GCFB (Granite City Food & Brewery) Interest Coverage: 0.49 (As of Jun. 2017)


What is Granite City Food & Brewery Interest Coverage?

Granite City Food & Brewery GCFB Interest Coverage is 0.49 as of Jun. 2017.

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. Granite City Food & Brewery's Operating Income for the three months ended in Jun. 2017 was $0.6 Mil. Granite City Food & Brewery's Interest Expense for the three months ended in Jun. 2017 was $-1.3 Mil. Granite City Food & Brewery's interest coverage for the quarter that ended in Jun. 2017 was 0.49. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Granite City Food & Brewery's Interest Coverage or its related term are showing as below:


GCFB's Interest Coverage is not ranked *
in the Restaurants industry.
Industry Median: 6.45
* 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.

Granite City Food & Brewery  (OTCPK:GCFB) 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 .

Granite City Food & Brewery Interest Coverage Related Terms

Granite City Food & Brewery Interest Coverage Historical Data

* Premium members only.

The historical data trend for Granite City Food & Brewery'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.

Granite City Food & Brewery Interest Coverage Chart

Granite City Food & Brewery Annual Data
Trend Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.63 0.75 0.44 0.99 0.00

Granite City Food & Brewery Quarterly Data
Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17
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 6.73 0.00 0.00 0.00 0.49

GCFB vs BDVB, DBUB, GIGL: Interest Coverage Comparison

For the Restaurants subindustry, Granite City Food & Brewery'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.

Granite City Food & Brewery Interest Coverage vs Restaurants Industry

For the Restaurants industry and Consumer Cyclical sector, Granite City Food & Brewery's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Granite City Food & Brewery's Interest Coverage falls into.


Granite City Food & Brewery 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.

Granite City Food & Brewery's Interest Coverage for the fiscal year that ended in Dec. 2016 is calculated as

Here, for the fiscal year that ended in Dec. 2016, Granite City Food & Brewery's Interest Expense was $-3.8 Mil. Its Operating Income was $-0.6 Mil. And its Long-Term Debt & Capital Lease Obligation was $22.6 Mil.

Granite City Food & Brewery did not have earnings to cover the interest expense.

Granite City Food & Brewery's Interest Coverage for the quarter that ended in Jun. 2017 is calculated as

Here, for the three months ended in Jun. 2017, Granite City Food & Brewery's Interest Expense was $-1.3 Mil. Its Operating Income was $0.6 Mil. And its Long-Term Debt & Capital Lease Obligation was $20.7 Mil.

Interest Coverage=-1* Operating Income (Q: Jun. 2017 )/Interest Expense (Q: Jun. 2017 )
=-1*0.639/-1.314
=0.49

* 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.

Frequently Asked Questions Learn more about Interest Coverage →
What does a Interest Coverage of 0.49 mean?
Granite City Food & Brewery (GCFB) has a Interest Coverage of 0.49 as of Jun. 2017. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Granite City Food & Brewery and its competitors.
Is Granite City Food & Brewery's Interest Coverage too high?
Granite City Food & Brewery's current Interest Coverage is 0.49. The Restaurants industry median Interest Coverage is 6.45. Granite City Food & Brewery's value of 0.49 is 92.4% below this industry median.
How does Granite City Food & Brewery's Interest Coverage compare to BDVB and DBUB?
Granite City Food & Brewery's Interest Coverage of 0.49 can be compared against companies in the Restaurants industry. The industry median Interest Coverage is 6.45. Granite City Food & Brewery's value of 0.49 is 92.4% 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 a Restaurants company?
The median Interest Coverage among Restaurants companies is 6.45, based on 262 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. Granite City Food & Brewery's current Interest Coverage of 0.49 is 92.4% 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 Granite City Food & Brewery and its competitors. For the Restaurants industry, the median Interest Coverage is 6.45 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Granite City Food & Brewery's current Interest Coverage is 0.49. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Granite City Food & Brewery stock overvalued right now?
Granite City Food & Brewery (GCFB) has a current Interest Coverage of 0.49. The current Interest Coverage is 0.49 and 92.4% below the Restaurants industry median of 6.45. 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 Granite City Food & Brewery (GCFB), the current Interest Coverage is 0.49 as of Jun. 2017. 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.

Granite City Food & Brewery Business Description

Address 12701 Whitewater Drive, Suite 290, Minnetonka, MN, USA, 55343
Granite City Food & Brewery Ltd owns and operates a restaurant with an on-site brewery. The company operates two casual dining concepts which include Granite city food and brewery and Cadillac ranch all American bar and grill. The Granite city restaurant theme is upscale casual dining with a wide variety of menu items, which includes handcrafted beers finished on-site. Cadillac Ranch restaurants feature authentic, cuisine in a fun, dynamic environment. Its menu is diverse with offerings ranging from homemade meatloaf to pasta dishes. It has approximately 36 restaurants in over 10 states. In addition, it also operates a centralized beer production facility in Ellsworth, Iowa which facilitates the initial stages of its brewing process.