Al-Khazna Insurance Co PSC (ADX:AKIC) Interest Coverage: 0 (At Loss) (As of Dec. 2020)

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What is Al-Khazna Insurance Co PSC Interest Coverage?

Al-Khazna Insurance Co PSC ADX:AKIC Interest Coverage is 0 (At Loss) as of Dec. 2020.

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 EBIT by its Interest Expense. Al-Khazna Insurance Co PSC's EBIT for the three months ended in Dec. 2020 was د.إ-5.52 Mil. Al-Khazna Insurance Co PSC's Interest Expense for the three months ended in Dec. 2020 was د.إ-0.20 Mil. did not have earnings to cover the interest expense. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Al-Khazna Insurance Co PSC's Interest Coverage or its related term are showing as below:


ADX:AKIC's Interest Coverage is not ranked *
in the Insurance industry.
Industry Median: 15.34
* 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.


Al-Khazna Insurance Co PSC  (ADX:AKIC) 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 .


Al-Khazna Insurance Co PSC Interest Coverage Related Terms


Al-Khazna Insurance Co PSC Interest Coverage Historical Data

* Premium members only.

The historical data trend for Al-Khazna Insurance Co PSC'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.

Al-Khazna Insurance Co PSC Interest Coverage Chart

Al-Khazna Insurance Co PSC Annual Data
Trend Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20
Interest Coverage
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Al-Khazna Insurance Co PSC Quarterly Data
Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20
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 0.00 0.00 0.00 0.00 0.00

ADX:AKIC vs PIH, NSEC, CNFR: Interest Coverage Comparison

For the Insurance - Property & Casualty subindustry, Al-Khazna Insurance Co PSC'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.


Al-Khazna Insurance Co PSC Interest Coverage vs Insurance Industry

For the Insurance industry and Financial Services sector, Al-Khazna Insurance Co PSC's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Al-Khazna Insurance Co PSC's Interest Coverage falls into.



Al-Khazna Insurance Co PSC 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 EBIT is positive, then

Interest Coverage=-1* EBIT /Interest Expense

Else if Interest Expense is negative and EBIT 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.

Al-Khazna Insurance Co PSC's Interest Coverage for the fiscal year that ended in Dec. 2020 is calculated as

Here, for the fiscal year that ended in Dec. 2020, Al-Khazna Insurance Co PSC's Interest Expense was د.إ-32.79 Mil. Its EBIT was د.إ-30.99 Mil. And its Long-Term Debt & Capital Lease Obligation was د.إ60.44 Mil.

Al-Khazna Insurance Co PSC did not have earnings to cover the interest expense.

Al-Khazna Insurance Co PSC's Interest Coverage for the quarter that ended in Dec. 2020 is calculated as

Here, for the three months ended in Dec. 2020, Al-Khazna Insurance Co PSC's Interest Expense was د.إ-0.20 Mil. Its EBIT was د.إ-5.52 Mil. And its Long-Term Debt & Capital Lease Obligation was د.إ60.44 Mil.

Al-Khazna Insurance Co PSC did not have earnings to cover the interest expense.

* 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.

Frequently Asked Questions Learn more about Interest Coverage →
What does a Interest Coverage of 0 (At Loss) mean?
Al-Khazna Insurance Co PSC (ADX:AKIC) has a Interest Coverage of 0 (At Loss) as of Dec. 2020. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Al-Khazna Insurance Co PSC and its competitors.
Is Al-Khazna Insurance Co PSC's Interest Coverage too high?
Al-Khazna Insurance Co PSC's current Interest Coverage is 0 (At Loss).
How does Al-Khazna Insurance Co PSC's Interest Coverage compare to PIH and NSEC?
Al-Khazna Insurance Co PSC's Interest Coverage of 0 (At Loss) can be compared against companies in the Insurance industry. The industry median Interest Coverage is 15.34. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Interest Coverage for an Insurance company?
The median Interest Coverage among Insurance companies is 15.34, based on 348 companies in the industry. Companies in the top quartile (top 25%) have a Interest Coverage significantly above this median, while those in the bottom quartile fall well below. However, Interest Coverage should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Interest Coverage mean?
A high Interest Coverage can signal that a stock is expensive relative to its fundamentals. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Al-Khazna Insurance Co PSC and its competitors. For the Insurance industry, the median Interest Coverage is 15.34 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Al-Khazna Insurance Co PSC's current Interest Coverage is 0 (At Loss). However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Al-Khazna Insurance Co PSC stock overvalued right now?
Al-Khazna Insurance Co PSC (ADX:AKIC) has a current Interest Coverage of 0 (At Loss). The current Interest Coverage is 0 (At Loss). Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Interest Coverage calculated?
Interest Coverage is calculated from a company's financial statements. For Al-Khazna Insurance Co PSC (ADX:AKIC), the current Interest Coverage is 0 (At Loss) as of Dec. 2020. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Al-Khazna Insurance Co PSC Business Description

Address Al Khazna Tower, P. O. Box 73343, Abu Dhabi, ARE
Al-Khazna Insurance Co PSC offers specialized risk management and insurance services with a strong presence and a diverse portfolio of business comprising Personal Accident, Property both operational and construction, Group Life & Medical, Motor, Liability both financial and casualty lines, Marine, Energy and Aviation, and niche products like credit, affinity products etc. We are fully geared to handle all classes of business in UAE and other GCC countries.