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Pacifico Compania de Seguros y Reaseguros (LIM:PACIFIC1) Interest Coverage : 19.04 (As of Dec. 2020)


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What is Pacifico Compania de Seguros y Reaseguros 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. Pacifico Compania de Seguros y Reaseguros's EBIT for the six months ended in Dec. 2020 was S/.282 Mil. Pacifico Compania de Seguros y Reaseguros's Interest Expense for the six months ended in Dec. 2020 was S/.-15 Mil. Pacifico Compania de Seguros y Reaseguros's interest coverage for the quarter that ended in Dec. 2020 was 19.04. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Pacifico Compania de Seguros y Reaseguros's Interest Coverage or its related term are showing as below:


LIM:PACIFIC1's Interest Coverage is not ranked *
in the Insurance industry.
Industry Median: 14.555
* 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.


Pacifico Compania de Seguros y Reaseguros Interest Coverage Historical Data

The historical data trend for Pacifico Compania de Seguros y Reaseguros'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.

Pacifico Compania de Seguros y Reaseguros Interest Coverage Chart

Pacifico Compania de Seguros y Reaseguros Annual Data
Trend Dec05 Dec06 Dec07 Dec08 Dec09 Dec19 Dec20
Interest Coverage
Get a 7-Day Free Trial - - - 34.74 19.04

Pacifico Compania de Seguros y Reaseguros Semi-Annual Data
Dec05 Dec06 Dec07 Dec08 Dec09 Dec19 Dec20
Interest Coverage Get a 7-Day Free Trial - - - 34.74 19.04

Competitive Comparison of Pacifico Compania de Seguros y Reaseguros's Interest Coverage

For the Insurance - Diversified subindustry, Pacifico Compania de Seguros y Reaseguros'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.


Pacifico Compania de Seguros y Reaseguros's Interest Coverage Distribution in the Insurance Industry

For the Insurance industry and Financial Services sector, Pacifico Compania de Seguros y Reaseguros's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Pacifico Compania de Seguros y Reaseguros's Interest Coverage falls into.



Pacifico Compania de Seguros y Reaseguros 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.

Pacifico Compania de Seguros y Reaseguros's Interest Coverage for the fiscal year that ended in Dec. 2020 is calculated as

Here, for the fiscal year that ended in Dec. 2020, Pacifico Compania de Seguros y Reaseguros's Interest Expense was S/.-15 Mil. Its EBIT was S/.282 Mil. And its Long-Term Debt & Capital Lease Obligation was S/.398 Mil.

Interest Coverage=-1* EBIT (A: Dec. 2020 )/Interest Expense (A: Dec. 2020 )
=-1*281.587/-14.792
=19.04

Pacifico Compania de Seguros y Reaseguros's Interest Coverage for the quarter that ended in Dec. 2020 is calculated as

Here, for the six months ended in Dec. 2020, Pacifico Compania de Seguros y Reaseguros's Interest Expense was S/.-15 Mil. Its EBIT was S/.282 Mil. And its Long-Term Debt & Capital Lease Obligation was S/.398 Mil.

Interest Coverage=-1* EBIT (Q: Dec. 2020 )/Interest Expense (Q: Dec. 2020 )
=-1*281.587/-14.792
=19.04

* 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.


Pacifico Compania de Seguros y Reaseguros  (LIM:PACIFIC1) 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 .


Pacifico Compania de Seguros y Reaseguros Interest Coverage Related Terms

Thank you for viewing the detailed overview of Pacifico Compania de Seguros y Reaseguros's Interest Coverage provided by GuruFocus.com. Please click on the following links to see related term pages.


Pacifico Compania de Seguros y Reaseguros (LIM:PACIFIC1) Business Description

Traded in Other Exchanges
N/A
Address
Av. Juan de Arona N 830, Floor 5, San Isidro, Lima, PER, 27
Pacifico Compania de Seguros y Reaseguros is an insurance and reinsurance company. Its products and services include life, health, travel, personal accident, vehicle and disability insurance for businesses and individuals.

Pacifico Compania de Seguros y Reaseguros (LIM:PACIFIC1) Headlines

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