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Taiji Computer (SZSE:002368) Interest Coverage : 3.81 (As of Mar. 2025)


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What is Taiji Computer 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. Taiji Computer's Operating Income for the three months ended in Mar. 2025 was ¥42 Mil. Taiji Computer's Interest Expense for the three months ended in Mar. 2025 was ¥-11 Mil. Taiji Computer's interest coverage for the quarter that ended in Mar. 2025 was 3.81. The higher the ratio, the stronger the company's financial strength is.

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

SZSE:002368' s Interest Coverage Range Over the Past 10 Years
Min: 5.71   Med: 12.24   Max: 26.16
Current: 8.61


SZSE:002368's Interest Coverage is ranked worse than
67.44% of 1674 companies
in the Software industry
Industry Median: 26.06 vs SZSE:002368: 8.61

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


Taiji Computer Interest Coverage Historical Data

The historical data trend for Taiji Computer'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.

Taiji Computer Interest Coverage Chart

Taiji Computer 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 7.42 5.71 6.13 12.41 8.73

Taiji Computer Quarterly Data
Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
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 3.06 - 9.07 27.31 3.81

Competitive Comparison of Taiji Computer's Interest Coverage

For the Information Technology Services subindustry, Taiji Computer'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.


Taiji Computer's Interest Coverage Distribution in the Software Industry

For the Software industry and Technology sector, Taiji Computer's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Taiji Computer's Interest Coverage falls into.


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Taiji Computer 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.

Taiji Computer'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, Taiji Computer's Interest Expense was ¥-57 Mil. Its Operating Income was ¥499 Mil. And its Long-Term Debt & Capital Lease Obligation was ¥370 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2024 )/Interest Expense (A: Dec. 2024 )
=-1*499.18/-57.182
=8.73

Taiji Computer's Interest Coverage for the quarter that ended in Mar. 2025 is calculated as

Here, for the three months ended in Mar. 2025, Taiji Computer's Interest Expense was ¥-11 Mil. Its Operating Income was ¥42 Mil. And its Long-Term Debt & Capital Lease Obligation was ¥376 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2025 )/Interest Expense (Q: Mar. 2025 )
=-1*42/-11.012
=3.81

* 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.


Taiji Computer  (SZSE:002368) 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 .


Taiji Computer Interest Coverage Related Terms

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


Taiji Computer Business Description

Traded in Other Exchanges
N/A
Address
Rongda Road, China Electric Power Taiji Information Industry Park, Chaoyang District, Beijing, CHN
Taiji Computer Corp Ltd is engaged in the designing and engineering construction of information systems in China. It offers information technology consulting services, industry solution services, infrastructure services, operational services, and various other value-added IT services. In addition, the company is also involved in the information construction of government, finance, energy, manufacturing, and public utilities.
Executives
Lv Yi Director
Feng Guo Kuan Executives
Chai Yong Mao Directors, executives
Wang Yu Zhong Supervisors
Xiao Yi Executives
Shen Long Zhe Executives
Zhong Kai Executives
Wang Xin Zhong Executives
Zheng Ji Yun Securities Affairs Representative
Zhang Su Wei Executives
Xu Shi Jun Executives
He Jing Supervisors
Liu Huai Song Directors, executives
Liu Xiao Wei Directors, executives
Wang Ya Feng Directors, executives

Taiji Computer Headlines

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