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Smartfit Escola DE Ginastica E Danca (BSP:SMFT3) Interest Coverage : 1.27 (As of Mar. 2025)


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What is Smartfit Escola DE Ginastica E Danca 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. Smartfit Escola DE Ginastica E Danca's Operating Income for the three months ended in Mar. 2025 was R$377 Mil. Smartfit Escola DE Ginastica E Danca's Interest Expense for the three months ended in Mar. 2025 was R$-298 Mil. Smartfit Escola DE Ginastica E Danca's interest coverage for the quarter that ended in Mar. 2025 was 1.27. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Smartfit Escola DE Ginastica E Danca's Interest Coverage or its related term are showing as below:

BSP:SMFT3' s Interest Coverage Range Over the Past 10 Years
Min: 0.27   Med: 0.84   Max: 1.32
Current: 1.29


BSP:SMFT3's Interest Coverage is ranked worse than
80.03% of 611 companies
in the Travel & Leisure industry
Industry Median: 4.65 vs BSP:SMFT3: 1.29

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


Smartfit Escola DE Ginastica E Danca Interest Coverage Historical Data

The historical data trend for Smartfit Escola DE Ginastica E Danca'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.

Smartfit Escola DE Ginastica E Danca Interest Coverage Chart

Smartfit Escola DE Ginastica E Danca Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Interest Coverage
Get a 7-Day Free Trial Premium Member Only - - 0.37 1.14 1.32

Smartfit Escola DE Ginastica E Danca Quarterly Data
Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
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 1.26 1.13 1.13 1.63 1.27

Competitive Comparison of Smartfit Escola DE Ginastica E Danca's Interest Coverage

For the Leisure subindustry, Smartfit Escola DE Ginastica E Danca'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.


Smartfit Escola DE Ginastica E Danca's Interest Coverage Distribution in the Travel & Leisure Industry

For the Travel & Leisure industry and Consumer Cyclical sector, Smartfit Escola DE Ginastica E Danca's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Smartfit Escola DE Ginastica E Danca's Interest Coverage falls into.


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Smartfit Escola DE Ginastica E Danca 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.

Smartfit Escola DE Ginastica E Danca'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, Smartfit Escola DE Ginastica E Danca's Interest Expense was R$-1,028 Mil. Its Operating Income was R$1,360 Mil. And its Long-Term Debt & Capital Lease Obligation was R$9,906 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2024 )/Interest Expense (A: Dec. 2024 )
=-1*1359.805/-1028.044
=1.32

Smartfit Escola DE Ginastica E Danca's Interest Coverage for the quarter that ended in Mar. 2025 is calculated as

Here, for the three months ended in Mar. 2025, Smartfit Escola DE Ginastica E Danca's Interest Expense was R$-298 Mil. Its Operating Income was R$377 Mil. And its Long-Term Debt & Capital Lease Obligation was R$9,828 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2025 )/Interest Expense (Q: Mar. 2025 )
=-1*377.451/-298.258
=1.27

* 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.


Smartfit Escola DE Ginastica E Danca  (BSP:SMFT3) 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 .


Smartfit Escola DE Ginastica E Danca Interest Coverage Related Terms

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Smartfit Escola DE Ginastica E Danca Business Description

Traded in Other Exchanges
N/A
Address
Rua Lelio Gama 104 - 38 Floor, 2nd Floor, Rio de Janeiro, RJ, BRA, 20031080
Smartfit Escola DE Ginastica E Danca SA is a fitness club. The company provides physical conditioning services through gymnasiums, bodybuilding, dancing and swimming. Facilities offered by the company include SmartBox, free weight, gym classes, bicycles, smart bike, fitness equipment, and a running machine, among others. The Company is present in fourteen countries, namely Brazil, Mexico, Colombia, Chile, Peru, Argentina, Paraguay, Panama, Costa Rica, Dominican Republic, Ecuador, Guatemala, El Salvador, and Honduras, operating in the HVLP segment with the brand Smart Fit, in the Premium segment with the brand Bio Ritmo, and in the digital fitness segment.

Smartfit Escola DE Ginastica E Danca Headlines

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