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Mohawk Industries Interest Coverage

: 30.51 (As of Jun. 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. Mohawk Industries's Operating Income for the three months ended in Jun. 2022 was $368 Mil. Mohawk Industries's Interest Expense for the three months ended in Jun. 2022 was $-12 Mil. Mohawk Industries's interest coverage for the quarter that ended in Jun. 2022 was 30.51. The higher the ratio, the stronger the company's financial strength is.

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

MHK' s Interest Coverage Range Over the Past 10 Years
Min: 5.08   Med: 16.09   Max: 43.53
Current: 25.7


MHK's Interest Coverage is ranked better than
58.62% of 319 companies
in the Furnishings, Fixtures & Appliances industry
Industry Median: 16.92 vs MHK: 25.70

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


Mohawk Industries Interest Coverage Historical Data

The historical data trend for Mohawk Industries'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.

Mohawk Industries 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 43.53 28.21 20.04 12.14 23.32

Mohawk Industries Quarterly Data
Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22
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 27.15 24.08 20.80 27.94 30.51

Competitive Comparison

For the Furnishings, Fixtures & Appliances subindustry, Mohawk Industries'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.

   

Mohawk Industries Interest Coverage Distribution

For the Furnishings, Fixtures & Appliances industry and Consumer Cyclical sector, Mohawk Industries's Interest Coverage distribution charts can be found below:

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



Mohawk Industries 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.

Mohawk Industries'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, Mohawk Industries's Interest Expense was $-57 Mil. Its Operating Income was $1,335 Mil. And its Long-Term Debt & Capital Lease Obligation was $1,998 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2021 )/Interest Expense (A: Dec. 2021 )
=-1*1335.011/-57.252
=23.32

Mohawk Industries's Interest Coverage for the quarter that ended in Jun. 2022 is calculated as

Here, for the three months ended in Jun. 2022, Mohawk Industries's Interest Expense was $-12 Mil. Its Operating Income was $368 Mil. And its Long-Term Debt & Capital Lease Obligation was $1,361 Mil.

Interest Coverage=-1* Operating Income (Q: Jun. 2022 )/Interest Expense (Q: Jun. 2022 )
=-1*367.927/-12.059
=30.51

* 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.


Mohawk Industries  (NYSE:MHK) 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 .


Mohawk Industries Interest Coverage Related Terms

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


Mohawk Industries Business Description

Mohawk Industries logo
Address
160 South Industrial Boulevard, Calhoun, GA, USA, 30701
Mohawk Industries manufactures a wide range of flooring products, including carpets, rugs, ceramic tile, laminate, wood, luxury vinyl tile, and vinyl flooring. The Georgia-based company has grown from a U.S.-focused carpeting manufacturer to a leading global player in the diversified flooring market. Mohawk operates three reporting segments: global ceramic ($3.6 billion of sales in 2019), North America flooring ($3.8 billion), and rest of the world flooring ($2.5 billion). The company generates approximately 60% of its sales in the United States.
Executives
Suing Clifford Charles officer: CAO and Corporate Controller 160 SOUTH INDUSTRIAL BLVD CALHOUN GA 30701
Burris Jerry W director 5500 WAYZATA BLVD., SUITE 600 GOLDEN VALLEY MN 55416
Lee Steven Hyosig officer: CAO and Corporate Controller 160 SOUTH INDUSTRIAL BLVD CALHOUN GA 30701
Engquist John director H&E EQUIPMENT SERVICES 11100 MEAD ROAD, SUITE 200 BATON ROUGE LA 70816
Landau Glenn R director, officer: Executive Vice President C/O INTERNATIONAL PAPER COMPANY 6400 POPLAR AVENU MEMPHIS TN 38197
De Cock Paul F officer: President-Flooring NA ALPHONSE RENARDSTRAAT 41 ELSENE C9 1050
Balcaen Filip director PAULINE VAN POTTELSBERGHELAAN 10 9051 SINT-DENIJS-WESTREM GENT C9 9051
Runge William Henry Iii director 3325 PIEDMONT ROAD #3103 ATLANTA GA 30305
Patton Rodney David officer: General Counsel - VP 5855 RIVERMOND DRIVE ATLANTA GA 30328
Carson Brian officer: President-Mohawk Flooring, other: President-Mohawk Flooring 3250 TWISTED BRANCHES LANE MARIETTA GA 30068-2479
Turner John C Jr officer: President-Dal-Tile, other: President-Dal-Tile 1009 WIMBERLY COURT ALLEN TX 75013-1195
Smith- Pilkington Karen A director 343 STATE STREET ROCHESTER NY 146500211
Ill Richard C director
Brunk James director, officer: Corporate Controller and CAO 251 MISTY HILL TRAIL DALLAS GA 30132
Thiers Bernard director NESTOR DE TIERESTRAAT 128 EINE C9 9700

Mohawk Industries Headlines

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