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Strathfield Group Limited (ASX:SRA) Interest Coverage : 0 (At Loss) (As of Jun. 2011)


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What is Strathfield Group Limited 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. Strathfield Group Limited's Operating Income for the six months ended in Jun. 2011 was A$-15.59 Mil. Strathfield Group Limited's Interest Expense for the six months ended in Jun. 2011 was A$-0.93 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 Strathfield Group Limited's Interest Coverage or its related term are showing as below:


ASX:SRA's Interest Coverage is not ranked *
in the industry.
Industry Median:
* 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.


Strathfield Group Limited Interest Coverage Historical Data

The historical data trend for Strathfield Group Limited'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.

Strathfield Group Limited Interest Coverage Chart

Strathfield Group Limited Annual Data
Trend Jun02 Jun03 Jun04 Jun05 Jun06 Jun07 Jun08 Jun09 Jun10 Jun11
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.47 0.41 - - -

Strathfield Group Limited Semi-Annual Data
Dec01 Jun02 Dec02 Jun03 Dec03 Jun04 Dec04 Jun05 Dec05 Jun06 Dec06 Jun07 Dec07 Jun08 Dec08 Jun09 Dec09 Jun10 Dec10 Jun11
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 57.51 6.57 - 1.50 -

Competitive Comparison of Strathfield Group Limited's Interest Coverage

For the subindustry, Strathfield Group Limited'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.


Strathfield Group Limited's Interest Coverage Distribution in the Industry

For the industry and sector, Strathfield Group Limited's Interest Coverage distribution charts can be found below:

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



Strathfield Group Limited 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.

Strathfield Group Limited's Interest Coverage for the fiscal year that ended in Jun. 2011 is calculated as

Here, for the fiscal year that ended in Jun. 2011, Strathfield Group Limited's Interest Expense was A$-1.51 Mil. Its Operating Income was A$-14.72 Mil. And its Long-Term Debt & Capital Lease Obligation was A$8.11 Mil.

Strathfield Group Limited did not have earnings to cover the interest expense.

Strathfield Group Limited's Interest Coverage for the quarter that ended in Jun. 2011 is calculated as

Here, for the six months ended in Jun. 2011, Strathfield Group Limited's Interest Expense was A$-0.93 Mil. Its Operating Income was A$-15.59 Mil. And its Long-Term Debt & Capital Lease Obligation was A$8.11 Mil.

Strathfield Group Limited 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.


Strathfield Group Limited  (ASX:SRA) 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 .


Strathfield Group Limited Interest Coverage Related Terms

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Strathfield Group Limited (ASX:SRA) Business Description

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