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Tumi Holdings (Tumi Holdings) Interest Coverage : No Debt (1) (As of Jun. 2016)


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What is Tumi Holdings 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. Tumi Holdings's Operating Income for the three months ended in Jun. 2016 was $20.8 Mil. Tumi Holdings's Interest Expense for the three months ended in Jun. 2016 was $0.0 Mil. Tumi Holdings has no debt. The higher the ratio, the stronger the company's financial strength is.

(1) 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.

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


TUMI's Interest Coverage is not ranked *
in the Manufacturing - Apparel & Accessories industry.
Industry Median: 5.23
* Ranked among companies with meaningful Interest Coverage only.

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


Tumi Holdings Interest Coverage Historical Data

The historical data trend for Tumi Holdings'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.

Tumi Holdings Interest Coverage Chart

Tumi Holdings Annual Data
Trend Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15
Interest Coverage
Get a 7-Day Free Trial 24.94 51.49 117.82 195.87 279.22

Tumi Holdings Quarterly Data
Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16
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 316.00 304.24 452.59 277.18 No Debt

Competitive Comparison of Tumi Holdings's Interest Coverage

For the Footwear & Accessories subindustry, Tumi Holdings'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.


Tumi Holdings's Interest Coverage Distribution in the Manufacturing - Apparel & Accessories Industry

For the Manufacturing - Apparel & Accessories industry and Consumer Cyclical sector, Tumi Holdings's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Tumi Holdings's Interest Coverage falls into.



Tumi Holdings 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.

Tumi Holdings's Interest Coverage for the fiscal year that ended in Dec. 2015 is calculated as

Here, for the fiscal year that ended in Dec. 2015, Tumi Holdings's Interest Expense was $-0.3 Mil. Its Operating Income was $96.9 Mil. And its Long-Term Debt & Capital Lease Obligation was $0.0 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2015 )/Interest Expense (A: Dec. 2015 )
=-1*96.888/-0.347
=279.22

Tumi Holdings's Interest Coverage for the quarter that ended in Jun. 2016 is calculated as

Here, for the three months ended in Jun. 2016, Tumi Holdings's Interest Expense was $0.0 Mil. Its Operating Income was $20.8 Mil. And its Long-Term Debt & Capital Lease Obligation was $0.0 Mil.

Tumi Holdings had no debt (1).

* 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.


Tumi Holdings  (NYSE:TUMI) 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 .


Tumi Holdings Interest Coverage Related Terms

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


Tumi Holdings (Tumi Holdings) Business Description

Traded in Other Exchanges
N/A
Address
Tumi Holdings Inc was incorporated in September 2004 in Delaware in connection with the acquisition. In 2004, Company was acquired by Doughty Hanson. Company is a designer, producer and marketer of a comprehensive line of travel and business products and accessories in multiple categories. The Company's product offerings include travel bags, business cases, totes, handbags, business and travel accessories and small leather goods. It design and market its products to, sophisticated professionals, frequent travelers and brand-conscious individuals. Company have significant and loyal consumer base with its typical consumer owning multiple Tumi products. As of December 31, 2013, Company distributed its products in over 75 countries through approximately 1,900 points of distribution. It utilizes multiple channels, including retail, wholesale and e-commerce. Its retail stores represent its core approach to brand-enhancing distribution, with locations in premium retail venues throughout the world including New York, Beverly Hills, San Francisco, Chicago, Paris, London, Rome, Tokyo, Munich, Moscow, Milan and Barcelona. In April 2012, the Company completed its IPO. Company evaluates its operating performance based on net sales and operating income in four operating segments: Direct-to-Consumer North America; Indirect-to-Consumer North America; Direct-to-Consumer International; and Indirect-to-Consumer International. In Direct-to-Consumer North America, Company sold its products directly to consumers through a network of 114 company-owned retail stores consisting of full-price stores and outlet stores strategically positioned in high-end retail malls or street venues and also through its e-commerce website. Indirect-to-Consumer North America, it sold to wholesale customers in North America through approximately 800 doors, including specialty luggage retailers, prestige department stores and business-to-business channels. Direct-to-Consumer International, it sold directly to consumers through a network of 16 company-owned full-price and outlet stores in high-end street venues and select malls in international locations. Indirect-to-Consumer International, it sold its products to international wholesale customers through approximately 1,000 doors, approximately 55% of which are in the EMEA region, 40% of which are in the Asia-Pacific region, and 5% of which are in Central and South America. Raw materials include, among others, ballistic nylon fabric, plastic injected molded parts, nylon and stainless steel zipper systems, aluminum handle tubing systems, leather, polycarbonate sheeting materials, high quality waxed linen, high quality textiles and other high tensile strength materials used in the construction of its products. Company's competitors include, Rimowa, Bally, Burberry, Dunhill, Ferragamo, Gucci, Louis Vuitton, Montblanc, Porsche, among others. Company's proprietary designs are protected by over 200 design or mechanical patents. Ma
Executives
Alex Smith director PIER 1 IMPORTS, INC, 100 PIER 1 PLACE, FORT WORTH TX 76102
Peter L Gray officer: EVP and General Counsel C/O TUMI HOLDINGS INC, 1001 DURHAM AVE, SOUTH PLAINFIELD NJ 07080
Jerome Griffith director, officer: CEO and President C/O TUMI, INC., 1001 DURHAM AVENUE, SOUTH PLAINFIELD NJ 07080
Michael J Mardy director, officer: CFO and EVP
David Riley officer: CAO and SVP, Finance 1100 WINTER STREET, SUITE 4600, WALTHAM MA 02451
Thomas H Johnson director 9201 FOREST HILL AVENUE, RICHMOND VA 23235
Joseph R Gromek director C/O GUESS?, INC., 1444 SOUTH ALAMEDA STREET, LOS ANGELES CA 90021

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