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Twenty-First Century Fox (FRA:NWXA) Interest Coverage : 4.75 (As of Dec. 2018)


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What is Twenty-First Century Fox 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. Twenty-First Century Fox's Operating Income for the three months ended in Dec. 2018 was €1,227 Mil. Twenty-First Century Fox's Interest Expense for the three months ended in Dec. 2018 was €-258 Mil. Twenty-First Century Fox's interest coverage for the quarter that ended in Dec. 2018 was 4.75. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Twenty-First Century Fox's Interest Coverage or its related term are showing as below:


FRA:NWXA's Interest Coverage is not ranked *
in the Media - Diversified industry.
Industry Median: 11.915
* 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.


Twenty-First Century Fox Interest Coverage Historical Data

The historical data trend for Twenty-First Century Fox'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.

Twenty-First Century Fox Interest Coverage Chart

Twenty-First Century Fox Annual Data
Trend Jun09 Jun10 Jun11 Jun12 Jun13 Jun14 Jun15 Jun16 Jun17 Jun18
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 4.90 4.93 5.06 5.38 5.11

Twenty-First Century Fox Quarterly Data
Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18
Interest Coverage Get a 7-Day Free Trial 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 4.07 5.58 5.58 5.68 4.75

Competitive Comparison of Twenty-First Century Fox's Interest Coverage

For the Broadcasting subindustry, Twenty-First Century Fox'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.


Twenty-First Century Fox's Interest Coverage Distribution in the Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Twenty-First Century Fox's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Twenty-First Century Fox's Interest Coverage falls into.



Twenty-First Century Fox 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.

Twenty-First Century Fox's Interest Coverage for the fiscal year that ended in Jun. 2018 is calculated as

Here, for the fiscal year that ended in Jun. 2018, Twenty-First Century Fox's Interest Expense was €-1,068 Mil. Its Operating Income was €5,460 Mil. And its Long-Term Debt & Capital Lease Obligation was €15,809 Mil.

Interest Coverage=-1* Operating Income (A: Jun. 2018 )/Interest Expense (A: Jun. 2018 )
=-1*5460.424/-1068.288
=5.11

Twenty-First Century Fox's Interest Coverage for the quarter that ended in Dec. 2018 is calculated as

Here, for the three months ended in Dec. 2018, Twenty-First Century Fox's Interest Expense was €-258 Mil. Its Operating Income was €1,227 Mil. And its Long-Term Debt & Capital Lease Obligation was €16,104 Mil.

Interest Coverage=-1* Operating Income (Q: Dec. 2018 )/Interest Expense (Q: Dec. 2018 )
=-1*1227.084/-258.426
=4.75

* 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.


Twenty-First Century Fox  (FRA:NWXA) 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 .


Twenty-First Century Fox Interest Coverage Related Terms

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Twenty-First Century Fox (FRA:NWXA) Business Description

Traded in Other Exchanges
N/A
Address
1211 Avenue of the Americas, New York, NY, USA, 10036
21st Century Fox is a media conglomerate with a wide range of assets: a film studio, which creates television programs and movies; broadcast television, including the Fox broadcast network and local TV stations in the U.S.; cable networks, which comprise over 300 channels around the world; and direct-broadcast satellite TV in the form of Sky, a satellite pay-tv provider in Europe.

Twenty-First Century Fox (FRA:NWXA) Headlines

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