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FVR (FrontView REIT) Interest Coverage : 0.80 (As of Dec. 2024)


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What is FrontView REIT 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. FrontView REIT's Operating Income for the three months ended in Dec. 2024 was $2.75 Mil. FrontView REIT's Interest Expense for the three months ended in Dec. 2024 was $-3.45 Mil. FrontView REIT's interest coverage for the quarter that ended in Dec. 2024 was 0.80. 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. FrontView REIT Incs 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 FrontView REIT's Interest Coverage or its related term are showing as below:

FVR' s Interest Coverage Range Over the Past 10 Years
Min: 0.21   Med: 0.6   Max: 0.7
Current: 0.59


FVR's Interest Coverage is ranked worse than
93.88% of 719 companies
in the REITs industry
Industry Median: 2.85 vs FVR: 0.59

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


FrontView REIT Interest Coverage Historical Data

The historical data trend for FrontView REIT'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.

FrontView REIT Interest Coverage Chart

FrontView REIT Annual Data
Trend Dec21 Dec22 Dec23 Dec24
Interest Coverage
0.70 0.63 0.21 0.57

FrontView REIT Quarterly Data
Dec21 Sep22 Dec22 Jun23 Sep23 Dec23 Jun24 Sep24 Dec24
Interest Coverage Get a 7-Day Free Trial Premium Member Only - 0.23 0.57 0.49 0.80

Competitive Comparison of FrontView REIT's Interest Coverage

For the REIT - Diversified subindustry, FrontView REIT'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.


FrontView REIT's Interest Coverage Distribution in the REITs Industry

For the REITs industry and Real Estate sector, FrontView REIT's Interest Coverage distribution charts can be found below:

* The bar in red indicates where FrontView REIT's Interest Coverage falls into.


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FrontView REIT 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.

FrontView REIT'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, FrontView REIT's Interest Expense was $-23.35 Mil. Its Operating Income was $13.36 Mil. And its Long-Term Debt & Capital Lease Obligation was $281.27 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2024 )/Interest Expense (A: Dec. 2024 )
=-1*13.362/-23.348
=0.57

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

Here, for the three months ended in Dec. 2024, FrontView REIT's Interest Expense was $-3.45 Mil. Its Operating Income was $2.75 Mil. And its Long-Term Debt & Capital Lease Obligation was $281.27 Mil.

Interest Coverage=-1* Operating Income (Q: Dec. 2024 )/Interest Expense (Q: Dec. 2024 )
=-1*2.752/-3.452
=0.80

* 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.


FrontView REIT  (NYSE:FVR) 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 .


FrontView REIT Interest Coverage Related Terms

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


FrontView REIT Business Description

Traded in Other Exchanges
N/A
Address
3131 McKinney Avenue, Suite L10, Dallas, TX, USA, 75204
FrontView REIT Inc is an internally managed net-lease REIT that is experienced in acquiring, owning, and managing out parcel properties that are net-leased to a diversified group of tenants. The tenants of the company include service-oriented businesses, such as restaurants, cellular stores, financial institutions, automotive stores and dealers, medical and dental providers, pharmacies, convenience and gas stores, car washes, home improvement stores, grocery stores, professional services as well as general retail tenants.