Buffalo Wild Wings (Buffalo Wild Wings) Interest Coverage

: 7.45 (As of Sep. 2017)

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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. Buffalo Wild Wings's Operating Income for the three months ended in Sep. 2017 was $28 Mil. Buffalo Wild Wings's Interest Expense for the three months ended in Sep. 2017 was $-4 Mil. Buffalo Wild Wings's interest coverage for the quarter that ended in Sep. 2017 was 7.45. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Buffalo Wild Wings's Interest Coverage or its related term are showing as below:

BWLD's Interest Coverage is not ranked ^*
in the Restaurants industry.
Industry Median: 6.835
* Ranked among companies with meaningful Interest Coverage only.

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

Buffalo Wild Wings Interest Coverage Historical Data

The historical data trend for Buffalo Wild Wings'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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Buffalo Wild Wings Annual Data

Trend

Dec07

Dec08

Dec09

Dec10

Dec11

Dec12

Dec13

Dec14

Dec15

Dec16

Interest Coverage

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No Debt

703.23

82.19

32.86

Buffalo Wild Wings Quarterly Data
	Dec12	Mar13	Jun13	Sep13	Dec13	Mar14	Jun14	Sep14	Dec14	Mar15	Jun15	Sep15	Dec15	Mar16	Jun16	Sep16	Dec16	Mar17	Jun17	Sep17
Interest Coverage	Get a 7-Day Free Trial															37.11	13.72	14.33	2.81	7.45

Competitive Comparison

For the Restaurants subindustry, Buffalo Wild Wings'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.

Buffalo Wild Wings Interest Coverage Distribution

For the Restaurants industry and Consumer Cyclical sector, Buffalo Wild Wings's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Buffalo Wild Wings's Interest Coverage falls into.

Buffalo Wild Wings 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.

Buffalo Wild Wings's Interest Coverage for the fiscal year that ended in Dec. 2016 is calculated as

Here, for the fiscal year that ended in Dec. 2016, Buffalo Wild Wings's Interest Expense was $-4 Mil. Its Operating Income was $137 Mil. And its Long-Term Debt & Capital Lease Obligation was $205 Mil.

Interest Coverage	=	-1	*	Operating Income (A: Dec. 2016 )	/	Interest Expense (A: Dec. 2016 )
	=	-1	*	136.7	/	-4.16
	=	32.86

Buffalo Wild Wings's Interest Coverage for the quarter that ended in Sep. 2017 is calculated as

Here, for the three months ended in Sep. 2017, Buffalo Wild Wings's Interest Expense was $-4 Mil. Its Operating Income was $28 Mil. And its Long-Term Debt & Capital Lease Obligation was $420 Mil.

Interest Coverage	=	-1	*	Operating Income (Q: Sep. 2017 )	/	Interest Expense (Q: Sep. 2017 )
	=	-1	*	28.424	/	-3.814
	=	7.45

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

Buffalo Wild Wings (NAS:BWLD) 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 .

Buffalo Wild Wings Interest Coverage Related Terms

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

Buffalo Wild Wings (Buffalo Wild Wings) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Restaurants » Buffalo Wild Wings Inc (NAS:BWLD) » Definitions » Interest Coverage

Comparable Companies

Traded in Other Exchanges

N/A

Address

Website

http://www.buffalowildwings.com

Buffalo Wild Wings operates and franchises restaurants under the names Buffalo Wild Wings, R Taco, and PizzaRev. The Buffalo Wild Wings restaurants, which provide the vast majority of company revenue, have sports-bar atmospheres and feature Buffalo-style chicken wings. The restaurants are designed for group gatherings and feature projection screens and dozens of televisions. About half of the company's restaurants are franchised. The company has a centralized supply chain that serves all company-owned and franchised restaurants. The majority of its restaurants are in the United States, but the company has a small presence in Canada and Mexico and is expanding to the Middle East and Asia.

Executives

Richard Mcguire	director	FOUR EMBARCADERO CENTER, SUITE 2100, SAN FRANCISCO CA 94111
Alexander H Ware	officer: Chief Financial Officer	4000 DAIN RAUSCHER PLAZA, 60 SOUTH SIXTH STREET, MINNEAPOLIS MN 55402
Andre J Fernandez	director	333 WEST STATE STREET, MILWAUKEE WI 53203
Harmit J Singh	director	71 SOUTH WACKER DRIVE, 12TH FLOOR, CHICAGO IL 60606
Cindy L Davis	director	2635 SW GRENWOLDE PLACE, PORTLAND OR 97201
Andrew D. Block	officer: SVP-Talent Management	5500 WAYZATA BOULEVARD, SUITE 1600, MINNEAPOLIS MN 55416
Lawton Iii Harry A	director	C/O EBAY INC., 2065, SAN JOSE CA 95125
Marcato Capital Management Llc	director	FOUR EMBARCADERO CENTER, SUITE 2100, SAN FRANCISCO CA 94111
Marcato International Master Fund, Ltd.	director	C/O OGIER FIDUCIARY SERVICES (CAYMAN)LTD, 89 NEXUS WAY, CAMANA BAY, GRAND CAYMAN E9 KY1-9007
Janice L Fields	director	800 NORTH LINDBERGH BLVD., ST. LOUIS MO 63167
Scott Bergren	director	1441 GARDINER LANE, LOUISVILLE KY 40213
Sally J Smith	officer: CEO & President	5500 WAYZATA BLVD., SUITE 1600, MINNEAPOLIS MN 55416
Sam Brian Rovit	director	KRAFT FOODS GROUP, INC., THREE LAKES DRIVE, NORTHFIELD IL 60093
Michael P Johnson	director	2431 EAST 61ST STREET, TULSA OK 74136
Mary J Twinem	officer: Exec VP, CFO & Treasurer	5500 WAYZATA BLVD., SUITE 1600, MINNEAPOLIS MN 55416