NEPG (NEP Group) Interest Coverage: 0.02 (As of Dec. 2014)


What is NEP Group Interest Coverage?

NEP Group NEPG Interest Coverage is 0.02 as of Dec. 2014.

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. NEP Group's Operating Income for the six months ended in Dec. 2014 was $0.86 Mil. NEP Group's Interest Expense for the six months ended in Dec. 2014 was $-43.42 Mil. NEP Group's interest coverage for the quarter that ended in Dec. 2014 was 0.02. The higher the ratio, the stronger the company's financial strength is.

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


NEPG's Interest Coverage is not ranked *
in the Media - Diversified industry.
Industry Median: 11.65
* 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.

NEP Group  (NYSE:NEPG) 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 .

NEP Group Interest Coverage Related Terms

NEP Group Interest Coverage Historical Data

* Premium members only.

The historical data trend for NEP Group'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.

NEP Group Interest Coverage Chart

NEP Group Annual Data
Trend Dec13 Dec14
Interest Coverage
0.40 0.02

NEP Group Semi-Annual Data
Dec13 Dec14
Interest Coverage 0.40 0.02

NEPG vs CRCO, ASKH, PTSX: Interest Coverage Comparison

For the Broadcasting subindustry, NEP Group'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.

NEP Group Interest Coverage vs Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, NEP Group's Interest Coverage distribution charts can be found below:

* The bar in red indicates where NEP Group's Interest Coverage falls into.


NEP Group 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.

NEP Group's Interest Coverage for the fiscal year that ended in Dec. 2014 is calculated as

Here, for the fiscal year that ended in Dec. 2014, NEP Group's Interest Expense was $-43.42 Mil. Its Operating Income was $0.86 Mil. And its Long-Term Debt & Capital Lease Obligation was $882.11 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2014 )/Interest Expense (A: Dec. 2014 )
=-1*0.859/-43.424
=0.02

NEP Group's Interest Coverage for the quarter that ended in Dec. 2014 is calculated as

Here, for the six months ended in Dec. 2014, NEP Group's Interest Expense was $-43.42 Mil. Its Operating Income was $0.86 Mil. And its Long-Term Debt & Capital Lease Obligation was $882.11 Mil.

Interest Coverage=-1* Operating Income (Q: Dec. 2014 )/Interest Expense (Q: Dec. 2014 )
=-1*0.859/-43.424
=0.02

* 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 0.02 mean?
NEP Group (NEPG) has a Interest Coverage of 0.02 as of Dec. 2014. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on NEP Group and its competitors.
Is NEP Group's Interest Coverage too high?
NEP Group's current Interest Coverage is 0.02. The Media - Diversified industry median Interest Coverage is 11.65. NEP Group's value of 0.02 is 99.8% below this industry median.
How does NEP Group's Interest Coverage compare to CRCO and ASKH?
NEP Group's Interest Coverage of 0.02 can be compared against companies in the Media - Diversified industry. The industry median Interest Coverage is 11.65. NEP Group's value of 0.02 is 99.8% below 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 Media - Diversified company?
The median Interest Coverage among Media - Diversified companies is 11.65, based on 605 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. NEP Group's current Interest Coverage of 0.02 is 99.8% below 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 NEP Group and its competitors. For the Media - Diversified industry, the median Interest Coverage is 11.65 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. NEP Group's current Interest Coverage is 0.02. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is NEP Group stock overvalued right now?
NEP Group (NEPG) has a current Interest Coverage of 0.02. The current Interest Coverage is 0.02 and 99.8% below the Media - Diversified industry median of 11.65. 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 NEP Group (NEPG), the current Interest Coverage is 0.02 as of Dec. 2014. 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.

NEP Group Business Description

NEP Group Inc was founded on December 24, 2012. The Company is a provider of customized broadcast solutions to the live sports and entertainment markets offering various broadcast and live event services. The Company's engineers design live event solutions and work side-by-side with its clients to customize its solutions and provide real-time support during a broadcast or live event to ensure a seamlessly delivered production. The Company has developed a range of services operating inside and outside of the United States and has supported events. It serves the premium sports, entertainment and other live event production markets, where it offers mission-critical outsourced solutions, including remote production, studio production, video display and host broadcasting. It competes in three primary geographies: the United States, Europe and Australia, servicing the sports, entertainment and other live events markets. It competes against F&F Productions, Game Creek Video, Lyon Video and Mobile Television Group in the United States; Gearhouse Broadcast in Australia; CTV Outside Broadcasts and Telegenic in the U.K.; AMP Visuals, Euro Media Group, Mediapro Group and Top Vision in Continental Europe.