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Infranor Inter AG (XSWX:INI) Interest Coverage : 1.56 (As of Apr. 2014)


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What is Infranor Inter 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. Infranor Inter AG's Operating Income for the six months ended in Apr. 2014 was CHF0.82 Mil. Infranor Inter AG's Interest Expense for the six months ended in Apr. 2014 was CHF-0.53 Mil. Infranor Inter AG's interest coverage for the quarter that ended in Apr. 2014 was 1.56. The higher the ratio, the stronger the company's financial strength is.

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

XSWX:INI' s Interest Coverage Range Over the Past 10 Years
Min: 1.11   Med: 2.54   Max: 9999.99
Current: 1.39


XSWX:INI's Interest Coverage is not ranked
in the Industrial Products industry.
Industry Median: 13.78 vs XSWX:INI: 1.39

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


Infranor Inter AG Interest Coverage Historical Data

The historical data trend for Infranor Inter 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.

Infranor Inter AG Interest Coverage Chart

Infranor Inter AG Annual Data
Trend Apr05 Apr06 Apr07 Apr08 Apr09 Apr10 Apr11 Apr12 Apr13 Apr14
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.11 2.12 1.84 2.56 1.39

Infranor Inter AG Semi-Annual Data
Oct10 Apr11 Oct11 Apr12 Oct12 Apr13 Oct13 Apr14
Interest Coverage Get a 7-Day Free Trial 2.15 1.87 3.22 1.23 1.56

Competitive Comparison of Infranor Inter AG's Interest Coverage

For the Specialty Industrial Machinery subindustry, Infranor Inter 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.


Infranor Inter AG's Interest Coverage Distribution in the Industrial Products Industry

For the Industrial Products industry and Industrials sector, Infranor Inter AG's Interest Coverage distribution charts can be found below:

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



Infranor Inter 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.

Infranor Inter AG's Interest Coverage for the fiscal year that ended in Apr. 2014 is calculated as

Here, for the fiscal year that ended in Apr. 2014, Infranor Inter AG's Interest Expense was CHF-1.07 Mil. Its Operating Income was CHF1.49 Mil. And its Long-Term Debt & Capital Lease Obligation was CHF4.93 Mil.

Interest Coverage=-1* Operating Income (A: Apr. 2014 )/Interest Expense (A: Apr. 2014 )
=-1*1.487/-1.066
=1.39

Infranor Inter AG's Interest Coverage for the quarter that ended in Apr. 2014 is calculated as

Here, for the six months ended in Apr. 2014, Infranor Inter AG's Interest Expense was CHF-0.53 Mil. Its Operating Income was CHF0.82 Mil. And its Long-Term Debt & Capital Lease Obligation was CHF4.93 Mil.

Interest Coverage=-1* Operating Income (Q: Apr. 2014 )/Interest Expense (Q: Apr. 2014 )
=-1*0.819/-0.525
=1.56

* 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.


Infranor Inter AG  (XSWX:INI) 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 .


Infranor Inter AG Interest Coverage Related Terms

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


Infranor Inter AG (XSWX:INI) Business Description

Traded in Other Exchanges
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Address
Infranor Inter AG was established in 1941. The Company manufactures & markets solutions for industrial automation. It operates in two divisions: Infranor & Cybelec. Its customers are manufacturers of cables & winding machines, industrial sewing machines, welding assembly robots among others. The Infranor division operates as an industry independent specialist in the general servo and drive technology areas. The Cybelec division provides automation equipment for bending presses including controls, input/output units, fieldbus systems, drives, and motors.

Infranor Inter AG (XSWX:INI) Headlines

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