China Everbright Environment Group (China Everbright Environment Group) Interest Coverage : 3.56 (As of Jun. 2023)

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What is China Everbright Environment Group Interest Coverage?

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. China Everbright Environment Group's Operating Income for the six months ended in Jun. 2023 was $791 Mil. China Everbright Environment Group's Interest Expense for the six months ended in Jun. 2023 was $-222 Mil. China Everbright Environment Group's interest coverage for the quarter that ended in Jun. 2023 was 3.56. The higher the ratio, the stronger the company's financial strength is.

Warning Sign:

Ben Graham prefers companies' interest coverage to be at least 5. China Everbright Environment Group Ltd interest coverage is 3.2, which is low.

The historical rank and industry rank for China Everbright Environment Group's Interest Coverage or its related term are showing as below:

CHFFF' s Interest Coverage Range Over the Past 10 Years
Min: 3.2 Med: 6.24 Max: 7.58
Current: 3.2

CHFFF's Interest Coverage is ranked worse than
68.6% of 172 companies
in the Waste Management industry
Industry Median: 5.235 vs CHFFF: 3.20

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

China Everbright Environment Group Interest Coverage Historical Data

The historical data trend for China Everbright Environment 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.

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.

* Premium members only.

China Everbright Environment Group Interest Coverage Chart

China Everbright Environment Group Annual Data

Trend

Dec14

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Interest Coverage

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5.34

5.29

4.73

3.41

3.20

China Everbright Environment Group Semi-Annual Data
	Jun14	Dec14	Jun15	Dec15	Jun16	Dec16	Jun17	Dec17	Jun18	Dec18	Jun19	Dec19	Jun20	Dec20	Jun21	Dec21	Jun22	Dec22	Jun23	Dec23
Interest Coverage	Get a 7-Day Free Trial															4.08	3.51	3.32	3.56	2.84

Competitive Comparison of China Everbright Environment Group's Interest Coverage

For the Waste Management subindustry, China Everbright Environment 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.

China Everbright Environment Group's Interest Coverage Distribution in the Waste Management Industry

For the Waste Management industry and Industrials sector, China Everbright Environment Group's Interest Coverage distribution charts can be found below:

* The bar in red indicates where China Everbright Environment Group's Interest Coverage falls into.

China Everbright Environment 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 ⁽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.

China Everbright Environment Group's Interest Coverage for the fiscal year that ended in Dec. 2022 is calculated as

Here, for the fiscal year that ended in Dec. 2022, China Everbright Environment Group's Interest Expense was $-441 Mil. Its Operating Income was $1,504 Mil. And its Long-Term Debt & Capital Lease Obligation was $9,575 Mil.

Interest Coverage	=	-1	*	Operating Income (A: Dec. 2022 )	/	Interest Expense (A: Dec. 2022 )
	=	-1	*	1504.408	/	-440.905
	=	3.41

China Everbright Environment Group's Interest Coverage for the quarter that ended in Jun. 2023 is calculated as

Here, for the six months ended in Jun. 2023, China Everbright Environment Group's Interest Expense was $-222 Mil. Its Operating Income was $791 Mil. And its Long-Term Debt & Capital Lease Obligation was $9,147 Mil.

Interest Coverage	=	-1	*	Operating Income (Q: Jun. 2023 )	/	Interest Expense (Q: Jun. 2023 )
	=	-1	*	790.502	/	-222.042
	=	3.56

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

China Everbright Environment Group (OTCPK:CHFFF) 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 .

China Everbright Environment Group Interest Coverage Related Terms

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

China Everbright Environment Group (China Everbright Environment Group) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Industrials » Waste Management » China Everbright Environment Group Ltd (OTCPK:CHFFF) » Definitions » Interest Coverage

Comparable Companies

Traded in Other Exchanges

CHFFY:USA 00257:Hong Kong CNE:Germany

Address

16 Harcourt Road, Room 2703, 27th Floor, Far East Finance Centre, Hong Kong, HKG

Website

https://www.cebenvironment.com

China Everbright Environment Group Ltd is engaged in construction, environmental energy project operation, Greentech project operation, environmental water project operation, the conduct of environmental protection technology research and development, provision of environmental-related technological services, design of environmental protection projects, provision of environmental protection project equipment construction and installation services and sales of related equipment, provision of waste sorting, renewable resources utilization, sanitation operation services, sales of energy-saving streetlights. Its segments are Environmental energy project construction and operation, Greentech project construction and operation, Environmental water project construction and operation, and Others.

China Everbright Environment Group (China Everbright Environment Group) Headlines

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