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HCI (HCI Group) Interest Coverage : 5.12 (As of Sep. 2024)


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What is HCI Group 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 EBIT by its Interest Expense. HCI Group's EBIT for the three months ended in Sep. 2024 was $17.5 Mil. HCI Group's Interest Expense for the three months ended in Sep. 2024 was $-3.4 Mil. HCI Group's interest coverage for the quarter that ended in Sep. 2024 was 5.12. The higher the ratio, the stronger the company's financial strength is.

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

HCI' s Interest Coverage Range Over the Past 10 Years
Min: 0.07   Med: 4.19   Max: 18.37
Current: 18.37


HCI's Interest Coverage is ranked better than
57.59% of 323 companies
in the Insurance industry
Industry Median: 13.66 vs HCI: 18.37

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


HCI Group Interest Coverage Historical Data

The historical data trend for HCI Group'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.

HCI Group Interest Coverage Chart

HCI Group Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 3.80 4.19 2.78 - 11.66

HCI Group Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
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 8.11 20.77 25.59 23.02 5.12

Competitive Comparison of HCI Group's Interest Coverage

For the Insurance - Property & Casualty subindustry, HCI Group'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.


HCI Group's Interest Coverage Distribution in the Insurance Industry

For the Insurance industry and Financial Services sector, HCI Group's Interest Coverage distribution charts can be found below:

* The bar in red indicates where HCI Group's Interest Coverage falls into.



HCI Group 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 EBIT is positive, then

Interest Coverage=-1* EBIT /Interest Expense

Else if Interest Expense is negative and EBIT 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.

HCI Group's Interest Coverage for the fiscal year that ended in Dec. 2023 is calculated as

Here, for the fiscal year that ended in Dec. 2023, HCI Group's Interest Expense was $-11.0 Mil. Its EBIT was $128.7 Mil. And its Long-Term Debt & Capital Lease Obligation was $208.5 Mil.

Interest Coverage=-1* EBIT (A: Dec. 2023 )/Interest Expense (A: Dec. 2023 )
=-1*128.685/-11.035
=11.66

HCI Group's Interest Coverage for the quarter that ended in Sep. 2024 is calculated as

Here, for the three months ended in Sep. 2024, HCI Group's Interest Expense was $-3.4 Mil. Its EBIT was $17.5 Mil. And its Long-Term Debt & Capital Lease Obligation was $185.1 Mil.

Interest Coverage=-1* EBIT (Q: Sep. 2024 )/Interest Expense (Q: Sep. 2024 )
=-1*17.501/-3.421
=5.12

* 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.


HCI Group  (NYSE:HCI) 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 .


HCI Group Interest Coverage Related Terms

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


HCI Group Business Description

Traded in Other Exchanges
Address
3802 Coconut Palm Drive, Tampa, FL, USA, 33619
HCI Group Inc is engaged in the property and casualty insurance business through two Florida domiciled insurance companies, Homeowners Choice Property & Casualty Insurance Company (HCPCI) and TypTap Insurance Company (TypTap). Both HCPCI and TypTap are authorized to underwrite various homeowners' property and casualty insurance products and allied lines business in the state of Florida and other states. The operating segments of the group are HCPCI insurance operations, TypTap Group, Real estate operations, and Corporate and other. It derives key revenue from the HCPCI Insurance operation segment.
Executives
Paresh Patel director 1520 GULF BLVD., APT. 1706, CLEARWATER FL 33767
Anthony Saravanos director 3802 COCONUT PALM DRIVE, TAMPA FL 33619
Andrew L. Graham officer: VP/Corporate Secretary 3802 COCONUT PALM DRIVE, TAMPA FL 33619
Sanjay Madhu director 425 EAST DAVIS BLVD., TAMPA FL 33606
James Mark Harmsworth officer: Chief Financial Officer 5300 W CYPRESS ST, SUITE 100, TAMPA FL 33607
Karin Sue Coleman officer: Executive Vice President 5300 W CYPRESS ST, SUITE 100, TAMPA FL 33607
Lauren L Valiente director 3802 COCONUT PALM DRIVE, TAMPA FL 33619
Susan Watts director 5300 W CYPRESS ST, SUITE 100, TAMPA FL 33607
Robert Wayne Burks director 1009 S STERLING AVENUE, TAMPA FL 33629
Peter Politis director 3802 COCONUT PALM DRIVE, TAMPA FL 33619
Gregory Politis director 965 SOUTH BAYSHORE BLVD., SAFETY HARBOR FL 34695
Eric Brandon Hoffman director C/O INTREPID GROUP HOLDINGS, LLC, ONE STAMFORD PLAZA, 263 TRESSER BLVD., STAMFORD CT 06901
George Apostolou director 3802 COCONUT PALM DRIVE, TAMPA FL 33619
James J Macchiarola director 3671 EXECUTIVE DRIVE, PALM HARBOR FL 34685
Loreen M Spencer director 5300 W CYPRESS ST, SUITE 100, TAMPA FL 33607