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Dong In Entech Co (XKRX:111380) Interest Coverage : 4.75 (As of Dec. 2023)


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What is Dong In Entech 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. Dong In Entech Co's Operating Income for the six months ended in Dec. 2023 was ₩12,461 Mil. Dong In Entech Co's Interest Expense for the six months ended in Dec. 2023 was ₩-2,623 Mil. Dong In Entech Co's interest coverage for the quarter that ended in Dec. 2023 was 4.75. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Dong In Entech Co's Interest Coverage or its related term are showing as below:

XKRX:111380' s Interest Coverage Range Over the Past 10 Years
Min: 3.7   Med: 4.48   Max: 7.1
Current: 4.48


XKRX:111380's Interest Coverage is ranked worse than
52.66% of 602 companies
in the Travel & Leisure industry
Industry Median: 5.115 vs XKRX:111380: 4.48

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


Dong In Entech Co Interest Coverage Historical Data

The historical data trend for Dong In Entech 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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Dong In Entech Co Interest Coverage Chart

Dong In Entech Co Annual Data
Trend Dec21 Dec22 Dec23
Interest Coverage
3.70 7.10 4.48

Dong In Entech Co Semi-Annual Data
Jun22 Dec22 Jun23 Dec23
Interest Coverage 7.10 7.10 4.30 4.75

Competitive Comparison of Dong In Entech Co's Interest Coverage

For the Leisure subindustry, Dong In Entech 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.


Dong In Entech Co's Interest Coverage Distribution in the Travel & Leisure Industry

For the Travel & Leisure industry and Consumer Cyclical sector, Dong In Entech Co's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Dong In Entech Co's Interest Coverage falls into.



Dong In Entech 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.

Dong In Entech Co's Interest Coverage for the fiscal year that ended in Dec. 2023 is calculated as

Here, for the fiscal year that ended in Dec. 2023, Dong In Entech Co's Interest Expense was ₩-6,300 Mil. Its Operating Income was ₩28,254 Mil. And its Long-Term Debt & Capital Lease Obligation was ₩10,045 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2023 )/Interest Expense (A: Dec. 2023 )
=-1*28253.714/-6299.746
=4.48

Dong In Entech Co's Interest Coverage for the quarter that ended in Dec. 2023 is calculated as

Here, for the six months ended in Dec. 2023, Dong In Entech Co's Interest Expense was ₩-2,623 Mil. Its Operating Income was ₩12,461 Mil. And its Long-Term Debt & Capital Lease Obligation was ₩10,045 Mil.

Interest Coverage=-1* Operating Income (Q: Dec. 2023 )/Interest Expense (Q: Dec. 2023 )
=-1*12460.521/-2622.799
=4.75

* 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.


Dong In Entech Co  (XKRX:111380) 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 .


Dong In Entech Co Interest Coverage Related Terms

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Dong In Entech Co (XKRX:111380) Business Description

Comparable Companies
Traded in Other Exchanges
N/A
Address
370-26 Daegotbuk-ro, Tongjin-eup, Gyeonggi-do, Gimpo-si, KOR
Dong In Entech Co Ltd is a global outdoor brand manufacturing company, it develops and produces professional backpacks, leisure sports equipment, and baby products by combining ultra-lightweight, high-strength aluminum processing technology with ergonomic sewing technology.

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