TPG Telecom (ASX:TPG) Interest Coverage : 80.67 (As of Dec. 2024)

View and export this data going back to 2001. Start your Free Trial

What is TPG Telecom 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. TPG Telecom's Operating Income for the six months ended in Dec. 2024 was A$242 Mil. TPG Telecom's Interest Expense for the six months ended in Dec. 2024 was A$-3 Mil. TPG Telecom's interest coverage for the quarter that ended in Dec. 2024 was 80.67. The higher the ratio, the stronger the company's financial strength is.

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

ASX:TPG' s Interest Coverage Range Over the Past 10 Years
Min: 5.97 Med: 17.06 Max: 77.5
Current: 77.5

ASX:TPG's Interest Coverage is ranked better than
92.26% of 297 companies
in the Telecommunication Services industry
Industry Median: 5.02 vs ASX:TPG: 77.50

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

TPG Telecom Interest Coverage Historical Data

The historical data trend for TPG Telecom'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.

TPG Telecom Interest Coverage Chart

TPG Telecom Annual Data

Trend

Jul15

Jul16

Jul17

Jul18

Jul19

Dec20

Dec21

Dec22

Dec23

Dec24

Interest Coverage

Get a 7-Day Free Trial

17.54

29.22

51.33

38.40

77.50

TPG Telecom Semi-Annual Data
	Jan15	Jul15	Jan16	Jul16	Jan17	Jul17	Jan18	Jul18	Jan19	Jul19	Jun20	Dec20	Jun21	Dec21	Jun22	Dec22	Jun23	Dec23	Jun24	Dec24
Interest Coverage	Get a 7-Day Free Trial															56.67	69.33	25.14	74.33	80.67

Competitive Comparison of TPG Telecom's Interest Coverage

For the Telecom Services subindustry, TPG Telecom'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.

TPG Telecom's Interest Coverage Distribution in the Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, TPG Telecom's Interest Coverage distribution charts can be found below:

* The bar in red indicates where TPG Telecom's Interest Coverage falls into.

Save Embed

;

Save Embed

;

TPG Telecom 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.

TPG Telecom's Interest Coverage for the fiscal year that ended in Dec. 2024 is calculated as

Here, for the fiscal year that ended in Dec. 2024, TPG Telecom's Interest Expense was A$-6 Mil. Its Operating Income was A$465 Mil. And its Long-Term Debt & Capital Lease Obligation was A$6,168 Mil.

Interest Coverage	=	-1	*	Operating Income (A: Dec. 2024 )	/	Interest Expense (A: Dec. 2024 )
	=	-1	*	465	/	-6
	=	77.50

TPG Telecom's Interest Coverage for the quarter that ended in Dec. 2024 is calculated as

Here, for the six months ended in Dec. 2024, TPG Telecom's Interest Expense was A$-3 Mil. Its Operating Income was A$242 Mil. And its Long-Term Debt & Capital Lease Obligation was A$6,168 Mil.

Interest Coverage	=	-1	*	Operating Income (Q: Dec. 2024 )	/	Interest Expense (Q: Dec. 2024 )
	=	-1	*	242	/	-3
	=	80.67

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

TPG Telecom (ASX:TPG) 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 .

TPG Telecom Interest Coverage Related Terms

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

TPG Telecom Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Communication Services » Telecommunication Services » TPG Telecom Ltd (ASX:TPG) » Definitions » Interest Coverage

Comparable Companies

Traded in Other Exchanges

N/A

Address

Level 27, Tower Two, 200 Barangaroo Avenue, International Towers Sydney, Barangaroo, NSW, AUS, 2000

Website

https://www.tpgtelecom.com.au

TPG Telecom is Australia's third-biggest integrated telecom services company. It offers mobile, fixed-line broadband and telephony, enterprise communications, and networking solutions. The value-led group caters to all market segments spanning consumer, small business, corporate, wholesale, and government. TPG Telecom has grown substantially since listing on the ASX in 2008, via organic growth and acquisitions, and culminated with the July 2020 Vodafone Hutchison Australia merger, the third-ranked mobile network operator in Australia. It owns an extensive stable of infrastructure assets, including a nationwide mobile network that is upgrading to 5G, Australia's second-largest fixed-line fiber network and submarine cable connecting Sydney to Guam, and onward to the US and Asia.