CSSV (Caspian Services) Interest Coverage: 0.44 (As of Jun. 2016)

What is Caspian Services Interest Coverage?

Caspian Services CSSV Interest Coverage is 0.44 as of Jun. 2016.

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. Caspian Services's Operating Income for the three months ended in Jun. 2016 was $1.09 Mil. Caspian Services's Interest Expense for the three months ended in Jun. 2016 was $-2.47 Mil. Caspian Services's interest coverage for the quarter that ended in Jun. 2016 was 0.44. The higher the ratio, the stronger the company's financial strength is.

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

CSSV's Interest Coverage is not ranked ^*
in the Oil & Gas industry.
Industry Median: 5.885
* 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.

Caspian Services (OTCPK:CSSV) 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 .

Caspian Services Interest Coverage Related Terms

Caspian Services Interest Coverage Historical Data

* Premium members only.

The historical data trend for Caspian Services'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.

Caspian Services Interest Coverage Chart

Caspian Services Annual Data

Trend

Sep06

Sep07

Sep08

Sep09

Sep10

Sep11

Sep12

Sep13

Sep14

Sep15

Interest Coverage

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0.32

0.00

Caspian Services Quarterly Data
	Sep11	Dec11	Mar12	Jun12	Sep12	Dec12	Mar13	Jun13	Sep13	Dec13	Mar14	Jun14	Sep14	Dec14	Mar15	Jun15	Sep15	Dec15	Mar16	Jun16
Interest Coverage	Get a 7-Day Free Trial															0.00	0.00	0.00	0.00	0.44

CSSV vs GLRI, TIRTZ, GLFH: Interest Coverage Comparison

For the Oil & Gas Equipment & Services subindustry, Caspian Services'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.

Caspian Services Interest Coverage vs Oil & Gas Industry

For the Oil & Gas industry and Energy sector, Caspian Services's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Caspian Services's Interest Coverage falls into.

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Caspian Services 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.

Caspian Services's Interest Coverage for the fiscal year that ended in Sep. 2015 is calculated as

Here, for the fiscal year that ended in Sep. 2015, Caspian Services's Interest Expense was $-9.15 Mil. Its Operating Income was $-6.68 Mil. And its Long-Term Debt & Capital Lease Obligation was $0.00 Mil.

Caspian Services did not have earnings to cover the interest expense.

Caspian Services's Interest Coverage for the quarter that ended in Jun. 2016 is calculated as

Here, for the three months ended in Jun. 2016, Caspian Services's Interest Expense was $-2.47 Mil. Its Operating Income was $1.09 Mil. And its Long-Term Debt & Capital Lease Obligation was $0.00 Mil.

Interest Coverage	=	-1	*	Operating Income (Q: Jun. 2016 )	/	Interest Expense (Q: Jun. 2016 )
	=	-1	*	1.091	/	-2.471
	=	0.44

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 0.44 mean?

Caspian Services (CSSV) has a Interest Coverage of 0.44 as of Jun. 2016. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Caspian Services and its competitors.

Is Caspian Services' Interest Coverage too high?

Caspian Services' current Interest Coverage is 0.44. The Oil & Gas industry median Interest Coverage is 5.89. Caspian Services' value of 0.44 is 92.5% below this industry median.

How does Caspian Services' Interest Coverage compare to GLRI and TIRTZ?

Caspian Services' Interest Coverage of 0.44 can be compared against companies in the Oil & Gas industry. The industry median Interest Coverage is 5.89. Caspian Services' value of 0.44 is 92.5% below this benchmark. 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 Oil & Gas company?

The median Interest Coverage among Oil & Gas companies is 5.89, based on 728 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. Caspian Services's current Interest Coverage of 0.44 is 92.5% below the industry median. 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 Caspian Services and its competitors. For the Oil & Gas industry, the median Interest Coverage is 5.89 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Caspian Services's current Interest Coverage is 0.44. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.

Is Caspian Services stock overvalued right now?

Caspian Services (CSSV) has a current Interest Coverage of 0.44. The current Interest Coverage is 0.44 and 92.5% below the Oil & Gas industry median of 5.89. 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 Caspian Services (CSSV), the current Interest Coverage is 0.44 as of Jun. 2016. 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.

Caspian Services Business Description

Industry Energy Oil & Gas

Comparable Companies BOM:531279 GLRI TSXV:IES WAR:BCI TIRTZ GLFH OSL:SBX TSXV:DAL TSXV:NWE TSXV:SEW FOSI BSE:UZT BOM:526614 LSE:IGSS TSX:HE XCNQ:RGT TSXV:HTC TSXV:DVT TSXV:TRB GLFMQ

Address 2319 Foothill Drive, Suite 160, Salt Lake City, UT, USA, 84109

Website http://www.caspianservicesinc.com

Caspian Services Inc provides oilfield services to oil & gas industry in Kazakhstan. The company operates in three reportable segments including Vessel operations, Geophysical services, and Marine base services. Vessel operations consist of chartering a fleet of shallow draft offshore support vessels to customers performing oil and gas exploration activities in the Caspian Sea. Geophysical services consist of providing seismic data acquisition services to oil and gas companies operating onshore in Kazakhstan. Marine base service consists of operating a marine base with a boat repair and drydocking services yard located at the port of Bautino on the North Caspian Sea. It generates the majority of the revenue from Vessel operations segment.