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BusinessOn Communication Co (XKRX:138580) Interest Coverage : 152.72 (As of Sep. 2024)


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What is BusinessOn Communication 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. BusinessOn Communication Co's Operating Income for the three months ended in Sep. 2024 was ₩11,551 Mil. BusinessOn Communication Co's Interest Expense for the three months ended in Sep. 2024 was ₩-76 Mil. BusinessOn Communication Co's interest coverage for the quarter that ended in Sep. 2024 was 152.72. The higher the ratio, the stronger the company's financial strength is.

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

XKRX:138580' s Interest Coverage Range Over the Past 10 Years
Min: 9.9   Med: 35.23   Max: 11032.8
Current: 42.08


XKRX:138580's Interest Coverage is not ranked
in the Software industry.
Industry Median: 26.06 vs XKRX:138580: 42.08

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


BusinessOn Communication Co Interest Coverage Historical Data

The historical data trend for BusinessOn Communication 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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BusinessOn Communication Co Interest Coverage Chart

BusinessOn Communication Co Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Interest Coverage
Get a 7-Day Free Trial 33.24 9.90 37.21 14.71 25.47

BusinessOn Communication Co 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 27.93 20.10 43.89 14.07 152.72

Competitive Comparison of BusinessOn Communication Co's Interest Coverage

For the Software - Application subindustry, BusinessOn Communication 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.


BusinessOn Communication Co's Interest Coverage Distribution in the Software Industry

For the Software industry and Technology sector, BusinessOn Communication Co's Interest Coverage distribution charts can be found below:

* The bar in red indicates where BusinessOn Communication Co's Interest Coverage falls into.


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BusinessOn Communication 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.

BusinessOn Communication 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, BusinessOn Communication Co's Interest Expense was ₩-643 Mil. Its Operating Income was ₩16,377 Mil. And its Long-Term Debt & Capital Lease Obligation was ₩11,453 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2023 )/Interest Expense (A: Dec. 2023 )
=-1*16377.486/-642.968
=25.47

BusinessOn Communication Co's Interest Coverage for the quarter that ended in Sep. 2024 is calculated as

Here, for the three months ended in Sep. 2024, BusinessOn Communication Co's Interest Expense was ₩-76 Mil. Its Operating Income was ₩11,551 Mil. And its Long-Term Debt & Capital Lease Obligation was ₩0 Mil.

Interest Coverage=-1* Operating Income (Q: Sep. 2024 )/Interest Expense (Q: Sep. 2024 )
=-1*11551.42/-75.639
=152.72

* 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.


BusinessOn Communication Co  (XKRX:138580) 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 .


BusinessOn Communication Co Interest Coverage Related Terms

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BusinessOn Communication Co Business Description

Traded in Other Exchanges
N/A
Address
172, 3F (Seongsu-dong 1ga), Gwangnarulo, Seongdong-gu, Seoul, KOR
BusinessOn Communication Co Ltd is Software-as-a-Service company. The company provides services like electronic document distribution, electronic tax bill, integrated purchase management, electronic contract, purchase confirmation, default registration, online advertising services and other services.

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