Biovet JSC (LTS:0III) Interest Coverage: 0 (At Loss) (As of Dec. 2016)


What is Biovet JSC Interest Coverage?

Biovet JSC LTS:0III Interest Coverage is 0 (At Loss) as of Dec. 2016. The stock has 1 warning sign investors should review.

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. Biovet JSC's Operating Income for the three months ended in Dec. 2016 was лв7.65 Mil. Biovet JSC's Interest Expense for the three months ended in Dec. 2016 was лв0.22 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 Biovet JSC's Interest Coverage or its related term are showing as below:

LTS:0III' s Interest Coverage Range Over the Past 10 Years
Min: 2.19   Med: 5.88   Max: 27.31
Current: 27.31

LTS:0III's Interest Coverage is not ranked
in the Drug Manufacturers industry.
Industry Median: 12.765 vs LTS:0III: 27.31

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

Biovet JSC  (LTS:0III) 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 .

Biovet JSC Interest Coverage Related Terms

Biovet JSC Interest Coverage Historical Data

* Premium members only.

The historical data trend for Biovet JSC'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.

Biovet JSC Interest Coverage Chart

Biovet JSC Annual Data
Trend Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16
Interest Coverage
Get a 7-Day Free Trial 5.62 6.14 13.22 12.78 28.88

Biovet JSC Quarterly Data
Dec09 Dec10 Dec11 Dec12 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16
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 27.16 8.42 27.27 6.13 0.00

LTS:0III vs ADMP, AGRX, BUDZ: Interest Coverage Comparison

For the Drug Manufacturers - Specialty & Generic subindustry, Biovet JSC'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.

Biovet JSC Interest Coverage vs Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Biovet JSC's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Biovet JSC's Interest Coverage falls into.


Biovet JSC 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.

Biovet JSC's Interest Coverage for the fiscal year that ended in Dec. 2016 is calculated as

Here, for the fiscal year that ended in Dec. 2016, Biovet JSC's Interest Expense was лв-0.72 Mil. Its Operating Income was лв20.88 Mil. And its Long-Term Debt & Capital Lease Obligation was лв34.59 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2016 )/Interest Expense (A: Dec. 2016 )
=-1*20.882/-0.723
=28.88

Biovet JSC's Interest Coverage for the quarter that ended in Dec. 2016 is calculated as

Here, for the three months ended in Dec. 2016, Biovet JSC's Interest Expense was лв0.22 Mil. Its Operating Income was лв7.65 Mil. And its Long-Term Debt & Capital Lease Obligation was лв34.59 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.

Frequently Asked Questions Learn more about Interest Coverage →
What does a Interest Coverage of 0 (At Loss) mean?
Biovet JSC (LTS:0III) has a Interest Coverage of 0 (At Loss) as of Dec. 2016. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Biovet JSC and its competitors. Over the past decade, Biovet JSC's Interest Coverage has ranged from 2.19 to 27.31.
Is Biovet JSC's Interest Coverage too high?
Biovet JSC's current Interest Coverage is 0 (At Loss). Over the past 10 years, this metric has ranged from a low of 2.19 to a high of 27.31.
How does Biovet JSC's Interest Coverage compare to ADMP and AGRX?
Biovet JSC's Interest Coverage of 0 (At Loss) can be compared against companies in the Drug Manufacturers industry. The industry median Interest Coverage is 12.77. Historically, Biovet JSC's own Interest Coverage has ranged from 2.19 to 27.31 over the past decade. 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 a Drug Manufacturers company?
The median Interest Coverage among Drug Manufacturers companies is 12.77, based on 684 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 Biovet JSC and its competitors. For the Drug Manufacturers industry, the median Interest Coverage is 12.77 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Biovet JSC'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 Biovet JSC stock overvalued right now?
Biovet JSC (LTS:0III) 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 Biovet JSC (LTS:0III), the current Interest Coverage is 0 (At Loss) as of Dec. 2016. 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.

Biovet JSC Business Description

Biovet JSC manufactures & markets medicated and nutritional feed additives, enzymes, bulk active substances & pharmaceuticals for animal productivity & health. It offers intermediates, active ingredients and medicines for human pharmaceutical industry.