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Liberty Formula One Group Interest Coverage

: 0.66 (As of Mar. 2022)
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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. Liberty Formula One Group's Operating Income for the three months ended in Mar. 2022 was $19 Mil. Liberty Formula One Group's Interest Expense for the three months ended in Mar. 2022 was $-29 Mil. Liberty Formula One Group's interest coverage for the quarter that ended in Mar. 2022 was 0.66. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Liberty Formula One Group's Interest Coverage or its related term are showing as below:

FWONA' s Interest Coverage Range Over the Past 10 Years
Min: 0.33   Med: 6.17   Max: 23.32
Current: 0.88


FWONA's Interest Coverage is ranked worse than
91.84% of 637 companies
in the Media - Diversified industry
Industry Median: 17.05 vs FWONA: 0.88

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


Liberty Formula One Group Interest Coverage Historical Data

The historical data trend for Liberty Formula One Group'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.

* Premium members only.

Liberty Formula One Group Annual Data
Trend Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21
Interest Coverage
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only - - - - 0.33

Liberty Formula One Group Quarterly Data
Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22
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 - - 2.13 2.07 0.66

Competitive Comparison

For the Entertainment subindustry, Liberty Formula One Group'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.

   

Liberty Formula One Group Interest Coverage Distribution

For the Media - Diversified industry and Communication Services sector, Liberty Formula One Group's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Liberty Formula One Group's Interest Coverage falls into.



Liberty Formula One Group 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.


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

Liberty Formula One Group's Interest Coverage for the fiscal year that ended in Dec. 2021 is calculated as

Here, for the fiscal year that ended in Dec. 2021, Liberty Formula One Group's Interest Expense was $-123 Mil. Its Operating Income was $40 Mil. And its Long-Term Debt & Capital Lease Obligation was $2,936 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2021 )/Interest Expense (A: Dec. 2021 )
=-1*40/-123
=0.33

Liberty Formula One Group's Interest Coverage for the quarter that ended in Mar. 2022 is calculated as

Here, for the three months ended in Mar. 2022, Liberty Formula One Group's Interest Expense was $-29 Mil. Its Operating Income was $19 Mil. And its Long-Term Debt & Capital Lease Obligation was $2,936 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2022 )/Interest Expense (Q: Mar. 2022 )
=-1*19/-29
=0.66

* 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.


Liberty Formula One Group  (NAS:FWONA) 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 .


Liberty Formula One Group Interest Coverage Related Terms

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


Liberty Formula One Group Business Description

Liberty Formula One Group logo
Traded in Other Exchanges
Address
12300 Liberty Boulevard, Englewood, CO, USA, 80112
Formula One Group controls the exclusive commercial and promotional rights to the FIA Formula One World Championship series, and the monetization of those rights is the primary business of the group. The firm is responsible for development and promotion of the Formula One race series in concert with its three partners: the FIA (the regulatory body), the teams that participate in the series, and the series' commercial partners, which include the race promoters, broadcasters, sponsors, and advertisers. Formula One Group is a subsidiary of Liberty Media Corporation, which purchased the firm in January 2017. Formula One stock is a tracking stock for the assets under Formula One Group with Liberty Media.

Liberty Formula One Group Headlines

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