KEGS (1812 Brewing Company) Interest Coverage: 0 (At Loss) (As of Jun. 2009)

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What is 1812 Brewing Company Interest Coverage?

1812 Brewing Company KEGS Interest Coverage is 0 (At Loss) as of Jun. 2009.

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. 1812 Brewing Company's Operating Income for the three months ended in Jun. 2009 was $-2.19 Mil. 1812 Brewing Company's Interest Expense for the three months ended in Jun. 2009 was $-1.32 Mil. did not have earnings to cover the interest expense. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for 1812 Brewing Company's Interest Coverage or its related term are showing as below:


KEGS's Interest Coverage is not ranked *
in the Asset Management industry.
Industry Median: 48.865
* 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.


1812 Brewing Company  (OTCPK:KEGS) 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 .


1812 Brewing Company Interest Coverage Related Terms


1812 Brewing Company Interest Coverage Historical Data

* Premium members only.

The historical data trend for 1812 Brewing Company'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.

1812 Brewing Company Interest Coverage Chart

1812 Brewing Company Annual Data
Trend Dec03 Dec04 Dec05 Dec06 Dec07 Dec08
Interest Coverage
Get a 7-Day Free Trial No Debt No Debt N/A 0.00 0.00

1812 Brewing Company Quarterly Data
Sep04 Dec04 Mar05 Jun05 Sep05 Dec05 Mar06 Jun06 Sep06 Dec06 Mar07 Jun07 Sep07 Dec07 Mar08 Jun08 Sep08 Dec08 Mar09 Jun09
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 N/A N/A N/A 0.00 0.00

KEGS vs VCAN, CIIT, LWLW: Interest Coverage Comparison

For the Asset Management subindustry, 1812 Brewing Company'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.


1812 Brewing Company Interest Coverage vs Asset Management Industry

For the Asset Management industry and Financial Services sector, 1812 Brewing Company's Interest Coverage distribution charts can be found below:

* The bar in red indicates where 1812 Brewing Company's Interest Coverage falls into.



1812 Brewing Company 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.

1812 Brewing Company's Interest Coverage for the fiscal year that ended in Dec. 2008 is calculated as

Here, for the fiscal year that ended in Dec. 2008, 1812 Brewing Company's Interest Expense was $-3.26 Mil. Its Operating Income was $-6.18 Mil. And its Long-Term Debt & Capital Lease Obligation was $8.62 Mil.

1812 Brewing Company did not have earnings to cover the interest expense.

1812 Brewing Company's Interest Coverage for the quarter that ended in Jun. 2009 is calculated as

Here, for the three months ended in Jun. 2009, 1812 Brewing Company's Interest Expense was $-1.32 Mil. Its Operating Income was $-2.19 Mil. And its Long-Term Debt & Capital Lease Obligation was $8.05 Mil.

1812 Brewing Company did not have earnings to cover the interest expense.

* 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 (At Loss) mean?
1812 Brewing Company (KEGS) has a Interest Coverage of 0 (At Loss) as of Jun. 2009. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on 1812 Brewing Company and its competitors.
Is 1812 Brewing Company's Interest Coverage too high?
1812 Brewing Company's current Interest Coverage is 0 (At Loss).
How does 1812 Brewing Company's Interest Coverage compare to VCAN and CIIT?
1812 Brewing Company's Interest Coverage of 0 (At Loss) can be compared against companies in the Asset Management industry. The industry median Interest Coverage is 48.87. 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 an Asset Management company?
The median Interest Coverage among Asset Management companies is 48.87, based on 482 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. 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 1812 Brewing Company and its competitors. For the Asset Management industry, the median Interest Coverage is 48.87 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. 1812 Brewing Company's current Interest Coverage is 0 (At Loss). However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is 1812 Brewing Company stock overvalued right now?
1812 Brewing Company (KEGS) has a current Interest Coverage of 0 (At Loss). The current Interest Coverage is 0 (At Loss). 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 1812 Brewing Company (KEGS), the current Interest Coverage is 0 (At Loss) as of Jun. 2009. 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.

1812 Brewing Company Business Description

Address 981 Waterman Drive, P.O. Box 6192, Watertown, NY, USA, 13601
1812 Brewing Company Inc is an investment and operating company focused on restaurant operations and beverage production, including beer and other non-alcoholic beverages. The Company is constructing a beverages production plant, in which it intends to produce alcoholic beverages, such as beer, hard seltzer, hard cider, and kombucha, as well as non-alcoholic beverages such as teas and sodas. Its beer products include War of 1812 Amber Ale, Helles Bells, and Route 11 Lager.