Hong Kong Exchanges and Clearing (Hong Kong Exchanges and Clearing) Interest Coverage

: 0.31 (As of Dec. 2023)

View and export this data going back to 2008. Start your Free Trial

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. Hong Kong Exchanges and Clearing's Operating Income for the three months ended in Dec. 2023 was $241 Mil. Hong Kong Exchanges and Clearing's Interest Expense for the three months ended in Dec. 2023 was $-767 Mil. Hong Kong Exchanges and Clearing's interest coverage for the quarter that ended in Dec. 2023 was 0.31. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Hong Kong Exchanges and Clearing's Interest Coverage or its related term are showing as below:

HKXCY' s Interest Coverage Range Over the Past 10 Years
Min: 0.92 Med: 17.18 Max: 92.9
Current: 0.92

HKXCY's Interest Coverage is ranked worse than
92.44% of 450 companies
in the Capital Markets industry
Industry Median: 19.12 vs HKXCY: 0.92

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

Hong Kong Exchanges and Clearing Interest Coverage Historical Data

The historical data trend for Hong Kong Exchanges and Clearing'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.

Hong Kong Exchanges and Clearing Annual Data

Trend

Dec14

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Interest Coverage

Get a 7-Day Free Trial

6.20

23.56

92.90

4.41

1.39

Hong Kong Exchanges and Clearing Quarterly Data
	Mar19	Jun19	Sep19	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23
Interest Coverage	Get a 7-Day Free Trial															1.12	65.98	0.69	66.65	0.31

Competitive Comparison

For the Financial Data & Stock Exchanges subindustry, Hong Kong Exchanges and Clearing'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.

Hong Kong Exchanges and Clearing Interest Coverage Distribution

For the Capital Markets industry and Financial Services sector, Hong Kong Exchanges and Clearing's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Hong Kong Exchanges and Clearing's Interest Coverage falls into.

Hong Kong Exchanges and Clearing 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.

Hong Kong Exchanges and Clearing'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, Hong Kong Exchanges and Clearing's Interest Expense was $-780 Mil. Its Operating Income was $1,086 Mil. And its Long-Term Debt & Capital Lease Obligation was $171 Mil.

Interest Coverage	=	-1	*	Operating Income (A: Dec. 2023 )	/	Interest Expense (A: Dec. 2023 )
	=	-1	*	1085.559	/	-780.43
	=	1.39

Hong Kong Exchanges and Clearing's Interest Coverage for the quarter that ended in Dec. 2023 is calculated as

Here, for the three months ended in Dec. 2023, Hong Kong Exchanges and Clearing's Interest Expense was $-767 Mil. Its Operating Income was $241 Mil. And its Long-Term Debt & Capital Lease Obligation was $171 Mil.

Interest Coverage	=	-1	*	Operating Income (Q: Dec. 2023 )	/	Interest Expense (Q: Dec. 2023 )
	=	-1	*	240.851	/	-767.369
	=	0.31

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

Hong Kong Exchanges and Clearing (OTCPK:HKXCY) 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 .

Hong Kong Exchanges and Clearing Interest Coverage Related Terms

Thank you for viewing the detailed overview of Hong Kong Exchanges and Clearing's Interest Coverage provided by GuruFocus.com. Please click on the following links to see related term pages.

Hong Kong Exchanges and Clearing (Hong Kong Exchanges and Clearing) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Financial Services » Capital Markets » Hong Kong Exchanges and Clearing Ltd (OTCPK:HKXCY) » Definitions » Interest Coverage

Comparable Companies

Traded in Other Exchanges

HKXCF:USA 00388:Hong Kong HK2C:Germany

Address

8 Connaught Place, 8th Floor, Two Exchange Square, Central, Hong Kong, HKG

Website

https://www.hkexgroup.com

Hong Kong Exchanges and Clearing is a vertically integrated securities exchange business offering listing, data, trading, clearing and settlement services across equities, debt and derivatives. HKEx, like Hong Kong itself, functions as a gateway between China and the rest of the world. HKEx serves as a preferred listing venue for Chinese companies outside of China and, through the Connect Scheme, offers two-way trading for a growing group of financial products with the Shanghai Stock Exchange and the Shenzhen Stock Exchange.