TTEC Holdings (TTEC Holdings) Interest Coverage

: 0.96 (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. TTEC Holdings's Operating Income for the three months ended in Dec. 2023 was $21 Mil. TTEC Holdings's Interest Expense for the three months ended in Dec. 2023 was $-22 Mil. TTEC Holdings's interest coverage for the quarter that ended in Dec. 2023 was 0.96. The higher the ratio, the stronger the company's financial strength is.

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

TTEC' s Interest Coverage Range Over the Past 10 Years
Min: 1.76 Med: 10 Max: 18.75
Current: 1.76

TTEC's Interest Coverage is ranked worse than
90.77% of 1603 companies
in the Software industry
Industry Median: 29.56 vs TTEC: 1.76

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

TTEC Holdings Interest Coverage Historical Data

The historical data trend for TTEC Holdings'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.

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TTEC Holdings Annual Data

Trend

Dec14

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Interest Coverage

6.76

12.22

18.75

5.21

1.76

TTEC Holdings Quarterly Data
	Mar19	Jun19	Sep19	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23
Interest Coverage																3.26	2.92	1.87	1.52	0.96

Competitive Comparison

For the Information Technology Services subindustry, TTEC Holdings'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.

TTEC Holdings Interest Coverage Distribution

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

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

TTEC Holdings 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.

TTEC Holdings'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, TTEC Holdings's Interest Expense was $-78 Mil. Its Operating Income was $138 Mil. And its Long-Term Debt & Capital Lease Obligation was $1,092 Mil.

Interest Coverage	=	-1	*	Operating Income (A: Dec. 2023 )	/	Interest Expense (A: Dec. 2023 )
	=	-1	*	137.795	/	-78.321
	=	1.76

TTEC Holdings's Interest Coverage for the quarter that ended in Dec. 2023 is calculated as

Here, for the three months ended in Dec. 2023, TTEC Holdings's Interest Expense was $-22 Mil. Its Operating Income was $21 Mil. And its Long-Term Debt & Capital Lease Obligation was $1,092 Mil.

Interest Coverage	=	-1	*	Operating Income (Q: Dec. 2023 )	/	Interest Expense (Q: Dec. 2023 )
	=	-1	*	20.72	/	-21.612
	=	0.96

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

TTEC Holdings (NAS:TTEC) 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 .

TTEC Holdings Interest Coverage Related Terms

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

TTEC Holdings (TTEC Holdings) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Technology » Software » TTEC Holdings Inc (NAS:TTEC) » Definitions » Interest Coverage

Comparable Companies

Traded in Other Exchanges

TH1:Germany TH1:Germany

Address

9197 South Peoria Street, Englewood, CO, USA, 80112

Website

https://www.ttec.com

TTEC Holdings Inc provides customer engagement management tools and services. The company operates through four operating segments that are organized into two groups, TTEC Digital and TTEC Engage. TTEC Digital is engaged in building and implementing cloud-based and on-premises customer experience tools that enable clients to develop customer engagement strategies. TTEC Engage focuses on delivering sales and marketing solutions to help clients boost their revenue as well as on managing customer's front-to-back office processes to optimize the customer experience. TTEC Engage contributes the vast majority of the company's revenue, and most of the sales are derived from the United States and Canada, followed by Philippines, Asia-Pacific and India.

Executives

Marc Holtzman	director	600 SEVENTEENTH STREET, SUITE 2800, DENVER CO 80202
Francois Bourret	officer: Interim CFO	9197 S. PEORIA ST., ENGLEWOOD CO 80112
David J. Seybold	officer: CEO, TTEC Digital	9197 S. PEORIA ST., ENGLEWOOD CO 80112
Michelle R Swanback	officer: CEO, TTEC Engage	7001 EAST BELLEVIEW AVENUE, DENVER CO 80237
Gregory A Conley	director	9197 S. PEORIA ST., ENGLEWOOD CO 80112
Margaret B Mclean	officer: SVP, GC, CRO & Corp. Sec.	9191 SOUTH JAMAICA STREET, ENGLEWOOD CO 80112
Dustin J. Semach	officer: Chief Financial Officer	1 FANATICAL PLACE, CITY OF WINDCREST, SAN ANTONIO TX 78218
Kenneth D Tuchman	director, 10 percent owner, officer: CEO & Chairman of the Board	C/O MARGARET MCLEAN, TTEC HOLDINGS INC, 9197 SOUTH PEORIA STREET, ENGLEWOOD CO 80112
Robert N Frerichs	director	C/O TTEC HOLDINGS, INC., 9197 S. PEORIA ST., ENGLEWOOD CO 80112
Gina Loften	director	9197 S. PEORIA ST., ENGLEWOOD CO 80112
George Demou	officer: President, TTEC Digital	9197 S. PEORIA ST., ENGLEWOOD CO 80112
Richard Sean Erickson	officer: SVP, Global Head-TTEC Engage	9197 S. PEORIA ST., ENGLEWOOD CO 80112
Judi Hand	officer: EVP, Chief Sales Officer	9197 S. PEORIA STREET, ENGLEWOOD CO 80112
Martin F Deghetto	officer: EVP, Global Operations	9197 SOUTH PEORIA STREET, ENGLEWOOD CO 80112
Tracy L Bahl	director