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Peloton Interactive (Peloton Interactive) Interest Coverage : 0 (At Loss) (As of Mar. 2024)


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What is Peloton Interactive 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. Peloton Interactive's Operating Income for the three months ended in Mar. 2024 was $-90 Mil. Peloton Interactive's Interest Expense for the three months ended in Mar. 2024 was $-28 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 Peloton Interactive's Interest Coverage or its related term are showing as below:


PTON's Interest Coverage is not ranked *
in the Travel & Leisure industry.
Industry Median: 4.875
* 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.


Peloton Interactive Interest Coverage Historical Data

The historical data trend for Peloton Interactive'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.

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Peloton Interactive Interest Coverage Chart

Peloton Interactive Annual Data
Trend Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23
Interest Coverage
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Peloton Interactive Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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Competitive Comparison of Peloton Interactive's Interest Coverage

For the Leisure subindustry, Peloton Interactive'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.


Peloton Interactive's Interest Coverage Distribution in the Travel & Leisure Industry

For the Travel & Leisure industry and Consumer Cyclical sector, Peloton Interactive's Interest Coverage distribution charts can be found below:

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



Peloton Interactive 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.

Peloton Interactive's Interest Coverage for the fiscal year that ended in Jun. 2023 is calculated as

Here, for the fiscal year that ended in Jun. 2023, Peloton Interactive's Interest Expense was $-97 Mil. Its Operating Income was $-863 Mil. And its Long-Term Debt & Capital Lease Obligation was $2,273 Mil.

Peloton Interactive did not have earnings to cover the interest expense.

Peloton Interactive's Interest Coverage for the quarter that ended in Mar. 2024 is calculated as

Here, for the three months ended in Mar. 2024, Peloton Interactive's Interest Expense was $-28 Mil. Its Operating Income was $-90 Mil. And its Long-Term Debt & Capital Lease Obligation was $2,227 Mil.

Peloton Interactive 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.


Peloton Interactive  (NAS:PTON) 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 .


Peloton Interactive Interest Coverage Related Terms

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


Peloton Interactive (Peloton Interactive) Business Description

Address
441 Ninth Avenue, Sixth Floor, New York, NY, USA, 10001
Peloton Interactive Inc operates an interactive fitness platform. It operates its business in two reportable segments: Connected Fitness Products and Subscription. Connected Fitness Product revenue consists of sales of bike and tread and related accessories, associated fees for delivery and installation, and extended warranty agreements. Subscription revenue consists of revenue generated from monthly Connected Fitness Subscription and Digital Subscription. The company generates the majority of the revenue from the sale of Connected Fitness Products.
Executives
Elizabeth F Coddington officer: Chief Financial Officer C/O PELOTON INTERACTIVE, INC., 441 NINTH AVENUE, SIXTH FLOOR, NEW YORK NY 10001
Andrew S Rendich officer: Chief Supply Chain Officer 100 WINCHESTER CIRCLE, LOS GATOS CA 95032
Jennifer Cunningham Cotter officer: Chief Content Officer C/O PELOTON INTERACTIVE, INC., 441 NINTH AVENUE, SIXTH FLOOR, NEW YORK NY 10001
Leslie Berland officer: Chief Marketing Officer C/O PELOTON INTERACTIVE, INC., 441 NINTH AVENUE, SIXTH FLOOR, NEW YORK NY 10001
Saqib Baig officer: Chief Accounting Officer C/O PELOTON INTERACTIVE, INC., 441 NINTH AVENUE, SIXTH FLOOR, NEW YORK NY 10001
Nick V. Caldwell officer: Chief Product Officer C/O HUBSPOT, INC., 25 FIRST STREET, CAMBRIDGE MA 02141
Thomas Cortese officer: COO and Head of Prod. Dev. C/O PELOTON INTERACTIVE, INC., 441 NINTH AVENUE, SIXTH FLOOR, NEW YORK NY 10001
Allen J Klingsick officer: Chief Accounting Officer C/O PELOTON INTERACTIVE, INC., 441 NINTH AVENUE, SIXTH FLOOR, NEW YORK NY 10001
Kevin Cornils officer: Chief Commercial Officer C/O PELOTON INTERACTIVE, INC., 441 NINTH AVENUE, SIXTH FLOOR, NEW YORK NY 10001
Jill Woodworth officer: Chief Financial Officer C/O PELOTON INTERACTIVE, INC., 125 WEST 25TH STREET, 11TH FLOOR, NEW YORK NY 10001
William Lynch director, officer: President C/O HSN, INC., 1 HSN DRIVE, ST. PETERSBURG FL 33729
Mariana Garavaglia officer: Chief Bus. Operations Officer 6600 CHASE OAKS BLVD, PLANO TX 75023
Barry Mccarthy director, officer: CEO and President 100 WINCHESTER CIRCLE, LOS GATOS CA 95032
Angel L Mendez director C/O SLEEP NUMBER CORPORATION, 1001 THIRD AVENUE SOUTH, MINNEAPOLIS MN 55404
Jonathan Mildenhall director C/O GRAUBARD MILLER, 405 LEXINGTON AVENUE, NEW YORK NY 10174