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Asseco Business Solutions (WAR:ABS) Interest Coverage : 85.89 (As of Mar. 2025)


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What is Asseco Business Solutions 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. Asseco Business Solutions's Operating Income for the three months ended in Mar. 2025 was zł30.1 Mil. Asseco Business Solutions's Interest Expense for the three months ended in Mar. 2025 was zł-0.4 Mil. Asseco Business Solutions's interest coverage for the quarter that ended in Mar. 2025 was 85.89. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Asseco Business Solutions's Interest Coverage or its related term are showing as below:

WAR:ABS' s Interest Coverage Range Over the Past 10 Years
Min: 47.42   Med: 66.96   Max: 40097
Current: 67.4


WAR:ABS's Interest Coverage is ranked better than
62.96% of 1674 companies
in the Software industry
Industry Median: 26.06 vs WAR:ABS: 67.40

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


Asseco Business Solutions Interest Coverage Historical Data

The historical data trend for Asseco Business Solutions'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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Asseco Business Solutions Interest Coverage Chart

Asseco Business Solutions 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 50.73 78.23 60.48 57.78 66.04

Asseco Business Solutions 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 79.09 49.31 66.63 73.60 85.89

Competitive Comparison of Asseco Business Solutions's Interest Coverage

For the Software - Application subindustry, Asseco Business Solutions'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.


Asseco Business Solutions's Interest Coverage Distribution in the Software Industry

For the Software industry and Technology sector, Asseco Business Solutions's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Asseco Business Solutions's Interest Coverage falls into.


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Asseco Business Solutions 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.

Asseco Business Solutions'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, Asseco Business Solutions's Interest Expense was zł-1.9 Mil. Its Operating Income was zł124.1 Mil. And its Long-Term Debt & Capital Lease Obligation was zł40.9 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2024 )/Interest Expense (A: Dec. 2024 )
=-1*124.097/-1.879
=66.04

Asseco Business Solutions's Interest Coverage for the quarter that ended in Mar. 2025 is calculated as

Here, for the three months ended in Mar. 2025, Asseco Business Solutions's Interest Expense was zł-0.4 Mil. Its Operating Income was zł30.1 Mil. And its Long-Term Debt & Capital Lease Obligation was zł40.2 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2025 )/Interest Expense (Q: Mar. 2025 )
=-1*30.146/-0.351
=85.89

* 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.


Asseco Business Solutions  (WAR:ABS) 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 .


Asseco Business Solutions Interest Coverage Related Terms

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


Asseco Business Solutions Business Description

Traded in Other Exchanges
Address
ul. Konrada Wallenroda 4c, Lublin, POL, 20-607
Asseco Business Solutions SA serves as a Competence Centre accountable for the development of ERP software, mobile reporting systems (SFA), factoring systems and software for SMEs. Its offering also includes the provision, adaptation, and configuration of business applications for enterprises, design, and construction of infrastructure at the client or in the outsourcing model, providing equipment and system software of renowned partners, training for client's personnel, service and remote support for users. The company generates most of its revenue from its ERP Systems segment mainly in Poland.

Asseco Business Solutions Headlines

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