Douglas Emmett (Douglas Emmett) Interest Coverage

: 0.53 (As of Dec. 2023)

View and export this data going back to 2006. Start your Free Trial

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. Douglas Emmett's Operating Income for the three months ended in Dec. 2023 was $31 Mil. Douglas Emmett's Interest Expense for the three months ended in Dec. 2023 was $-58 Mil. Douglas Emmett's interest coverage for the quarter that ended in Dec. 2023 was 0.53. 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. Douglas Emmett Incs earnings cannot cover its interest expense. If the situation continues, the company may have to issue more debt.

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

DEI' s Interest Coverage Range Over the Past 10 Years
Min: 0.71 Med: 1.46 Max: 1.89
Current: 0.71

DEI's Interest Coverage is ranked worse than
93.06% of 677 companies
in the REITs industry
Industry Median: 3.01 vs DEI: 0.71

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

Douglas Emmett Interest Coverage Historical Data

The historical data trend for Douglas Emmett'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.

Douglas Emmett Annual Data

Trend

Dec14

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Interest Coverage

1.69

1.13

1.36

1.61

0.71

Douglas Emmett Quarterly Data
	Mar19	Jun19	Sep19	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23
Interest Coverage																1.57	1.29	0.63	0.51	0.53

Competitive Comparison

For the REIT - Office subindustry, Douglas Emmett'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.

Douglas Emmett Interest Coverage Distribution

For the REITs industry and Real Estate sector, Douglas Emmett's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Douglas Emmett's Interest Coverage falls into.

Douglas Emmett 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.

Douglas Emmett'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, Douglas Emmett's Interest Expense was $-209 Mil. Its Operating Income was $150 Mil. And its Long-Term Debt & Capital Lease Obligation was $5,554 Mil.

Interest Coverage	=	-1	*	Operating Income (A: Dec. 2023 )	/	Interest Expense (A: Dec. 2023 )
	=	-1	*	149.67	/	-209.468
	=	0.71

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

Here, for the three months ended in Dec. 2023, Douglas Emmett's Interest Expense was $-58 Mil. Its Operating Income was $31 Mil. And its Long-Term Debt & Capital Lease Obligation was $5,554 Mil.

Interest Coverage	=	-1	*	Operating Income (Q: Dec. 2023 )	/	Interest Expense (Q: Dec. 2023 )
	=	-1	*	30.661	/	-57.609
	=	0.53

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

Douglas Emmett (NYSE:DEI) 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 .

Douglas Emmett Interest Coverage Related Terms

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

Douglas Emmett (Douglas Emmett) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Real Estate » REITs » Douglas Emmett Inc (NYSE:DEI) » Definitions » Interest Coverage

Comparable Companies

Traded in Other Exchanges

D8K:Germany

Address

1299 Ocean Avenue, Suite 1000, Santa Monica, CA, USA, 90401

Website

https://www.douglasemmett.com

Douglas Emmett Inc is a real estate investment trust that acquires, develops, and manages office and multifamily properties in Los Angeles, California and Honolulu, Hawaii in the U.S. The company focuses on owning assets in communities with large supply constraints, such as the affluent neighborhoods of Los Angeles. The vast majority of Douglas Emmett's real estate portfolio is comprised of office buildings in Los Angeles. Most of these assets are located in the areas of Sherman Oaks, Woodland Hills, and Beverly Hills in terms of total square feet. Douglas Emmett derives nearly all of its income in the form of rental revenue from tenants. The vast majority of this also comes from its Los Angeles office buildings. The company's major tenants are legal, financial, and entertainment firms.

Executives

Simon William E Jr	director	1299 OCEAN AVENUE, SUITE 1000, SANTA MONICA CA 90401
Michele L Aronson	officer: EVP, GEN COUNSEL & SECY	1299 OCEAN AVENUE, SUITE 1000, SANTA MONICA CA 90401
Shirley Wang	director	DOUGLAS EMMETT, INC., 1299 OCEAN AVENUE, SUITE 1000, SANTA MONICA CA 90401
Jordan L Kaplan	director, officer: Chief Exec Officer, President	1299 OCEAN AVENUE, SUITE 1000, SANTA MONICA CA 90401
David T Feinberg	director	1299 OCEAN AVENUE, SUITE 1000, SANTA MONICA CA 90401
Leslie E Bider	director	1299 OCEAN AVENUE, SUITE 1000, SANTA MONICA CA 90401
Ray C Leonard	director	DOUGLAS EMMETT, INC., 1299 OCEAN AVENUNE, SUITE 1000, SANTA MONICA CA 90401
Virginia Mcferran	director	1299 OCEAN AVENUE, SUITE 1000, SANTA MONICA CA 90401
Peter Seymour	officer: Chief Financial Officer	1299 OCEAN AVENUE, SUITE 1000, SANTA MONICA CA 90401
Kevin Andrew Crummy	officer: Chief Investment Officer	1299 OCEAN AVENUE, SUITE 1000, SANTA MONICA CA 90401
Kenneth M Panzer	director, officer: Chief Operating Officer	1299 OCEAN AVENUE, SUITE 1000, SANTA MONICA CA 90401
O Hern Thomas E	director	THE MACERICH COMPANY, 401 WILSHIRE BVLD., STE. 700, SANTA MONICA CA 90401
Johnese Spisso	director	4500 DORR STREET, TOLEDO OH 43615
Dan A Emmett	director, officer: Chairman of the Board	1299 OCEAN AVENUE, SUITE 1000, SANTA MONICA CA 90401
Dorene Dominguez	director	C/O CIT GROUP INC, GENERAL COUNSEL, 1 CIT DRIVE, #3251-9, LIVINGSTON NJ 07039