Ashtead Group (Ashtead Group) Interest Coverage

Ashtead Group Annual Data
	Trend	Apr14	Apr15	Apr16	Apr17	Apr18	Apr19	Apr20	Apr21	Apr22	Apr23
Interest Coverage							9.21	6.62	7.39	9.78	8.20

Ashtead Group Quarterly Data
	Apr19	Jul19	Oct19	Jan20	Apr20	Jul20	Oct20	Jan21	Apr21	Jul21	Oct21	Jan22	Apr22	Jul22	Oct22	Jan23	Apr23	Jul23	Oct23	Jan24
Interest Coverage																7.08	6.74	7.38	7.16	5.16

For the Rental & Leasing Services subindustry, Ashtead 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.

For the Business Services industry and Industrials sector, Ashtead Group's Interest Coverage distribution charts can be found below:

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

Ashtead 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

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

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

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

Ashtead Group's Interest Coverage for the fiscal year that ended in Apr. 2023 is calculated as

Here, for the fiscal year that ended in Apr. 2023, Ashtead Group's Interest Expense was $-362 Mil. Its Operating Income was $2,964 Mil. And its Long-Term Debt & Capital Lease Obligation was $8,756 Mil.

Ashtead Group's Interest Coverage for the quarter that ended in Jan. 2024 is calculated as

Here, for the three months ended in Jan. 2024, Ashtead Group's Interest Expense was $-147 Mil. Its Operating Income was $758 Mil. And its Long-Term Debt & Capital Lease Obligation was $10,920 Mil.

* 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.

Ashtead Group  (OTCPK:ASHTF) 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 .

Ashtead Group Interest Coverage Related Terms

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Ashtead Group (Ashtead Group) Business Description