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Multi-Chem (SGX:AWZ) Interest Coverage : 11.62 (As of Dec. 2024)


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What is Multi-Chem 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. Multi-Chem's Operating Income for the three months ended in Dec. 2024 was S$8.3 Mil. Multi-Chem's Interest Expense for the three months ended in Dec. 2024 was S$-0.7 Mil. Multi-Chem's interest coverage for the quarter that ended in Dec. 2024 was 11.62. The higher the ratio, the stronger the company's financial strength is.

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

SGX:AWZ' s Interest Coverage Range Over the Past 10 Years
Min: 13.46   Med: 30.15   Max: 100.7
Current: 14.11


SGX:AWZ's Interest Coverage is ranked better than
51.66% of 1601 companies
in the Hardware industry
Industry Median: 13.09 vs SGX:AWZ: 14.11

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


Multi-Chem Interest Coverage Historical Data

The historical data trend for Multi-Chem'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.

Multi-Chem Interest Coverage Chart

Multi-Chem Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 56.06 100.70 51.45 38.59 21.12

Multi-Chem Quarterly Data
Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Sep23 Dec23 Jun24 Sep24 Dec24
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 63.88 39.04 N/A 20.19 11.62

Competitive Comparison of Multi-Chem's Interest Coverage

For the Electronics & Computer Distribution subindustry, Multi-Chem'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.


Multi-Chem's Interest Coverage Distribution in the Hardware Industry

For the Hardware industry and Technology sector, Multi-Chem's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Multi-Chem's Interest Coverage falls into.


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Multi-Chem 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.

Multi-Chem's Interest Coverage for the fiscal year that ended in Dec. 2024 is calculated as

Here, for the fiscal year that ended in Dec. 2024, Multi-Chem's Interest Expense was S$-1.6 Mil. Its Operating Income was S$33.2 Mil. And its Long-Term Debt & Capital Lease Obligation was S$1.4 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2024 )/Interest Expense (A: Dec. 2024 )
=-1*33.227/-1.573
=21.12

Multi-Chem's Interest Coverage for the quarter that ended in Dec. 2024 is calculated as

Here, for the three months ended in Dec. 2024, Multi-Chem's Interest Expense was S$-0.7 Mil. Its Operating Income was S$8.3 Mil. And its Long-Term Debt & Capital Lease Obligation was S$1.4 Mil.

Interest Coverage=-1* Operating Income (Q: Dec. 2024 )/Interest Expense (Q: Dec. 2024 )
=-1*8.259/-0.711
=11.62

* 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.


Multi-Chem  (SGX:AWZ) 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 .


Multi-Chem Interest Coverage Related Terms

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


Multi-Chem Business Description

Traded in Other Exchanges
Address
18 Boon Lay Way, No. 05-113 TradeHub 21, Singapore, SGP, 609966
Multi-Chem Ltd is a drilling service provider and distributes specialty chemicals and materials to printed circuit board manufacturers. It operates in two business segments: PCB business and IT business. PCB business, which provides precision drilling services to PCB fabricators and distributes specialty chemicals and other PCB-related products and equipment to PCB manufacturers. IT business, which relates to the distribution of hardware and software relating to Internet and network products and the provision of maintenance services for such products. The company derives mahortiy of its revenue from IT business.

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