income was $102 Mil. And its Long-Term Debt & Capital Lease Obligation was $885 Mil.

Interest Coverage=-1* Operating Income (A: Aug. 2017 )/Interest Expense (A: Aug. 2017 )
=-1*102.398/-53.195
=1.92

A. Schulman's Interest Coverage for the quarter that ended in May. 2018 is calculated as

Here, for the three months ended in May. 2018, A. Schulman's Interest Expense was $-14 Mil. Its Operating Income was $21 Mil. And its Long-Term Debt & Capital Lease Obligation was $897 Mil.

Interest Coverage=-1* Operating Income (Q: May. 2018 )/Interest Expense (Q: May. 2018 )
=-1*21.059/-14.285
=1.47

* 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.


A. Schulman  (NAS:SHLM) 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 .


A. Schulman Interest Coverage Related Terms

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


A. Schulman (A. Schulman) Business Description

Traded in Other Exchanges
Address
1221 McKinney Street, Suite 300, Houston, TX, USA, 77010
Lyondellbasell Advanced Polymers Inc manufactures and sells a variety of plastics and chemical-based products. The firm's product portfolio includes Engineered Thermoplastics, Masterbatch, Engineered Composites, Specialty Powders, and Distribution Services. The company organizes itself into four main segments by geography. Europe, Middle East, and Africa segment generate more revenue than any other segment. The other segments are the United States and Canada, Latin America, and Asia-Pacific.
Executives
Eugene Robert Allspach director 3550 WEST MARKET STREET, AKRON OH 44333
Carol S Eicher director ROHM AND HAAS COMPANY, 100 INDEPENDENCE MALL WEST, PHILADELPHIA PA 19106
Kristopher R Westbrooks officer: VP - Controller and CAO 3637 RIDGEWOOD ROAD, FAIRLAWN OH 44333
Rainer Schewe officer: EVP Global Supply Chain 3637 RIDGEWOOD RD, FAIRLAWN X1 44333
Andrean Horton officer: Senior Corp. Counsel 3637 RIDGEWOOD RD, FAIRLAWN X1 44333
John W Richardson officer: EVP - Chief Financial Officer THE GOODYEAR TIRE & RUBBER COMPANY, 1144 EAST MARKET STREET, AKRON OH 44316-0001
Allen A Spizzo director 1313 N MARKET ST, WILMINGTON DE 19894
Derek R Bristow officer: SVP & GM - APAC LOCALITA BREDA LIBERA, VIA IV NOVEMBRE 3, VEROLANUOVA L6 25028
David G Birney director 3550 W. MARKET STREET, AKRON OH 44333
Timothy J Mcdannold officer: Treasurer - Dir.Risk Mngmnt. 5995 MAYFAIR ROAD, NORTH CANTON OH 44720
Lee D Meyer director 208 SHAWNA DRIVE, KEARNEY MO 64060
Joseph M Gingo director, officer: President & CEO 3550 WEST MARKET STREET, AKRON OH 44333
Gary A Miller officer: VP, Chief Procurement Officer 3550 WEST MARKET STREET, AKRON OH 44333
James A Mitarotonda director 888 SEVENTH AVENUE 17TH FL, NEW YORK NY 10019
Gustavo S. Perez officer: SVP & GM LATAM 3550 WEST MARKET STREET, AKRON OH 44333