TripAdvisor (NAS:TRIP) Interest Coverage

: 0 (At Loss) (As of Mar. 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. TripAdvisor's Operating Income for the three months ended in Mar. 2023 was $-14 Mil. TripAdvisor's Interest Expense for the three months ended in Mar. 2023 was $-11 Mil. did not have earnings to cover the interest expense. The higher the ratio, the stronger the company's financial strength is.

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

TRIP' s Interest Coverage Range Over the Past 10 Years
Min: 2.3 Med: 19.23 Max: 37.78
Current: 2.43

TRIP's Interest Coverage is ranked worse than
69.75% of 529 companies
in the Travel & Leisure industry
Industry Median: 6.51 vs TRIP: 2.43

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

TripAdvisor Interest Coverage Historical Data

The historical data trend for TripAdvisor'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.

TripAdvisor Annual Data

Trend

Dec13

Dec14

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Interest Coverage

15.25

26.86

2.30

TripAdvisor Quarterly Data
	Jun18	Sep18	Dec18	Mar19	Jun19	Sep19	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23
Interest Coverage																-	5.73	6.36	-	-

Competitive Comparison

For the Travel Services subindustry, TripAdvisor'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.

Annual Data Quarterly Data

TripAdvisor Interest Coverage Distribution

For the Travel & Leisure industry and Consumer Cyclical sector, TripAdvisor's Interest Coverage distribution charts can be found below:

* The bar in red indicates where TripAdvisor's Interest Coverage falls in comparison to its industry or sector. The grey bar indicates the Interest Coverage's extreme value range as defined by GuruFocus.

TripAdvisor 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.

TripAdvisor'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, TripAdvisor's Interest Expense was $-44 Mil. Its Operating Income was $101 Mil. And its Long-Term Debt & Capital Lease Obligation was $909 Mil.

Interest Coverage	=	-1	*	Operating Income (A: Dec. 2022 )	/	Interest Expense (A: Dec. 2022 )
	=	-1	*	101	/	-44
	=	2.30

TripAdvisor's Interest Coverage for the quarter that ended in Mar. 2023 is calculated as

Here, for the three months ended in Mar. 2023, TripAdvisor's Interest Expense was $-11 Mil. Its Operating Income was $-14 Mil. And its Long-Term Debt & Capital Lease Obligation was $906 Mil.

TripAdvisor did not have earnings to cover the interest expense.

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

TripAdvisor (NAS:TRIP) 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 .

TripAdvisor Interest Coverage Related Terms

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

TripAdvisor (NAS:TRIP) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Travel & Leisure » TripAdvisor Inc (NAS:TRIP) » Definitions » Interest Coverage

Comparable Companies

Traded in Other Exchanges

TRIP:Mexico TRIP:Italy T6A:Germany T1RI34:Brazil TRIP:Austria TRIP:Argentina

Address

400 1st Avenue, Needham, MA, USA, 02494

Website

https://www.tripadvisor.com

TripAdvisor is the world's leading travel metasearch company. The website offers 1 billion reviews and information on about 8 million accommodations, restaurants, experiences, airlines, and cruises. In 2021, 74% of revenue came from the company's core segment, which includes hotel revenue generated through advertising on its metasearch platform. Viator, its experiences brand, was 20% of sales in 2021, and TheFork, its dining brand, represented 9% of revenue (about 3% of sales were intersegment, which are eliminated from consolidated revenue).

Executives

Michael Noonan	officer: CFO & SVP	C/O TRIPADVISOR, INC., 400 1ST AVENUE, NEEDHAM MA 02494
Matt Goldberg	director, officer: CEO and President	2 WISCONSIN CIRCLE, 7TH FLOOR, CHEVY CHASE MD 20815
Jay C Hoag	director	250 MIDDLEFIELD ROAD, MENLO PARK CA 94025
Jie Sun	director	BUILDING 16#, NO. 968 JIN ZHONG ROAD, SHANGHAI F4 200335
Kanika Soni	officer: Chief Commercial Officer	C/O TRIPADVISOR INC., 400 1ST AVENUE, NEEDHAM MA 02494
Lindsay Nelson	officer: Chief Experience&Brand Officer	C/O TRIPADVISOR INC., 400 FIRST AVENUE, NEEDHAM MA 02494
Certares Ltrip Llc	director	350 MADISON AVENUE 8TH FLOOR, NEW YORK NY 10017
Pemrose Corp	director	350 MADISON AVENUE 8TH FLOOR, NEW YORK NY 10017
Certares Holdings (blockable) Llc	director	350 MADISON AVENUE 8TH FLOOR, NEW YORK NY 10017
Certares Holdings Llc	director	350 MADISON AVENUE 8TH FLOOR, NEW YORK NY 10017
Certares Holdings (optional) Llc	director	350 MADISON AVENUE 8TH FLOOR, NEW YORK NY 10017
Certares Management Llc	director	350 MADISON AVENUE 8TH FLOOR, NEW YORK NY 10017
Clementine Investments Llc	director	350 MADISON AVENUE 8TH FLOOR, NEW YORK NY 10017
Farmer Colin Michael	director	C/O CERTARES MANAGEMENT LLC, 350 MADISON AVENUE, 8TH FLOOR, NEW YORK NY 10017
Michael Gregory Ohara	director	C/O CERTARES MANAGEMENT LLC, 350 MADISON AVENUE, 8TH FLOOR, NEW YORK NY 10017