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Minebea Mitsumi (TSE:6479) Interest Coverage : 2.56 (As of Sep. 2024)


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What is Minebea Mitsumi 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. Minebea Mitsumi's Operating Income for the three months ended in Sep. 2024 was 円28,146 Mil. Minebea Mitsumi's Interest Expense for the three months ended in Sep. 2024 was 円-11,011 Mil. Minebea Mitsumi's interest coverage for the quarter that ended in Sep. 2024 was 2.56. The higher the ratio, the stronger the company's financial strength is.

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

TSE:6479' s Interest Coverage Range Over the Past 10 Years
Min: 5.48   Med: 28.52   Max: 55.83
Current: 5.48


TSE:6479's Interest Coverage is ranked worse than
69.41% of 1582 companies
in the Hardware industry
Industry Median: 13.475 vs TSE:6479: 5.48

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


Minebea Mitsumi Interest Coverage Historical Data

The historical data trend for Minebea Mitsumi'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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Minebea Mitsumi Interest Coverage Chart

Minebea Mitsumi Annual Data
Trend Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 24.64 16.39 32.39 13.07 16.48

Minebea Mitsumi Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
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 19.38 7.30 18.28 11.66 2.56

Competitive Comparison of Minebea Mitsumi's Interest Coverage

For the Electronic Components subindustry, Minebea Mitsumi'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.


Minebea Mitsumi's Interest Coverage Distribution in the Hardware Industry

For the Hardware industry and Technology sector, Minebea Mitsumi's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Minebea Mitsumi's Interest Coverage falls into.



Minebea Mitsumi 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.

Minebea Mitsumi's Interest Coverage for the fiscal year that ended in Mar. 2024 is calculated as

Here, for the fiscal year that ended in Mar. 2024, Minebea Mitsumi's Interest Expense was 円-4,462 Mil. Its Operating Income was 円73,536 Mil. And its Long-Term Debt & Capital Lease Obligation was 円215,145 Mil.

Interest Coverage=-1* Operating Income (A: Mar. 2024 )/Interest Expense (A: Mar. 2024 )
=-1*73536/-4462
=16.48

Minebea Mitsumi's Interest Coverage for the quarter that ended in Sep. 2024 is calculated as

Here, for the three months ended in Sep. 2024, Minebea Mitsumi's Interest Expense was 円-11,011 Mil. Its Operating Income was 円28,146 Mil. And its Long-Term Debt & Capital Lease Obligation was 円211,650 Mil.

Interest Coverage=-1* Operating Income (Q: Sep. 2024 )/Interest Expense (Q: Sep. 2024 )
=-1*28146/-11011
=2.56

* 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.


Minebea Mitsumi  (TSE:6479) 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 .


Minebea Mitsumi Interest Coverage Related Terms

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Minebea Mitsumi Business Description

Traded in Other Exchanges
Address
3-9-6, Mita, Minato-ku, Tokyo, JPN, 108-8330
Minebea Mitsumi Inc is an electronic components company. Its operating segments are Machined components, Electronic devices and components and MITSUMI business. The machined components segment manufactures mechanical parts including ball bearings, rod-end bearings, pivot assemblies for hard disk drive (HDD), and screws for automobiles and aircrafts. The electronic devices and components segment manufactures electronic devices (such as LED backlights and sensing devices), HDD spindle motors, stepping motors, DC motors, air movers (fan motors), precision motors and specialized devices. And The MITSUMI business segment manufactures semiconductor devices, optical devices, mechanical parts, high-frequency components, and power supply parts.

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