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Dialog Semiconductor (Dialog Semiconductor) Interest Coverage : 24.93 (As of Jun. 2021)


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What is Dialog Semiconductor 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. Dialog Semiconductor's Operating Income for the three months ended in Jun. 2021 was $31 Mil. Dialog Semiconductor's Interest Expense for the three months ended in Jun. 2021 was $-1 Mil. Dialog Semiconductor's interest coverage for the quarter that ended in Jun. 2021 was 24.93. The higher the ratio, the stronger the company's financial strength is.

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

DLGNF' s Interest Coverage Range Over the Past 10 Years
Min: 7.69   Med: 43.73   Max: 262.27
Current: 38.4


DLGNF's Interest Coverage is not ranked
in the Semiconductors industry.
Industry Median: 19.975 vs DLGNF: 38.40

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


Dialog Semiconductor Interest Coverage Historical Data

The historical data trend for Dialog Semiconductor'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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Dialog Semiconductor Interest Coverage Chart

Dialog Semiconductor Annual Data
Trend Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 201.96 205.79 84.00 38.05 23.11

Dialog Semiconductor Quarterly Data
Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21
Interest Coverage Get a 7-Day Free Trial 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 21.21 23.02 268.95 26.89 24.93

Competitive Comparison of Dialog Semiconductor's Interest Coverage

For the Semiconductors subindustry, Dialog Semiconductor'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.


Dialog Semiconductor's Interest Coverage Distribution in the Semiconductors Industry

For the Semiconductors industry and Technology sector, Dialog Semiconductor's Interest Coverage distribution charts can be found below:

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



Dialog Semiconductor 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.

Dialog Semiconductor'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, Dialog Semiconductor's Interest Expense was $-7 Mil. Its Operating Income was $156 Mil. And its Long-Term Debt & Capital Lease Obligation was $33 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2020 )/Interest Expense (A: Dec. 2020 )
=-1*156.298/-6.764
=23.11

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

Here, for the three months ended in Jun. 2021, Dialog Semiconductor's Interest Expense was $-1 Mil. Its Operating Income was $31 Mil. And its Long-Term Debt & Capital Lease Obligation was $29 Mil.

Interest Coverage=-1* Operating Income (Q: Jun. 2021 )/Interest Expense (Q: Jun. 2021 )
=-1*31.011/-1.244
=24.93

* 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.


Dialog Semiconductor  (OTCPK:DLGNF) 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 .


Dialog Semiconductor Interest Coverage Related Terms

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


Dialog Semiconductor (Dialog Semiconductor) Business Description

Traded in Other Exchanges
N/A
Address
St Katharine's Way, Tower Bridge House, London, GBR, E1W 1AA
Dialog Semiconductor PLC develops and manufactures semiconductor components for use in home appliances, networking, smart home, smart lighting and smart meter applications. Its product portfolio includes power management tools such as chargers, connectivity products, audio amplifiers, lighting solutions, multitouch sensors, and power conversion tools such as AC/DC adapters. The firm has design and manufacturing facilities in Europe and China, and operations in Europe, North America, and Asia.