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MasTec (FRA:MY8) Interest Coverage

: 0.99 (As of Sep. 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. MasTec's Operating Income for the three months ended in Sep. 2023 was €58 Mil. MasTec's Interest Expense for the three months ended in Sep. 2023 was €-59 Mil. MasTec's interest coverage for the quarter that ended in Sep. 2023 was 0.99. The higher the ratio, the stronger the company's financial strength is.

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

FRA:MY8' s Interest Coverage Range Over the Past 10 Years
Min: 0.43   Med: 6.11   Max: 7.79
Current: 0.43


FRA:MY8's Interest Coverage is ranked worse than
97.36% of 1252 companies
in the Construction industry
Industry Median: 7.42 vs FRA:MY8: 0.43

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


MasTec Interest Coverage Historical Data

The historical data trend for MasTec'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.

MasTec Annual Data
Trend Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22
Interest Coverage
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 5.69 7.67 7.54 7.79 1.11

MasTec Quarterly Data
Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23
Interest Coverage 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 Premium Member Only Premium Member Only Premium Member Only 3.02 1.07 - 1.15 0.99

Competitive Comparison

For the Engineering & Construction subindustry, MasTec'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.


MasTec Interest Coverage Distribution

For the Construction industry and Industrials sector, MasTec's Interest Coverage distribution charts can be found below:

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



MasTec 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.

MasTec's Interest Coverage for the fiscal year that ended in Dec. 2022 is calculated as

Here, for the fiscal year that ended in Dec. 2022, MasTec's Interest Expense was €-106 Mil. Its Operating Income was €118 Mil. And its Long-Term Debt & Capital Lease Obligation was €3,064 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2022 )/Interest Expense (A: Dec. 2022 )
=-1*118.113/-105.969
=1.11

MasTec's Interest Coverage for the quarter that ended in Sep. 2023 is calculated as

Here, for the three months ended in Sep. 2023, MasTec's Interest Expense was €-59 Mil. Its Operating Income was €58 Mil. And its Long-Term Debt & Capital Lease Obligation was €3,101 Mil.

Interest Coverage=-1* Operating Income (Q: Sep. 2023 )/Interest Expense (Q: Sep. 2023 )
=-1*58.113/-58.615
=0.99

* 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.


MasTec  (FRA:MY8) 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 .


MasTec Interest Coverage Related Terms

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


MasTec (FRA:MY8) Business Description

Traded in Other Exchanges
Address
800 S. Douglas Road, 12th Floor, Coral Gables, FL, USA, 33134
MasTec is a leading infrastructure construction company operating mainly in North America across a range of industries. The company's primary activities include the engineering, building, installation, maintenance, and upgrade of communications, oil and gas, utility, renewable energy, and other infrastructure. MasTec reports its results under five reportable segments: 1) communications; 2) clean energy and infrastructure; 3) oil and gas; 4) power delivery, and 5) other.

MasTec (FRA:MY8) Headlines

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