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Bosch (NSE:BOSCHLTD) Interest Coverage : 213.86 (As of Sep. 2024)


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What is Bosch 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. Bosch's Operating Income for the three months ended in Sep. 2024 was ₹4,705 Mil. Bosch's Interest Expense for the three months ended in Sep. 2024 was ₹-22 Mil. Bosch's interest coverage for the quarter that ended in Sep. 2024 was 213.86. 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. Bosch Ltd has enough cash to cover all of its debt. Its financial situation is stable.

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

NSE:BOSCHLTD' s Interest Coverage Range Over the Past 10 Years
Min: 36.77   Med: 96.76   Max: 478.73
Current: 477.77


NSE:BOSCHLTD's Interest Coverage is ranked better than
94.96% of 1032 companies
in the Vehicles & Parts industry
Industry Median: 7.93 vs NSE:BOSCHLTD: 477.77

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


Bosch Interest Coverage Historical Data

The historical data trend for Bosch'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.

Bosch Interest Coverage Chart

Bosch Annual Data
Trend Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 96.76 52.51 64.48 183.70 36.77

Bosch Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
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 31.97 118.23 - 166.96 213.86

Competitive Comparison of Bosch's Interest Coverage

For the Auto Parts subindustry, Bosch'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.


Bosch's Interest Coverage Distribution in the Vehicles & Parts Industry

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

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



Bosch 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.

Bosch's Interest Coverage for the fiscal year that ended in Mar. 2024 is calculated as

Here, for the fiscal year that ended in Mar. 2024, Bosch's Interest Expense was ₹-417 Mil. Its Operating Income was ₹15,334 Mil. And its Long-Term Debt & Capital Lease Obligation was ₹215 Mil.

Interest Coverage=-1* Operating Income (A: Mar. 2024 )/Interest Expense (A: Mar. 2024 )
=-1*15334/-417
=36.77

Bosch's Interest Coverage for the quarter that ended in Sep. 2024 is calculated as

Here, for the three months ended in Sep. 2024, Bosch's Interest Expense was ₹-22 Mil. Its Operating Income was ₹4,705 Mil. And its Long-Term Debt & Capital Lease Obligation was ₹132 Mil.

Interest Coverage=-1* Operating Income (Q: Sep. 2024 )/Interest Expense (Q: Sep. 2024 )
=-1*4705/-22
=213.86

* 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.


Bosch  (NSE:BOSCHLTD) 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 .


Bosch Interest Coverage Related Terms

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


Bosch Business Description

Traded in Other Exchanges
Address
Hosur Road, Adugodi, Bengaluru, KA, IND, 560030
Bosch Ltd is a holding company of subsidiaries manufacturing and trading automotive products. It sells car parts such as fuel systems, electrical drives and motors, steering systems, and aftermarket products to the automotive industry. The company's reportable segments are; Automotive products which generate maximum revenue, Consumer Goods, and Others. Its operations in the automotive business consist of diesel systems, gasoline systems, and automotive aftermarket products and services. The Consumer Goods segment predominantly consists of trading activities in power tools and consumables; and the Others segment includes industrial technology, building technology products, and services. Geographically, the company generates a majority of its revenue within India.

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