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TKC (Turkcell Iletisim Hizmetleri AS) Interest Coverage : 2.43 (As of Mar. 2025)


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What is Turkcell Iletisim Hizmetleri AS 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. Turkcell Iletisim Hizmetleri AS's Operating Income for the three months ended in Mar. 2025 was $227 Mil. Turkcell Iletisim Hizmetleri AS's Interest Expense for the three months ended in Mar. 2025 was $-93 Mil. Turkcell Iletisim Hizmetleri AS's interest coverage for the quarter that ended in Mar. 2025 was 2.43. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Turkcell Iletisim Hizmetleri AS's Interest Coverage or its related term are showing as below:

TKC' s Interest Coverage Range Over the Past 10 Years
Min: 0.99   Med: 6   Max: 18.97
Current: 3.27


TKC's Interest Coverage is ranked worse than
61.02% of 295 companies
in the Telecommunication Services industry
Industry Median: 4.91 vs TKC: 3.27

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


Turkcell Iletisim Hizmetleri AS Interest Coverage Historical Data

The historical data trend for Turkcell Iletisim Hizmetleri AS'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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Turkcell Iletisim Hizmetleri AS Interest Coverage Chart

Turkcell Iletisim Hizmetleri AS 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 5.46 5.18 0.99 2.33 2.03

Turkcell Iletisim Hizmetleri AS 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 1.77 1.86 1.52 - 2.43

Competitive Comparison of Turkcell Iletisim Hizmetleri AS's Interest Coverage

For the Telecom Services subindustry, Turkcell Iletisim Hizmetleri AS'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.


Turkcell Iletisim Hizmetleri AS's Interest Coverage Distribution in the Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, Turkcell Iletisim Hizmetleri AS's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Turkcell Iletisim Hizmetleri AS's Interest Coverage falls into.


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Turkcell Iletisim Hizmetleri AS 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.

Turkcell Iletisim Hizmetleri AS'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, Turkcell Iletisim Hizmetleri AS's Interest Expense was $-328 Mil. Its Operating Income was $665 Mil. And its Long-Term Debt & Capital Lease Obligation was $1,500 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2024 )/Interest Expense (A: Dec. 2024 )
=-1*665.202/-327.646
=2.03

Turkcell Iletisim Hizmetleri AS's Interest Coverage for the quarter that ended in Mar. 2025 is calculated as

Here, for the three months ended in Mar. 2025, Turkcell Iletisim Hizmetleri AS's Interest Expense was $-93 Mil. Its Operating Income was $227 Mil. And its Long-Term Debt & Capital Lease Obligation was $2,554 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2025 )/Interest Expense (Q: Mar. 2025 )
=-1*226.572/-93.078
=2.43

* 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.


Turkcell Iletisim Hizmetleri AS  (NYSE:TKC) 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 .


Turkcell Iletisim Hizmetleri AS Interest Coverage Related Terms

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Turkcell Iletisim Hizmetleri AS Business Description

Traded in Other Exchanges
Address
Aydinevler Mahallesi Inonu Caddesi No. 20, Kucukyali Ofispark B Blok, Turkcell Kucukyali Plaza, Maltepe, Istanbul, TUR, 34854
Turkcell Iletisim Hizmetleri AS provides mobile telephone services in Turkey. The firm's services portfolio includes high-quality mobile and fixed voice, data, TV, and digital services over its network. The firm also operates in the Turkish Republic of Northern Cyprus, Belarus, the Netherlands, and Ukraine. It has three main reportable segments: Turkcell Turkiye, Turkcell International, and Techfin. The Turkcell Turkiye segment, which derives the majority of revenue, comprises mainly telecommunication and technology services activities.