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Zoom Communications (MEX:ZM) Interest Coverage : N/A (As of Jan. 2025)


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What is Zoom Communications 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. Zoom Communications's Operating Income for the three months ended in Jan. 2025 was MXN4,643 Mil. Zoom Communications's Interest Expense for the three months ended in Jan. 2025 was MXN0 Mil. GuruFocus does not calculate 's interest coverage with the available data. The higher the ratio, the stronger the company's financial strength is.

Good Sign:

Ben Graham prefers companies' interest coverage to be at least 5. Zoom Communications Inc has enough cash to cover all of its debt. Its financial situation is stable.

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


MEX:ZM's Interest Coverage is not ranked *
in the Software industry.
Industry Median: 28.01
* 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.


Zoom Communications Interest Coverage Historical Data

The historical data trend for Zoom Communications'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.

Zoom Communications Interest Coverage Chart

Zoom Communications Annual Data
Trend Jan17 Jan18 Jan19 Jan20 Jan21 Jan22 Jan23 Jan24 Jan25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only N/A N/A N/A N/A N/A

Zoom Communications Quarterly Data
Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24 Jul24 Oct24 Jan25
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 N/A N/A

Competitive Comparison of Zoom Communications's Interest Coverage

For the Software - Application subindustry, Zoom Communications'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.


Zoom Communications's Interest Coverage Distribution in the Software Industry

For the Software industry and Technology sector, Zoom Communications's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Zoom Communications's Interest Coverage falls into.


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Zoom Communications 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.

Zoom Communications's Interest Coverage for the fiscal year that ended in Jan. 2025 is calculated as

Here, for the fiscal year that ended in Jan. 2025, Zoom Communications's Interest Expense was MXN0 Mil. Its Operating Income was MXN16,777 Mil. And its Long-Term Debt & Capital Lease Obligation was MXN772 Mil.

GuruFocus does not calculate Zoom Communications's interest coverage with the available data.

Zoom Communications's Interest Coverage for the quarter that ended in Jan. 2025 is calculated as

Here, for the three months ended in Jan. 2025, Zoom Communications's Interest Expense was MXN0 Mil. Its Operating Income was MXN4,643 Mil. And its Long-Term Debt & Capital Lease Obligation was MXN772 Mil.

GuruFocus does not calculate Zoom Communications's interest coverage with the available data.

* 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.


Zoom Communications  (MEX:ZM) 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 .


Zoom Communications Interest Coverage Related Terms

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


Zoom Communications Business Description

Address
55 Almaden Boulevard, 6th Floor, San Jose, CA, USA, 95113
Zoom Video Communications provides a communications platform that connects people through video, voice, chat, and content sharing. The company's cloud-native platform enables face-to-face video and connects users across various devices and locations in a single meeting. Zoom, which was founded in 2011 and is headquartered in San Jose, California, serves companies of all sizes from all industries around the world.