Expeditors International of Washington (Expeditors International of Washington) Interest Coverage

: 1,254.08 (As of Dec. 2023)

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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. Expeditors International of Washington's Operating Income for the three months ended in Dec. 2023 was $199 Mil. Expeditors International of Washington's Interest Expense for the three months ended in Dec. 2023 was $-0 Mil. Expeditors International of Washington's interest coverage for the quarter that ended in Dec. 2023 was 1,254.08. 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. Expeditors International of Washington Inc has enough cash to cover all of its debt. Its financial situation is stable.

The historical rank and industry rank for Expeditors International of Washington's Interest Coverage or its related term are showing as below:

EXPD' s Interest Coverage Range Over the Past 10 Years
Min: 78.38 Med: No Debt Max: No Debt
Current: 195.82

EXPD's Interest Coverage is ranked better than
95.34% of 816 companies
in the Transportation industry
Industry Median: 5.605 vs EXPD: 195.82

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

Expeditors International of Washington Interest Coverage Historical Data

The historical data trend for Expeditors International of Washington'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.

Expeditors International of Washington Annual Data

Trend

Dec14

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Interest Coverage

N/A

4,294.23

4,645.56

78.38

195.82

Expeditors International of Washington Quarterly Data
	Mar19	Jun19	Sep19	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23
Interest Coverage																14.82	104.34	629.11	134.96	1,254.08

Competitive Comparison

For the Integrated Freight & Logistics subindustry, Expeditors International of Washington'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.

Expeditors International of Washington Interest Coverage Distribution

For the Transportation industry and Industrials sector, Expeditors International of Washington's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Expeditors International of Washington's Interest Coverage falls into.

Expeditors International of Washington 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.

Expeditors International of Washington'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, Expeditors International of Washington's Interest Expense was $-5 Mil. Its Operating Income was $940 Mil. And its Long-Term Debt & Capital Lease Obligation was $428 Mil.

Interest Coverage	=	-1	*	Operating Income (A: Dec. 2023 )	/	Interest Expense (A: Dec. 2023 )
	=	-1	*	939.933	/	-4.8
	=	195.82

Expeditors International of Washington's Interest Coverage for the quarter that ended in Dec. 2023 is calculated as

Here, for the three months ended in Dec. 2023, Expeditors International of Washington's Interest Expense was $-0 Mil. Its Operating Income was $199 Mil. And its Long-Term Debt & Capital Lease Obligation was $428 Mil.

Interest Coverage	=	-1	*	Operating Income (Q: Dec. 2023 )	/	Interest Expense (Q: Dec. 2023 )
	=	-1	*	199.398	/	-0.159
	=	1,254.08

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

Expeditors International of Washington (NYSE:EXPD) 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 .

Expeditors International of Washington Interest Coverage Related Terms

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

Expeditors International of Washington (Expeditors International of Washington) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Industrials » Transportation » Expeditors International of Washington Inc (NYSE:EXPD) » Definitions » Interest Coverage

Comparable Companies

Traded in Other Exchanges

EXPD:Mexico EW1:Germany

Address

1015 Third Avenue, Seattle, WA, USA, 98104

Website

https://www.expeditors.com

Expeditors International of Washington is a non-asset-based third-party logistics provider, mainly focused on international freight forwarding. Its offers freight consolidation and forwarding, customs brokerage, warehousing and distribution, purchase order management, vendor consolidation, and numerous other value-added logistics services. It employs sophisticated IT systems and contracts with airlines and ocean carriers to move customers' freight across the globe. The firm operates more than 200 full-service office locations worldwide, in addition to numerous satellite locations. In 2022, Expeditors derived 34% of consolidated net revenue from airfreight, 30% from ocean freight, and 36% from customs brokerage and other services.

Executives

Jeffrey S Musser	officer: Senior VP and CIO	C/O EXPEDITORS, 1015 THIRD AVENUE, SEATTLE WA 981041190
Jeffrey F Dickerman	officer: Senior VP - General Counsel	1015 THIRD AVENUE, SEATTLE WA 98104
Benjamin G. Clark	officer: Senior VP - General Counsel	1015 THIRD AVENUE, 12TH FLOOR, SEATTLE WA 98110
Bradley S Powell	officer: Chief Financial Officer	C/O EXPEDITORS, 1015 THIRD AVE, SEATTLE WA 981041190
Blake R Bell	officer: President, Global Products	1015 THIRD AVENUE, SEATTLE WA 98104
Eugene K Alger	officer: Executive VP-North America	1015 THIRD AVENUE, SEATTLE WA 981041190
Brandon Pedersen	director	EXPEDITORS, 1015 THIRD AVE, SEATTLE WA 98104
Robert R Wright	director	C/O EXPEDITORS, 1015 THIRD AVE, SEATTLE WA 981041190
Olivia D Polius	director	C/O EXPEDITORS, 1015 THIRD AVENUE, SEATTLE WA 98104
Christopher J. Mcclincy	officer: Senior VP - CIO	1015 THIRD AVENUE, 12TH FLOOR, SEATTLE WA 98104-1190
Glenn M Alger	director	1015 THIRD AVENUE, SEATTLE WA 981041190
Daniel R Wall	officer: SVP - Ocean Services	C/O EXPEDITORS, 1015 THIRD AVENUE, SEATTLE WA 981041190
Richard H Rostan	officer: President - Global Geographies	C/O EXPEDITORS, 1015 THIRD AVENUE, SEATTLE WA 98104
Mark A Emmert	director	C/O EXPEDITORS, 1015 THIRD AVE, SEATTLE WA 981041190
Philip M Coughlin	officer: Executive VP-North America	1015 THIRD AVENUE, SEATTLE WA 981041190