GURUFOCUS.COM » STOCK LIST » Industrials » Industrial Products » ZJK Industrial Co Ltd (NAS:ZJK) » Definitions » Interest Coverage

ZJK (ZJK Industrial Co) Interest Coverage : 0 (At Loss) (As of Dec. 2024)


View and export this data going back to 2024. Start your Free Trial

What is ZJK Industrial 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. ZJK Industrial Co's Operating Income for the six months ended in Dec. 2024 was $-3.02 Mil. ZJK Industrial Co's Interest Expense for the six months ended in Dec. 2024 was $-0.00 Mil. did not have earnings to cover the interest expense. The higher the ratio, the stronger the company's financial strength is.

Good Sign:

Ben Graham prefers companies' interest coverage to be at least 5. ZJK Industrial Co Ltd has enough cash to cover all of its debt. Its financial situation is stable.

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

ZJK' s Interest Coverage Range Over the Past 10 Years
Min: 49.86   Med: 55.34   Max: 125.87
Current: 125.87


ZJK's Interest Coverage is ranked better than
81.42% of 2282 companies
in the Industrial Products industry
Industry Median: 15.66 vs ZJK: 125.87

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


ZJK Industrial Co Interest Coverage Historical Data

The historical data trend for ZJK Industrial 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.

* Premium members only.

ZJK Industrial Co Interest Coverage Chart

ZJK Industrial Co Annual Data
Trend Dec21 Dec22 Dec23 Dec24
Interest Coverage
49.86 50.96 59.72 125.87

ZJK Industrial Co Semi-Annual Data
Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24
Interest Coverage Get a 7-Day Free Trial 59.10 26.96 129.00 409.08 -

Competitive Comparison of ZJK Industrial Co's Interest Coverage

For the Specialty Industrial Machinery subindustry, ZJK Industrial 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.


ZJK Industrial Co's Interest Coverage Distribution in the Industrial Products Industry

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

* The bar in red indicates where ZJK Industrial Co's Interest Coverage falls into.


;
;

ZJK Industrial 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.

ZJK Industrial Co'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, ZJK Industrial Co's Interest Expense was $-0.02 Mil. Its Operating Income was $1.89 Mil. And its Long-Term Debt & Capital Lease Obligation was $0.76 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2024 )/Interest Expense (A: Dec. 2024 )
=-1*1.888/-0.015
=125.87

ZJK Industrial Co's Interest Coverage for the quarter that ended in Dec. 2024 is calculated as

Here, for the six months ended in Dec. 2024, ZJK Industrial Co's Interest Expense was $-0.00 Mil. Its Operating Income was $-3.02 Mil. And its Long-Term Debt & Capital Lease Obligation was $0.76 Mil.

ZJK Industrial Co did not have earnings to cover the interest expense.

* 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.


ZJK Industrial Co  (NAS:ZJK) 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 .


ZJK Industrial Co Interest Coverage Related Terms

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


ZJK Industrial Co Business Description

Traded in Other Exchanges
N/A
Address
No.8, Jingqiang Road, 138 Industrial Zone, Xiuxin Community, Kengzi Town, Pingshan New Area, Shenzhen, CHN, 518122
ZJK Industrial Co Ltd is a high-tech enterprise specialized in the manufacturing and sale of precision fasteners, structural parts, and other precision metal parts products for new energy vehicles, circuit boards, data centers, liquid cooling systems for high-speed supercomputers widely applied in the artificial intelligence industry, and intelligent electronic equipment, such as mobile phones, smart watches, drones, and 5G communication base stations. Its products include various standard screws, nuts, bolts, turning parts, stamping parts, and Computer Numerical Control (CNC) machining parts. The products are used in new energy vehicles, mobile phones, smart watches, drones, 5G communication base stations, circuit boards, liquid cooling systems, and other electronic equipment.