GURUFOCUS.COM » STOCK LIST » Industrials » Construction » Perma-Pipe International Holdings Inc (NAS:PPIH) » Definitions » Interest Coverage

PPIH (Perma-Pipe International Holdings) Interest Coverage : 11.95 (As of Jul. 2024)


View and export this data going back to 1989. Start your Free Trial

What is Perma-Pipe International Holdings 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. Perma-Pipe International Holdings's Operating Income for the three months ended in Jul. 2024 was $6.1 Mil. Perma-Pipe International Holdings's Interest Expense for the three months ended in Jul. 2024 was $-0.5 Mil. Perma-Pipe International Holdings's interest coverage for the quarter that ended in Jul. 2024 was 11.95. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Perma-Pipe International Holdings's Interest Coverage or its related term are showing as below:

PPIH' s Interest Coverage Range Over the Past 10 Years
Min: 2.12   Med: 4.97   Max: 8.84
Current: 8.63


PPIH's Interest Coverage is ranked better than
55.02% of 1294 companies
in the Construction industry
Industry Median: 6.795 vs PPIH: 8.63

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


Perma-Pipe International Holdings Interest Coverage Historical Data

The historical data trend for Perma-Pipe International Holdings'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.

Perma-Pipe International Holdings Interest Coverage Chart

Perma-Pipe International Holdings Annual Data
Trend Jan15 Jan16 Jan17 Jan18 Jan19 Jan20 Jan21 Jan22 Jan23 Jan24
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 4.41 - 8.84 4.97 5.50

Perma-Pipe International Holdings Quarterly Data
Oct19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24 Jul24
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 4.23 9.44 7.10 6.18 11.95

Competitive Comparison of Perma-Pipe International Holdings's Interest Coverage

For the Building Products & Equipment subindustry, Perma-Pipe International Holdings'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.


Perma-Pipe International Holdings's Interest Coverage Distribution in the Construction Industry

For the Construction industry and Industrials sector, Perma-Pipe International Holdings's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Perma-Pipe International Holdings's Interest Coverage falls into.



Perma-Pipe International Holdings 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.

Perma-Pipe International Holdings's Interest Coverage for the fiscal year that ended in Jan. 2024 is calculated as

Here, for the fiscal year that ended in Jan. 2024, Perma-Pipe International Holdings's Interest Expense was $-2.4 Mil. Its Operating Income was $13.4 Mil. And its Long-Term Debt & Capital Lease Obligation was $22.3 Mil.

Interest Coverage=-1* Operating Income (A: Jan. 2024 )/Interest Expense (A: Jan. 2024 )
=-1*13.359/-2.429
=5.50

Perma-Pipe International Holdings's Interest Coverage for the quarter that ended in Jul. 2024 is calculated as

Here, for the three months ended in Jul. 2024, Perma-Pipe International Holdings's Interest Expense was $-0.5 Mil. Its Operating Income was $6.1 Mil. And its Long-Term Debt & Capital Lease Obligation was $22.3 Mil.

Interest Coverage=-1* Operating Income (Q: Jul. 2024 )/Interest Expense (Q: Jul. 2024 )
=-1*6.142/-0.514
=11.95

* 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.


Perma-Pipe International Holdings  (NAS:PPIH) 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 .


Perma-Pipe International Holdings Interest Coverage Related Terms

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


Perma-Pipe International Holdings Business Description

Traded in Other Exchanges
Address
24900 Pitkin Road, Suite 309, Spring, TX, USA, 77386
Perma-Pipe International Holdings Inc is engaged in the manufacture and sale of products in the reportable segment of Piping Systems. The company engineers, designs, manufactures and sells specialty piping systems and leak detection systems. Specialty piping systems include insulated and jacketed district heating and cooling piping systems for efficient energy distribution from central energy plants to multiple locations, primary and secondary containment piping systems for transporting chemicals, hazardous fluids and petroleum products, and the coating and insulation of oil and gas gathering and transmission pipelines. It operates in the United States, Canada, Middle East, Europe, India and other countries.
Executives
Jerome T. Walker director 10205 WESTHEIMER, SUITE 1000, HOUSTON TX 77042
David B Brown director 9870 PLANO ROAD, DALLAS TX 75238
Cynthia Boiter director 6410 W. HOWARD STREET, NILES IL 60714
Robert Joseph Mcnally director 625 LIBERTY AVENUE, SUITE 1700, C/O EQT CORPORATION, PITTSBURGH PA 15222
Matthew Earl Lewicki officer: Chief Accounting Officer 20719 KINGS CROWN CT, HUMBLE TX 77346
David S Barrie director 2409 BOXWOOD LANE, FERNANDINA BEACH FL 32034
Grant Dewbre officer: Chief Operating Officer 6410 WEST HOWARD STREET, NILES IL 60714
D Bryan Norwood officer: Vice President, CFO 6410 W HOWARD STREET, NILES IL 60714
Mark A Zorko director 9265 FAWN LAKE DR, RALEIGH NC 27617
Karl J Schmidt officer: CFO and VP 6410 W. HOWARD STREET, NILES IL 60714-3491
Wayne Bosch officer: VP of HR 41 PORTSHIRE DRIVE, LINCOLNSHIRE IL 60069
David J Mansfield officer: President and CEO 119 WIND RIDGE CIRCLE, THE WOODLANDS TX 77381
Gerald P Oconnor officer: Interim CFO,Principal Accntng P O BOX 3014, NAPERVILLE IL 60566-7014
Michael J Gade director 5501 HEADQUARTERS DRIVE, PLANO TX 75024
John Mark Foster officer: Subsidiary President 7720 N. LEHIGH AVENUE, NILES IL 60714