Purple Group (JSE:PPE) Interest Coverage : 96.82 (As of Feb. 2025)

Purple Group Interest Coverage Chart

Purple Group Annual Data
	Trend	Aug15	Aug16	Aug17	Aug18	Aug19	Aug20	Aug21	Aug22	Aug23	Aug24
Interest Coverage		Get a 7-Day Free Trial					3.09	3.58	18.32	-	11.18

Purple Group Semi-Annual Data
	Aug15	Feb16	Aug16	Feb17	Aug17	Feb18	Aug18	Feb19	Aug19	Feb20	Aug20	Feb21	Aug21	Feb22	Aug22	Feb23	Aug23	Feb24	Aug24	Feb25
Interest Coverage	Get a 7-Day Free Trial															-	-	27.59	8.29	96.82

Competitive Comparison of Purple Group's Interest Coverage

For the Financial Conglomerates subindustry, Purple 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.

Purple Group's Interest Coverage Distribution in the Diversified Financial Services Industry

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

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

Purple 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 Operating Income is positive, then

Else if Interest Expense is negative and Operating Income is negative, then

Else if Interest Expense is 0 and Long-Term Debt & Capital Lease Obligation is 0, then

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

Purple Group's Interest Coverage for the fiscal year that ended in Aug. 2024 is calculated as

Here, for the fiscal year that ended in Aug. 2024, Purple Group's Interest Expense was R-3.8 Mil. Its Operating Income was R42.0 Mil. And its Long-Term Debt & Capital Lease Obligation was R4.2 Mil.

Purple Group's Interest Coverage for the quarter that ended in Feb. 2025 is calculated as

Here, for the six months ended in Feb. 2025, Purple Group's Interest Expense was R-0.4 Mil. Its Operating Income was R41.8 Mil. And its Long-Term Debt & Capital Lease Obligation was R3.0 Mil.

* 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.

Purple Group  (JSE:PPE) 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 .

Purple Group Interest Coverage Related Terms

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Purple Group Business Description