Al Jazeera Services (MUS:AJSS) Interest Coverage: 239.00 (As of Mar. 2018)


What is Al Jazeera Services Interest Coverage?

Al Jazeera Services MUS:AJSS -0.74% Interest Coverage is 239.00 as of Mar. 2018.

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. Al Jazeera Services's Operating Income for the three months ended in Mar. 2018 was ر.ع0.24 Mil. Al Jazeera Services's Interest Expense for the three months ended in Mar. 2018 was ر.ع-0.00 Mil. Al Jazeera Services's interest coverage for the quarter that ended in Mar. 2018 was 239.00. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Al Jazeera Services's Interest Coverage or its related term are showing as below:


MUS:AJSS's Interest Coverage is not ranked *
in the Business Services industry.
Industry Median: 12.98
* 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.


Al Jazeera Services  (MUS:AJSS) 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 .


Al Jazeera Services Interest Coverage Related Terms


Al Jazeera Services Interest Coverage Historical Data

* Premium members only.

The historical data trend for Al Jazeera Services'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.

Al Jazeera Services Interest Coverage Chart

Al Jazeera Services Annual Data
Trend Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 13.28 16.24 36.07 52.54 271.75

Al Jazeera Services Quarterly Data
Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18
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 No Debt 44.33 228.00 0.00 239.00

MUS:AJSS vs STWC: Interest Coverage Comparison

For the Specialty Business Services subindustry, Al Jazeera Services'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.


Al Jazeera Services Interest Coverage vs Business Services Industry

For the Business Services industry and Industrials sector, Al Jazeera Services's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Al Jazeera Services's Interest Coverage falls into.



Al Jazeera Services 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.

Al Jazeera Services's Interest Coverage for the fiscal year that ended in Dec. 2017 is calculated as

Here, for the fiscal year that ended in Dec. 2017, Al Jazeera Services's Interest Expense was ر.ع-0.00 Mil. Its Operating Income was ر.ع1.09 Mil. And its Long-Term Debt & Capital Lease Obligation was ر.ع0.00 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2017 )/Interest Expense (A: Dec. 2017 )
=-1*1.087/-0.004
=271.75

Al Jazeera Services's Interest Coverage for the quarter that ended in Mar. 2018 is calculated as

Here, for the three months ended in Mar. 2018, Al Jazeera Services's Interest Expense was ر.ع-0.00 Mil. Its Operating Income was ر.ع0.24 Mil. And its Long-Term Debt & Capital Lease Obligation was ر.ع0.00 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2018 )/Interest Expense (Q: Mar. 2018 )
=-1*0.239/-0.001
=239.00

* 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 239.00 mean?
Al Jazeera Services (MUS:AJSS) has a Interest Coverage of 239.00 as of Mar. 2018. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Al Jazeera Services and its competitors.
Is Al Jazeera Services' Interest Coverage too high?
Al Jazeera Services' current Interest Coverage is 239.00. The Business Services industry median Interest Coverage is 12.98. Al Jazeera Services' value of 239.00 is 1741.3% above this industry median.
How does Al Jazeera Services' Interest Coverage compare to STWC?
Al Jazeera Services' Interest Coverage of 239.00 can be compared against companies in the Business Services industry. The industry median Interest Coverage is 12.98. Al Jazeera Services' value of 239.00 is 1741.3% above this benchmark. 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 Business Services company?
The median Interest Coverage among Business Services companies is 12.98, based on 812 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. Al Jazeera Services's current Interest Coverage of 239.00 is 1741.3% above the industry median. 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 Al Jazeera Services and its competitors. For the Business Services industry, the median Interest Coverage is 12.98 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Al Jazeera Services's current Interest Coverage is 239.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Al Jazeera Services stock overvalued right now?
Al Jazeera Services (MUS:AJSS) has a current Interest Coverage of 239.00. The current Interest Coverage is 239.00 and 1741.3% above the Business Services industry median of 12.98. 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 Al Jazeera Services (MUS:AJSS), the current Interest Coverage is 239.00 as of Mar. 2018. 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.

Al Jazeera Services Business Description

Address 408, 4th Floor, International Medical Centre, P.O.Box 2865, Near Al Hamriya Roundabout, Ruwi, OMN, 112
Al Jazeera Services, formerly Al Jazeira Services Co SAOG, and its subsidiary are mainly engaged in catering and service support in Oman. The firm is engaged in contracting services which include catering, housekeeping, laundry, equipment supplies, and allied services. The contracting services business involves the feeding and housing of workers and personnel engaged in the industrial, oil, and gas sectors, military and civilian defense forces, and hospital, and educational sectors. In addition, the company is also engaged in investment activities. The company holds investment interests in banking, services, and industrial sectors in the local securities market as well as in the overseas stock market.