OTG (Otg Exp) Interest Coverage: 0 (At Loss) (As of Dec. 2014)


What is Otg Exp Interest Coverage?

Otg Exp OTG Interest Coverage is 0 (At Loss) 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. Otg Exp's Operating Income for the six months ended in Dec. 2014 was $-6.18 Mil. Otg Exp's Interest Expense for the six months ended in Dec. 2014 was $-44.79 Mil. did not have earnings to cover the interest expense. The higher the ratio, the stronger the company's financial strength is.

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


OTG's Interest Coverage is not ranked *
in the Restaurants industry.
Industry Median: 6.45
* 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.

Otg Exp  (NAS:OTG) 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 .

Otg Exp Interest Coverage Related Terms

Otg Exp Interest Coverage Historical Data

* Premium members only.

The historical data trend for Otg Exp'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.

Otg Exp Interest Coverage Chart

Otg Exp Annual Data
Trend Dec13 Dec14
Interest Coverage
0.00 0.00

Otg Exp Semi-Annual Data
Dec13 Dec14
Interest Coverage 0.00 0.00

OTG vs IRGTQ, CDIF, STRZ: Interest Coverage Comparison

For the Restaurants subindustry, Otg Exp'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.

Otg Exp Interest Coverage vs Restaurants Industry

For the Restaurants industry and Consumer Cyclical sector, Otg Exp's Interest Coverage distribution charts can be found below:

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


Otg Exp 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.

Otg Exp'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, Otg Exp's Interest Expense was $-44.79 Mil. Its Operating Income was $-6.18 Mil. And its Long-Term Debt & Capital Lease Obligation was $379.12 Mil.

Otg Exp did not have earnings to cover the interest expense.

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

Here, for the six months ended in Dec. 2014, Otg Exp's Interest Expense was $-44.79 Mil. Its Operating Income was $-6.18 Mil. And its Long-Term Debt & Capital Lease Obligation was $379.12 Mil.

Otg Exp did not have earnings to cover the interest expense.

* 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 (At Loss) mean?
Otg Exp (OTG) has a Interest Coverage of 0 (At Loss) as of Dec. 2014. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Otg Exp and its competitors.
Is Otg Exp's Interest Coverage too high?
Otg Exp's current Interest Coverage is 0 (At Loss).
How does Otg Exp's Interest Coverage compare to IRGTQ and CDIF?
Otg Exp's Interest Coverage of 0 (At Loss) can be compared against companies in the Restaurants industry. The industry median Interest Coverage is 6.45. 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 Restaurants company?
The median Interest Coverage among Restaurants companies is 6.45, based on 262 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. 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 Otg Exp and its competitors. For the Restaurants industry, the median Interest Coverage is 6.45 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Otg Exp's current Interest Coverage is 0 (At Loss). However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Otg Exp stock overvalued right now?
Otg Exp (OTG) has a current Interest Coverage of 0 (At Loss). The current Interest Coverage is 0 (At Loss). 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 Otg Exp (OTG), the current Interest Coverage is 0 (At Loss) 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.

Otg Exp Business Description

Otg Exp Inc was incorporated on October 27, 2015 in Delaware. It is a travel restaurateur with operations in North America with more than 220 locations in 23 terminals across 10 airports. The Company designs, develops, operates and manages the terminal concessions programs, which refers to the programs where it either operates all of the F&B concessions or F&B and N&G concessions or have management authority over the concession program or terminal. The Company operates in the United States and Canada. It has relationships with manufacturers that deliver products directly to its concession locations. OTG's customers are comprised of two distinct groups. The first group includes airlines, such as United, Delta and JetBlue, airport operators and concession program managers. The other commercial enterprises include car rental companies, hotel chains and online shopping sites. The second group consists of the airport users, which include passengers, airline and airport employees. It competes with concession program companies, such as HMSHost Corporation, SSP Group and Hudson Group, as well as other regional and local concessionaires. The Company is subject to federal, state and local government regulations, including those relating to, among others, public health and safety, zoning and fire codes. Failure to obtain or retain food service, health permit or other licenses and approvals would adversely affect its operations.