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Western Marine Shipyard (DHA:WMSHIPYARD) Interest Coverage : 0.76 (As of Jun. 2023)


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What is Western Marine Shipyard 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. Western Marine Shipyard's Operating Income for the six months ended in Jun. 2023 was BDT275.8 Mil. Western Marine Shipyard's Interest Expense for the six months ended in Jun. 2023 was BDT-361.5 Mil. Western Marine Shipyard's interest coverage for the quarter that ended in Jun. 2023 was 0.76. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Western Marine Shipyard's Interest Coverage or its related term are showing as below:

DHA:WMSHIPYARD' s Interest Coverage Range Over the Past 10 Years
Min: 0.71   Med: 1.31   Max: 1.65
Current: 0.76


DHA:WMSHIPYARD's Interest Coverage is ranked worse than
94.76% of 210 companies
in the Aerospace & Defense industry
Industry Median: 6.855 vs DHA:WMSHIPYARD: 0.76

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


Western Marine Shipyard Interest Coverage Historical Data

The historical data trend for Western Marine Shipyard'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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Western Marine Shipyard Interest Coverage Chart

Western Marine Shipyard Annual Data
Trend Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23
Interest Coverage
Get a 7-Day Free Trial Premium Member Only 1.65 1.13 0.74 0.71 0.76

Western Marine Shipyard Semi-Annual Data
Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23
Interest Coverage Get a 7-Day Free Trial Premium Member Only 1.65 1.13 0.74 0.71 0.76

Competitive Comparison of Western Marine Shipyard's Interest Coverage

For the Aerospace & Defense subindustry, Western Marine Shipyard'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.


Western Marine Shipyard's Interest Coverage Distribution in the Aerospace & Defense Industry

For the Aerospace & Defense industry and Industrials sector, Western Marine Shipyard's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Western Marine Shipyard's Interest Coverage falls into.



Western Marine Shipyard 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.

Western Marine Shipyard's Interest Coverage for the fiscal year that ended in Jun. 2023 is calculated as

Here, for the fiscal year that ended in Jun. 2023, Western Marine Shipyard's Interest Expense was BDT-361.5 Mil. Its Operating Income was BDT275.8 Mil. And its Long-Term Debt & Capital Lease Obligation was BDT20,111.9 Mil.

Interest Coverage=-1* Operating Income (A: Jun. 2023 )/Interest Expense (A: Jun. 2023 )
=-1*275.827/-361.503
=0.76

Western Marine Shipyard's Interest Coverage for the quarter that ended in Jun. 2023 is calculated as

Here, for the six months ended in Jun. 2023, Western Marine Shipyard's Interest Expense was BDT-361.5 Mil. Its Operating Income was BDT275.8 Mil. And its Long-Term Debt & Capital Lease Obligation was BDT20,111.9 Mil.

Interest Coverage=-1* Operating Income (Q: Jun. 2023 )/Interest Expense (Q: Jun. 2023 )
=-1*275.827/-361.503
=0.76

* 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.


Western Marine Shipyard  (DHA:WMSHIPYARD) 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 .


Western Marine Shipyard Interest Coverage Related Terms

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


Western Marine Shipyard (DHA:WMSHIPYARD) Business Description

Traded in Other Exchanges
N/A
Address
1440/A Strand Road, Amin Future Park, 7th Floor, Chittagong, BGD, 4100
Western Marine Shipyard Ltd operates its business in the maritime industry. The company specializes in ship repairing and export of marine supplies. Its other business activities are to establish, build, construct shipyard, dockyard, slipway and to undertake ownership/management of shipyard and dockyard. The company builds different types of ships such as bulk carrier, container, tanker, passenger, petrol vassal, and fishing trawler.

Western Marine Shipyard (DHA:WMSHIPYARD) Headlines

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