>
Switch to:

GreenSky Interest Coverage

: 8.51 (As of Jun. 2021)
View and export this data going back to 2018. Start your Free Trial

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. GreenSky's Operating Income for the three months ended in Jun. 2021 was $57.2 Mil. GreenSky's Interest Expense for the three months ended in Jun. 2021 was $-6.7 Mil. GreenSky's interest coverage for the quarter that ended in Jun. 2021 was 8.51. The higher the ratio, the stronger the company's financial strength is.

Warning Sign:

Ben Graham prefers companies interest coverage is at least 5. GreenSky Inc interest coverage is 4.38, which is low.

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

NAS:GSKY' s Interest Coverage Range Over the Past 10 Years
Min: 2.1   Med: 12.96   Max: No Debt
Current: 4.38

2.1
No Debt

NAS:GSKY's Interest Coverage is ranked higher than
52% of the 236 Companies
in the Software industry.

( Industry Median: 90.30 vs. NAS:GSKY: 4.38 )

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


GreenSky Interest Coverage Historical Data

The historical data trend for GreenSky'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.

GreenSky Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20
Interest Coverage
Premium Member Only No Debt 19.32 6.60 4.96 2.10

GreenSky Quarterly Data
Dec15 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21
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 3.34 1.36 4.67 2.98 8.51

Competitive Comparison

For the Software - Infrastructure subindustry, GreenSky'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.

   

GreenSky Interest Coverage Distribution

For the Software industry and Technology sector, GreenSky's Interest Coverage distribution charts can be found below:

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



GreenSky 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.

GreenSky's Interest Coverage for the fiscal year that ended in Dec. 2020 is calculated as

Here, for the fiscal year that ended in Dec. 2020, GreenSky's Interest Expense was $-25.0 Mil. Its Operating Income was $52.5 Mil. And its Long-Term Debt & Capital Lease Obligation was $452.8 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2020 )/Interest Expense (A: Dec. 2020 )
=-1*52.54/-25.024
=2.10

GreenSky's Interest Coverage for the quarter that ended in Jun. 2021 is calculated as

Here, for the three months ended in Jun. 2021, GreenSky's Interest Expense was $-6.7 Mil. Its Operating Income was $57.2 Mil. And its Long-Term Debt & Capital Lease Obligation was $469.6 Mil.

Interest Coverage=-1* Operating Income (Q: Jun. 2021 )/Interest Expense (Q: Jun. 2021 )
=-1*57.204/-6.721
=8.51

* 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.


GreenSky  (NAS:GSKY) 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 .


GreenSky Interest Coverage Related Terms

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


GreenSky Business Description

GreenSky logo
Industry
Technology » Software NAICS : 511210 SIC : 7379
Traded in Other Exchanges
N/A
Address
5565 Glenridge Connector, Suite 700, Atlanta, GA, USA, 30342
GreenSky Inc operates as a technology company. The company offers a proprietary technology infrastructure platform to supports the full transaction lifecycle, including credit application, underwriting, and real-time allocation. Its platform caters to merchants, consumers, and banks.
Executives
Kevin Goldstein officer: EVP - Chief Credit Officer 5565 GLENRIDGE CONNECTOR SUITE 700 ATLANTA 2Q 30342
Kang Andrew officer: EVP and CFO 5565 GLENRIDGE CONNECTOR SUITE 700 ATLANTA GA 30342
Nagy Angela M officer: SVP, Chief Accounting Officer 1155 PERIMETER CENTER WEST ATLANTA GA 30338
Freishtat Gregg Steven director 5860 WINTERTHUR DRIVE ATLANTA GA 30328
Sheft Robert director, 10 percent owner 623 FIFTH AVENUE 26TH FLOOR NEW YORK NY 10022
Babbit Joel M. director 3120 BRECKINRIDGE BLVD. DULUTH GA 30099
Bacci Arthur J director PUBLIC "-//W3C//DTD HTML 4.0 Transitional//EN"> Ownership Information: BACCI ARTHUR J a.header:link {color: #3b4fae; font-weight: bold; text-decoration: underline;} a.header:visited {color: #3b4fae; font-weight: bold; text-decoration: underline;} a.header:hover {color: #191970;}
Coulter James G other: Former 10% Owner 301 COMMERCE STREET SUITE 3300 FORT WORTH TX 76102
Tpg Growth Ii Advisors, Inc. other: Former 10% Owner 301 COMMERCE STREET SUITE 3300 FORT WORTH TX 76102
Bonderman David other: Former 10% Owner 301 COMMERCE STREET SUITE 3300 FORT WORTH TX 76102
Rickard Lois Elizabeth officer: Chief Human Resources Officer 1230 PEACHTREE ST NE SUITE 1000 ATLANTA GA 30309
Fox Steven E officer: EVP - Chief Legal Officer 229 PEACHTREE ST NE 2700 INTERNATIONAL TOWER ATLANTA GA 303031603
Vastani Minaz officer: Chief Technology Officer 5565 GLENRIDGE CONNECTOR, SUITE 700 ATLANTA GA 30342
Gupta Ritesh officer: EVP, Operations 5565 GLENRIDGE CONNECTOR SUITE 700 ATLANTA GA 30342
Kelly Dennis I officer: President, Patient Solutions 10720 SIKES PL STE 300 CHARLOTTE NC 28277

GreenSky Headlines

Other Sources

Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)