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Amneal Pharmaceuticals (Amneal Pharmaceuticals) Interest Coverage : 0.58 (As of Dec. 2023)


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What is Amneal Pharmaceuticals 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. Amneal Pharmaceuticals's Operating Income for the three months ended in Dec. 2023 was $34 Mil. Amneal Pharmaceuticals's Interest Expense for the three months ended in Dec. 2023 was $-60 Mil. Amneal Pharmaceuticals's interest coverage for the quarter that ended in Dec. 2023 was 0.58. The higher the ratio, the stronger the company's financial strength is.

Warning Sign:

Ben Graham prefers companies' interest coverage to be at least 5. Amneal Pharmaceuticals Inc interest coverage is 1.06, which is low.

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

AMRX' s Interest Coverage Range Over the Past 10 Years
Min: 0.76   Med: 1.42   Max: 4.96
Current: 1.06


AMRX's Interest Coverage is ranked worse than
90.45% of 691 companies
in the Drug Manufacturers industry
Industry Median: 12.08 vs AMRX: 1.06

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


Amneal Pharmaceuticals Interest Coverage Historical Data

The historical data trend for Amneal Pharmaceuticals'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.

Amneal Pharmaceuticals Interest Coverage Chart

Amneal Pharmaceuticals Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Interest Coverage
Get a 7-Day Free Trial - 0.76 1.42 1.19 1.06

Amneal Pharmaceuticals Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
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 1.52 0.75 1.49 1.52 0.58

Competitive Comparison of Amneal Pharmaceuticals's Interest Coverage

For the Drug Manufacturers - Specialty & Generic subindustry, Amneal Pharmaceuticals'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.


Amneal Pharmaceuticals's Interest Coverage Distribution in the Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Amneal Pharmaceuticals's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Amneal Pharmaceuticals's Interest Coverage falls into.



Amneal Pharmaceuticals 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.

Amneal Pharmaceuticals'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, Amneal Pharmaceuticals's Interest Expense was $-211 Mil. Its Operating Income was $224 Mil. And its Long-Term Debt & Capital Lease Obligation was $2,523 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2023 )/Interest Expense (A: Dec. 2023 )
=-1*224.25/-210.629
=1.06

Amneal Pharmaceuticals's Interest Coverage for the quarter that ended in Dec. 2023 is calculated as

Here, for the three months ended in Dec. 2023, Amneal Pharmaceuticals's Interest Expense was $-60 Mil. Its Operating Income was $34 Mil. And its Long-Term Debt & Capital Lease Obligation was $2,523 Mil.

Interest Coverage=-1* Operating Income (Q: Dec. 2023 )/Interest Expense (Q: Dec. 2023 )
=-1*34.26/-59.548
=0.58

* 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.


Amneal Pharmaceuticals  (NAS:AMRX) 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 .


Amneal Pharmaceuticals Interest Coverage Related Terms

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


Amneal Pharmaceuticals (Amneal Pharmaceuticals) Business Description

Traded in Other Exchanges
Address
400 Crossing Boulevard, 3rd Floor, Bridgewater, NJ, USA, 08807
Amneal Pharmaceuticals Inc is a generic pharmaceutical manufacturer. The company's reportable segments are Generic Products, Specialty products, and AvKARE. The Generics segment develops, manufactures and commercializes complex oral solids, injectables, ophthalmics, liquids, topicals, softgels, inhalation products, and transdermals, and the Specialty segment is engaged in the development, promotion, sale and distribution of proprietary branded pharmaceutical products. The AvKARE segment provides pharmaceuticals, medical and surgical products, and services primarily to governmental agencies.
Executives
Andrew S Boyer officer: Exec VP, Comm Optns C/O WATSON PHARMA INC, 360 MOUNT KEMBLE AVE, MORRISTOWN NJ 07960
Tpg Gp A, Llc 10 percent owner 301 COMMERCE STREET, SUITE 3300, FORT WORTH TX 76102
Gustavo Pesquin officer: See Remarks 4 PARK LANE, MADISON NJ 07940
Deborah M. Autor director C/O PARDES BIOSCIENCES, INC., 2173 SALK AVE., SUITE 250, PMB#052, CARLSBAD CA 92008
Jason B. Daly officer: SVP, Chief Legal Officer 400 CROSSING BLVD, 3RD FLOOR, BRIDGEWATER NJ 08807
Jon Winkelried 10 percent owner C/O GOLDMAN, SACHS & CO., 85 BROAD STREET, NEW YORK NY 10004
Gautam Patel director C/O AMNEAL PHARMACEUTICALS LLC, 400 CROSSING BLVD, BRIDGEWATER NJ 08807
Chirag K. Patel director C/O AMNEAL PHARMACEUTICALS LLC, 400 CROSSING BOULEVARD, BRIDGEWATER NJ 08807
Chintu Patel director C/O AMNEAL PHARMACEUTICALS LLC, 400 CROSSING BOULEVARD, BRIDGEWATER CA 08807
Nikita Shah officer: SVP, Chief HR Officer C/O AMNEAL PHARMACEUTICALS LLC, 400 CROSSING BLVD, BRIDGEWATER NJ 08807
Joseph Todisco officer: SVP, Specialty Commercial 400 CROSSING BOULEVARD, BRIDGEWATER NJ 08807
John Kiely director C/O ZOVIO INC, 1811 E NORTHROP BLVD, CHANDLER AZ 85286
Jeffrey P. George director C/O AMNEAL PHARMACEUTICALS, INC., 400 CROSSING BOULEVARD, BRIDGEWATER NJ 08807
Shlomo Yanai director ONE MEADOWLANDS PLAZA, EAST RUTHERFORD NJ 07073
Paul M Meister director 18 SHIP ROCK ROAD, NORTH HAMPTON NH 03862