BKW AG (XSWX:BKW) Interest Coverage : 10.65 (As of Jun. 2024)

View and export this data going back to 2011. Start your Free Trial

What is BKW AG 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. BKW AG's Operating Income for the six months ended in Jun. 2024 was CHF414 Mil. BKW AG's Interest Expense for the six months ended in Jun. 2024 was CHF-39 Mil. BKW AG's interest coverage for the quarter that ended in Jun. 2024 was 10.65. The higher the ratio, the stronger the company's financial strength is.

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

XSWX:BKW' s Interest Coverage Range Over the Past 10 Years
Min: 2.19 Med: 3.66 Max: 9.19
Current: 9.01

XSWX:BKW's Interest Coverage is ranked better than
80.8% of 323 companies
in the Utilities - Independent Power Producers industry
Industry Median: 2.98 vs XSWX:BKW: 9.01

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

BKW AG Interest Coverage Historical Data

The historical data trend for BKW AG'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.

BKW AG Interest Coverage Chart

BKW AG Annual Data

Trend

Dec14

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Interest Coverage

Get a 7-Day Free Trial

4.06

5.69

4.46

3.95

9.19

BKW AG Semi-Annual Data
	Dec14	Jun15	Dec15	Jun16	Dec16	Jun17	Dec17	Jun18	Dec18	Jun19	Dec19	Jun20	Dec20	Jun21	Dec21	Jun22	Dec22	Jun23	Dec23	Jun24
Interest Coverage	Get a 7-Day Free Trial															1.63	11.20	11.15	7.30	10.65

Competitive Comparison of BKW AG's Interest Coverage

For the Utilities - Renewable subindustry, BKW AG'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.

BKW AG's Interest Coverage Distribution in the Utilities - Independent Power Producers Industry

For the Utilities - Independent Power Producers industry and Utilities sector, BKW AG's Interest Coverage distribution charts can be found below:

* The bar in red indicates where BKW AG's Interest Coverage falls into.

BKW AG 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.

BKW AG'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, BKW AG's Interest Expense was CHF-73 Mil. Its Operating Income was CHF673 Mil. And its Long-Term Debt & Capital Lease Obligation was CHF1,861 Mil.

Interest Coverage	=	-1	*	Operating Income (A: Dec. 2023 )	/	Interest Expense (A: Dec. 2023 )
	=	-1	*	673	/	-73.2
	=	9.19

BKW AG's Interest Coverage for the quarter that ended in Jun. 2024 is calculated as

Here, for the six months ended in Jun. 2024, BKW AG's Interest Expense was CHF-39 Mil. Its Operating Income was CHF414 Mil. And its Long-Term Debt & Capital Lease Obligation was CHF0 Mil.

Interest Coverage	=	-1	*	Operating Income (Q: Jun. 2024 )	/	Interest Expense (Q: Jun. 2024 )
	=	-1	*	414.2	/	-38.9
	=	10.65

The higher the ratio, the stronger the company's Financial Strength is.

BKW AG (XSWX:BKW) 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 .

BKW AG Interest Coverage Related Terms

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

BKW AG Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Utilities » Utilities - Independent Power Producers » BKW AG (XSWX:BKW) » Definitions » Interest Coverage

Traded in Other Exchanges

BKWAF:USA BKWz:UK 0QQ0:UK

Address

Viktoriaplatz 2, Bern, CHE, CH-3013

Website

https://www.bkw.ch

BKW AG is an electric utility company in which the Swiss state of Bern holds a majority stake. The company segments its operations into energy, grid, and services businesses. The energy division builds, operates, and maintains the company's European power plants. While BKW controls a portfolio of wind, hydroelectric, gas, coal, and nuclear facilities, its wind power sites are responsible for most of its total energy generation. The majority of BKW's revenue comes from its energy division in the form of electricity sales to the broader European market and other power plants. The company's networks division, which builds and operates electrical distribution grids for customers outside of its primary markets of Switzerland and Italy, also represents a substantial revenue stream.

BKW AG Headlines

No Headlines