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Cre8 Direct (Ningbo) Co (SZSE:300703) Interest Coverage : 13.52 (As of Mar. 2025)


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What is Cre8 Direct (Ningbo) Co 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. Cre8 Direct (Ningbo) Co's Operating Income for the three months ended in Mar. 2025 was ¥34 Mil. Cre8 Direct (Ningbo) Co's Interest Expense for the three months ended in Mar. 2025 was ¥-3 Mil. Cre8 Direct (Ningbo) Co's interest coverage for the quarter that ended in Mar. 2025 was 13.52. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Cre8 Direct (Ningbo) Co's Interest Coverage or its related term are showing as below:

SZSE:300703' s Interest Coverage Range Over the Past 10 Years
Min: 2.53   Med: 10.71   Max: 15.86
Current: 12.71


SZSE:300703's Interest Coverage is ranked better than
73.53% of 204 companies
in the Forest Products industry
Industry Median: 4.46 vs SZSE:300703: 12.71

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


Cre8 Direct (Ningbo) Co Interest Coverage Historical Data

The historical data trend for Cre8 Direct (Ningbo) Co'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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Cre8 Direct (Ningbo) Co Interest Coverage Chart

Cre8 Direct (Ningbo) Co 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 10.95 2.53 4.62 8.52 10.74

Cre8 Direct (Ningbo) Co 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 3.88 15.76 12.60 10.43 13.52

Competitive Comparison of Cre8 Direct (Ningbo) Co's Interest Coverage

For the Paper & Paper Products subindustry, Cre8 Direct (Ningbo) Co'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.


Cre8 Direct (Ningbo) Co's Interest Coverage Distribution in the Forest Products Industry

For the Forest Products industry and Basic Materials sector, Cre8 Direct (Ningbo) Co's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Cre8 Direct (Ningbo) Co's Interest Coverage falls into.


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Cre8 Direct (Ningbo) Co 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.

Cre8 Direct (Ningbo) Co'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, Cre8 Direct (Ningbo) Co's Interest Expense was ¥-12 Mil. Its Operating Income was ¥128 Mil. And its Long-Term Debt & Capital Lease Obligation was ¥163 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2024 )/Interest Expense (A: Dec. 2024 )
=-1*128.281/-11.939
=10.74

Cre8 Direct (Ningbo) Co's Interest Coverage for the quarter that ended in Mar. 2025 is calculated as

Here, for the three months ended in Mar. 2025, Cre8 Direct (Ningbo) Co's Interest Expense was ¥-3 Mil. Its Operating Income was ¥34 Mil. And its Long-Term Debt & Capital Lease Obligation was ¥212 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2025 )/Interest Expense (Q: Mar. 2025 )
=-1*34.14/-2.525
=13.52

* 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.


Cre8 Direct (Ningbo) Co  (SZSE:300703) 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 .


Cre8 Direct (Ningbo) Co Interest Coverage Related Terms

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Cre8 Direct (Ningbo) Co Business Description

Traded in Other Exchanges
N/A
Address
45 West Lushan Road, Beilun District, Zhejiang Province, Ningbo, CHN, 315800
Cre8 Direct (Ningbo) Co Ltd is a China-based company principally engaged in the design, production and sales of paper-based products around the world. Its product lines span a vast number of categories including stationery, storage, office supplies, scrapbooking, paper crafting, party, D.I.Y., dated goods, card making, and children's crafting.
Executives
Ren Zhao Guo Directors, executives
Deng Jian Jun Directors, executives
Qin Zai Ming Supervisors
Chai Xiao Hai Directors, executives
Jiang Ming Zhong Supervisors
Wang Xian Yu Directors, executives

Cre8 Direct (Ningbo) Co Headlines

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