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Molson Coors Beverage Co Interest Coverage

: 8.35 (As of Sep. 2021)
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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. Molson Coors Beverage Co's Operating Income for the three months ended in Sep. 2021 was $529 Mil. Molson Coors Beverage Co's Interest Expense for the three months ended in Sep. 2021 was $-63 Mil. Molson Coors Beverage Co's interest coverage for the quarter that ended in Sep. 2021 was 8.35. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Molson Coors Beverage Co's Interest Coverage or its related term are showing as below:

NYSE:TAP' s Interest Coverage Range Over the Past 10 Years
Min: 1.06   Med: 3.57   Max: 5.95
Current: 5.95

1.06
5.95

NYSE:TAP's Interest Coverage is ranked lower than
69% of the 149 Companies
in the Beverages - Alcoholic industry.

( Industry Median: 15.96 vs. NYSE:TAP: 5.95 )

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


Molson Coors Beverage Co Interest Coverage Historical Data

The historical data trend for Molson Coors Beverage Co'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.

Molson Coors Beverage Co Annual Data
Trend Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20
Interest Coverage
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 1.06 4.91 4.51 5.24 4.85

Molson Coors Beverage Co Quarterly Data
Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21
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 8.37 3.81 2.88 8.69 8.35

Competitive Comparison

For the Beverages - Brewers subindustry, Molson Coors Beverage Co'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.

   

Molson Coors Beverage Co Interest Coverage Distribution

For the Beverages - Alcoholic industry and Consumer Defensive sector, Molson Coors Beverage Co's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Molson Coors Beverage Co's Interest Coverage falls into.



Molson Coors Beverage Co 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.

Molson Coors Beverage Co'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, Molson Coors Beverage Co's Interest Expense was $-275 Mil. Its Operating Income was $1,331 Mil. And its Long-Term Debt & Capital Lease Obligation was $7,208 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2020 )/Interest Expense (A: Dec. 2020 )
=-1*1331.3/-274.6
=4.85

Molson Coors Beverage Co's Interest Coverage for the quarter that ended in Sep. 2021 is calculated as

Here, for the three months ended in Sep. 2021, Molson Coors Beverage Co's Interest Expense was $-63 Mil. Its Operating Income was $529 Mil. And its Long-Term Debt & Capital Lease Obligation was $6,661 Mil.

Interest Coverage=-1* Operating Income (Q: Sep. 2021 )/Interest Expense (Q: Sep. 2021 )
=-1*528.8/-63.3
=8.35

* 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.


Molson Coors Beverage Co  (NYSE:TAP) 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 .


Molson Coors Beverage Co Interest Coverage Related Terms

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


Molson Coors Beverage Co Business Description

Molson Coors Beverage Co logo
Industry
Address
NH353, P.O. Box 4030, Golden, CO, USA, 80401
Molson Coors is the fifth- largest beer producer globally, boasting top-two positioning in the U.S., Canada, and many Central European markets. It brews and markets a slew of company-owned brands including Blue Moon, Coors, Miller, Vizzy, and Staropramen. It also sells various partner brands in certain locales such as Topo Chico (licensed from Coca-Cola), Amstel and Dos Equis in Canada (through an exclusive import/license arrangement with Heineken) and Corona in Central Europe (through an agreement with Anheuser-Busch InBev). The firm's go-to-market approach differs by geography as well, primarily using independent distributors in the U.S., but deploying hybrid models in Canada and Europe.
Executives
Herington Charles M director 1801 CALIFORNIA STREET, SUITE 4600 DENVER CO 80202
Eaton Roger G. director 1441 GARDINER LANE LOUISVILLE KY 40213
Napier Iain J G director 1801 CALIFORNIA STREET, SUITE 4600 DENVER CO 80202
Tough Douglas D. director 1801 CALIFORNIA STREET, SUITE 4600 DENVER CO 80202
Vachon Louis director 1155 METCALFE STREET MONTREAL QUEBEC CANADA E6 0000
Coors Peter H director, 10 percent owner, other: Vice Chairman of the Board 1801 CALIFORNIA STREET, SUITE 4600 DENVER CO 80202
Coors David S. director P.O. BOX 4030 NH353 GOLDEN CO 80401
Winnefeld James A Jr director 870 WINTER STREET WALTHAM MA 02451
Fergusonmchugh Marylynn director ONE PROCTER & GAMBLE PLAZA CINCINNATI OH 45202
Molson Andrew Thomas director, other: Chairman of the Board 1801 CALIFORNIA STREET, SUITE 4600 DENVER CO 80202
Riley H Sanford director 1801 CALIFORNIA STREET, SUITE 4600 DENVER CO 80202
Molson Geoffrey E. director 1801 CALIFORNIA STREET, SUITE 4600 DENVER CO 80202
Hobbs Franklin W Iv director 1801 CALIFORNIA STREET, SUITE 4600 DENVER CO 80202
Cox Simon officer: Pres&CEO, Molson Coors Europe 1801 CALIFORNIA STREET, SUITE 4600 DENVER CO 80202
Tabolt Brian officer: VP,Controller & Chf Acct Off 1801 CALIFORNIA STREET, SUITE 4600 DENVER CO 80202

Molson Coors Beverage Co Headlines

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