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LCI Industries (MEX:LCII) Interest Coverage : 11.38 (As of Jun. 2024)


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What is LCI Industries 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. LCI Industries's Operating Income for the three months ended in Jun. 2024 was MXN1,660 Mil. LCI Industries's Interest Expense for the three months ended in Jun. 2024 was MXN-146 Mil. LCI Industries's interest coverage for the quarter that ended in Jun. 2024 was 11.38. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for LCI Industries's Interest Coverage or its related term are showing as below:

MEX:LCII' s Interest Coverage Range Over the Past 10 Years
Min: 3.05   Med: 27.62   Max: 226.61
Current: 5.3


MEX:LCII's Interest Coverage is ranked worse than
59.46% of 1031 companies
in the Vehicles & Parts industry
Industry Median: 8.04 vs MEX:LCII: 5.30

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


LCI Industries Interest Coverage Historical Data

The historical data trend for LCI Industries'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.

LCI Industries Interest Coverage Chart

LCI Industries Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 22.76 16.57 24.34 20.06 3.05

LCI Industries Quarterly Data
Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24
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 5.38 4.42 0.28 6.18 11.38

Competitive Comparison of LCI Industries's Interest Coverage

For the Recreational Vehicles subindustry, LCI Industries'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.


LCI Industries's Interest Coverage Distribution in the Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, LCI Industries's Interest Coverage distribution charts can be found below:

* The bar in red indicates where LCI Industries's Interest Coverage falls into.



LCI Industries 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.

LCI Industries's Interest Coverage for the fiscal year that ended in Dec. 2023 is calculated as

Here, for the fiscal year that ended in Dec. 2023, LCI Industries's Interest Expense was MXN-686 Mil. Its Operating Income was MXN2,095 Mil. And its Long-Term Debt & Capital Lease Obligation was MXN18,154 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2023 )/Interest Expense (A: Dec. 2023 )
=-1*2095.097/-686.167
=3.05

LCI Industries's Interest Coverage for the quarter that ended in Jun. 2024 is calculated as

Here, for the three months ended in Jun. 2024, LCI Industries's Interest Expense was MXN-146 Mil. Its Operating Income was MXN1,660 Mil. And its Long-Term Debt & Capital Lease Obligation was MXN19,119 Mil.

Interest Coverage=-1* Operating Income (Q: Jun. 2024 )/Interest Expense (Q: Jun. 2024 )
=-1*1659.875/-145.865
=11.38

* 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.


LCI Industries  (MEX:LCII) 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 .


LCI Industries Interest Coverage Related Terms

Thank you for viewing the detailed overview of LCI Industries's Interest Coverage provided by GuruFocus.com. Please click on the following links to see related term pages.


LCI Industries Business Description

Traded in Other Exchanges
Address
3501 County Road 6 East, Elkhart, IN, USA, 46514
LCI Industries Inc supplies domestically and internationally components for the original equipment manufacturers of recreational vehicles and adjacent industries including buses; and trailers used to haul boats, livestock, equipment, and other cargo. It has two reportable segments; the original equipment manufacturers segment and the aftermarket segment. The OEM Segment manufactures or distributes components for the OEMs of RVs and adjacent industries, including buses; trailers used to haul boats, livestock, equipment, and other cargo; trucks; pontoon boats; trains; manufactured homes; and modular housing. Its products are sold primarily to major manufacturers of RVs such as Thor Industries, Forest River, Winnebago, and other RV OEMs, and to manufacturers in adjacent industries.

LCI Industries Headlines

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