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Plenti Group (ASX:PLT) Interest Coverage : 1.40 (As of Sep. 2024)


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What is Plenti Group 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. Plenti Group's Operating Income for the six months ended in Sep. 2024 was A$90.9 Mil. Plenti Group's Interest Expense for the six months ended in Sep. 2024 was A$-64.9 Mil. Plenti Group's interest coverage for the quarter that ended in Sep. 2024 was 1.40. The higher the ratio, the stronger the company's financial strength is.

Warning Sign:

Ben Graham prefers companies' interest coverage to be at least 5. Plenti Group Ltds earnings cannot cover its interest expense. If the situation continues, the company may have to issue more debt.

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

ASX:PLT' s Interest Coverage Range Over the Past 10 Years
Min: 0.6   Med: 7.02   Max: 7.02
Current: 0.6


ASX:PLT's Interest Coverage is ranked worse than
97.63% of 169 companies
in the Credit Services industry
Industry Median: 189.07 vs ASX:PLT: 0.60

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


Plenti Group Interest Coverage Historical Data

The historical data trend for Plenti 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.

* Premium members only.

Plenti Group Interest Coverage Chart

Plenti Group Annual Data
Trend Mar21 Mar22 Mar23 Mar24
Interest Coverage
- 7.02 - -

Plenti Group Semi-Annual Data
Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24
Interest Coverage Get a 7-Day Free Trial Premium Member Only 358.00 - 1.38 - 1.40

Competitive Comparison of Plenti Group's Interest Coverage

For the Credit Services subindustry, Plenti 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.


Plenti Group's Interest Coverage Distribution in the Credit Services Industry

For the Credit Services industry and Financial Services sector, Plenti Group's Interest Coverage distribution charts can be found below:

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


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Plenti 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.

Plenti Group's Interest Coverage for the fiscal year that ended in Mar. 2024 is calculated as

Here, for the fiscal year that ended in Mar. 2024, Plenti Group's Interest Expense was A$-3.3 Mil. Its Operating Income was A$-12.2 Mil. And its Long-Term Debt & Capital Lease Obligation was A$2,187.6 Mil.

Plenti Group did not have earnings to cover the interest expense.

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

Here, for the six months ended in Sep. 2024, Plenti Group's Interest Expense was A$-64.9 Mil. Its Operating Income was A$90.9 Mil. And its Long-Term Debt & Capital Lease Obligation was A$0.0 Mil.

Interest Coverage=-1* Operating Income (Q: Sep. 2024 )/Interest Expense (Q: Sep. 2024 )
=-1*90.854/-64.943
=1.40

* 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.


Plenti Group  (ASX:PLT) 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 .


Plenti Group Interest Coverage Related Terms

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


Plenti Group Business Description

Traded in Other Exchanges
N/A
Address
14 Martin Place, Level 5, Sydney, NSW, AUS, 2000
Plenti Group Ltd is a technology-led consumer lending and investment company. The company offers loan products under three verticals namely, Automotive lending provides finance to personal and commercial customers for the purchase of new or used motor vehicles; Renewable energy lending provides finance to Australian households for the purchase and installation of renewable energy products such as solar panels and batteries; and Personal lending provides fixed-term, unsecured, interest-bearing loans used for purposes such as debt consolidation, home improvement, travel expenses, medical expenses, and other purposes.

Plenti Group Headlines

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