RGBD (Regional Brands) Interest Coverage: 2.83 (As of Sep. 2019)


RGBD Regional Brands Inc RGBD
12 GF Score
Price $20.75
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What is Regional Brands Interest Coverage?

Regional Brands RGBD 12 Interest Coverage is 2.83 as of Sep. 2019. GuruFocus rates RGBD with a GF Score™ of 12/100.

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. Regional Brands's Operating Income for the three months ended in Sep. 2019 was $0.25 Mil. Regional Brands's Interest Expense for the three months ended in Sep. 2019 was $-0.09 Mil. Regional Brands's interest coverage for the quarter that ended in Sep. 2019 was 2.83. The higher the ratio, the stronger the company's financial strength is.

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


RGBD's Interest Coverage is not ranked *
in the Furnishings, Fixtures & Appliances industry.
Industry Median: 10.955
* 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.

Regional Brands  (OTCPK:RGBD) 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 .

Regional Brands Interest Coverage Related Terms

Regional Brands Interest Coverage Historical Data

* Premium members only.

The historical data trend for Regional Brands'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.

Regional Brands Interest Coverage Chart

Regional Brands Annual Data
Trend Sep09 Sep10 Sep11 Sep12 Sep13 Sep14 Sep15 Sep16 Dec17 Dec18
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.00 0.00 0.00 5.91 5.67

Regional Brands Quarterly Data
Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19
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 2.15 8.27 0.00 9.01 2.83

RGBD vs FORK, LBY, SNTW: Interest Coverage Comparison

For the Furnishings, Fixtures & Appliances subindustry, Regional Brands'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.

Regional Brands Interest Coverage vs Furnishings, Fixtures & Appliances Industry

For the Furnishings, Fixtures & Appliances industry and Consumer Cyclical sector, Regional Brands's Interest Coverage distribution charts can be found below:

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


RGBD
12GF Score
Regional Brands Inc RGBD
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
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Regional Brands 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.

Regional Brands's Interest Coverage for the fiscal year that ended in Dec. 2018 is calculated as

Here, for the fiscal year that ended in Dec. 2018, Regional Brands's Interest Expense was $-0.26 Mil. Its Operating Income was $1.50 Mil. And its Long-Term Debt & Capital Lease Obligation was $2.41 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2018 )/Interest Expense (A: Dec. 2018 )
=-1*1.496/-0.264
=5.67

Regional Brands's Interest Coverage for the quarter that ended in Sep. 2019 is calculated as

Here, for the three months ended in Sep. 2019, Regional Brands's Interest Expense was $-0.09 Mil. Its Operating Income was $0.25 Mil. And its Long-Term Debt & Capital Lease Obligation was $3.03 Mil.

Interest Coverage=-1* Operating Income (Q: Sep. 2019 )/Interest Expense (Q: Sep. 2019 )
=-1*0.252/-0.089
=2.83

* 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 2.83 mean?
Regional Brands (RGBD) has a Interest Coverage of 2.83 as of Sep. 2019. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Regional Brands and its competitors.
Is Regional Brands' Interest Coverage too high?
Regional Brands' current Interest Coverage is 2.83. The Furnishings, Fixtures & Appliances industry median Interest Coverage is 10.96. Regional Brands' value of 2.83 is 74.2% below this industry median. Overall, Regional Brands has a GF Score™ of 12/100, reflecting its overall financial health beyond just this single metric.
How does Regional Brands' Interest Coverage compare to FORK and LBY?
Regional Brands' Interest Coverage of 2.83 can be compared against companies in the Furnishings, Fixtures & Appliances industry. The industry median Interest Coverage is 10.96. Regional Brands' value of 2.83 is 74.2% 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 Furnishings, Fixtures & Appliances company?
The median Interest Coverage among Furnishings, Fixtures & Appliances companies is 10.96, based on 296 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. Regional Brands's current Interest Coverage of 2.83 is 74.2% 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 Regional Brands and its competitors. For the Furnishings, Fixtures & Appliances industry, the median Interest Coverage is 10.96 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Regional Brands's current Interest Coverage is 2.83. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Regional Brands stock overvalued right now?
Regional Brands (RGBD) has a current Interest Coverage of 2.83. The current Interest Coverage is 2.83 and 74.2% below the Furnishings, Fixtures & Appliances industry median of 10.96. Regional Brands' overall GF Score™ is 12/100. 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 Regional Brands (RGBD), the current Interest Coverage is 2.83 as of Sep. 2019. 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.

Regional Brands Business Description

Address 6060 Parkland Boulevard, Suite 200, Mayfield Heights, Cleveland, OH, USA, 44124
Regional Brands Inc is a holding company formed to acquire substantial ownership in regional companies with brand recognition, stable revenues, and profitability. It seeks to engage in an acquisition, merger, or other business combination transaction with undervalued businesses.
12GF Score

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Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

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