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Budweiser Brewing Co APAC (HKSE:01876) Interest Coverage : 36.20 (As of Dec. 2024)


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What is Budweiser Brewing Co APAC 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. Budweiser Brewing Co APAC's Operating Income for the six months ended in Dec. 2024 was HK$2,814 Mil. Budweiser Brewing Co APAC's Interest Expense for the six months ended in Dec. 2024 was HK$-78 Mil. Budweiser Brewing Co APAC's interest coverage for the quarter that ended in Dec. 2024 was 36.20. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Budweiser Brewing Co APAC's Interest Coverage or its related term are showing as below:

HKSE:01876' s Interest Coverage Range Over the Past 10 Years
Min: 17.89   Med: 44.23   Max: 73.32
Current: 41.38


HKSE:01876's Interest Coverage is ranked better than
67.48% of 163 companies
in the Beverages - Alcoholic industry
Industry Median: 9.59 vs HKSE:01876: 41.38

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


Budweiser Brewing Co APAC Interest Coverage Historical Data

The historical data trend for Budweiser Brewing Co APAC'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.

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Budweiser Brewing Co APAC Interest Coverage Chart

Budweiser Brewing Co APAC Annual Data
Trend Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Interest Coverage
Get a 7-Day Free Trial 46.89 73.32 47.88 41.56 41.37

Budweiser Brewing Co APAC Semi-Annual Data
Dec17 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24
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 33.77 32.04 82.83 44.41 36.20

Competitive Comparison of Budweiser Brewing Co APAC's Interest Coverage

For the Beverages - Brewers subindustry, Budweiser Brewing Co APAC'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.


Budweiser Brewing Co APAC's Interest Coverage Distribution in the Beverages - Alcoholic Industry

For the Beverages - Alcoholic industry and Consumer Defensive sector, Budweiser Brewing Co APAC's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Budweiser Brewing Co APAC's Interest Coverage falls into.


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Budweiser Brewing Co APAC 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.

Budweiser Brewing Co APAC'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, Budweiser Brewing Co APAC's Interest Expense was HK$-210 Mil. Its Operating Income was HK$8,683 Mil. And its Long-Term Debt & Capital Lease Obligation was HK$529 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2024 )/Interest Expense (A: Dec. 2024 )
=-1*8682.888/-209.882
=41.37

Budweiser Brewing Co APAC's Interest Coverage for the quarter that ended in Dec. 2024 is calculated as

Here, for the six months ended in Dec. 2024, Budweiser Brewing Co APAC's Interest Expense was HK$-78 Mil. Its Operating Income was HK$2,814 Mil. And its Long-Term Debt & Capital Lease Obligation was HK$529 Mil.

Interest Coverage=-1* Operating Income (Q: Dec. 2024 )/Interest Expense (Q: Dec. 2024 )
=-1*2813.971/-77.734
=36.20

* 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.


Budweiser Brewing Co APAC  (HKSE:01876) 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 .


Budweiser Brewing Co APAC Interest Coverage Related Terms

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Budweiser Brewing Co APAC Business Description

Traded in Other Exchanges
Address
500 Hennessy Road, 27th Floor Hysan Place, Room 2701, Causeway Bay, Hong Kong, HKG
Budweiser APAC is the largest brewer in Asia by retail sales value and the second largest by volume, according to Euromonitor. After 10% of the business was listed on the Hong Kong exchange in 2019, parent company Anheuser-Busch InBev owns close to 90% of the company's equity.Budweiser APAC's largest markets are China (roughly 80% of 2023 revenue), South Korea (12%), and India (6%). The remaining 2% comprises Japan, New Zealand, and other export markets in the Asia-Pacific region. The company predominantly produces, imports, markets, distributes, and sells a portfolio of more than 50 beer brands, both owned and licensed, including global brands Budweiser, Stella Artois, and Corona along with multicountry brands and local brands such as Hoegaarden, Cass and Harbin.
Executives
Eugénie Patri Sébastien (eps) S.a.
Brc S.á.r.l.
Stichting Anheuser-busch Inbev
S-br Global Investments Limited
Lemann Jorge Paulo
Inpar Vof
Anheuser-busch Inbev Sa/nv
Anheuser-busch Americas Holdings Llc
Abi Uk Holding 1 Limited
Ab Inbev Nederland Holding B.v.
Ab Inbev Brewing Company Holdings (apac) Limited
Inbev International Inc.
Eps Participations S.à.r.l
Stichting Enable
Santa Erika

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