Axcelis Technologies Inc (ACLS)
Interest coverage
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | 235,736 | 283,946 | 210,461 | 125,263 | 61,097 |
| Interest expense | US$ in thousands | 5,462 | 5,347 | 5,576 | 4,835 | 5,211 |
| Interest coverage | 43.16 | 53.10 | 37.74 | 25.91 | 11.72 |
December 31, 2024 calculation
Interest coverage = EBIT ÷ Interest expense
= $235,736K ÷ $5,462K
= 43.16
The interest coverage ratio of Axcelis Technologies Inc has been showing a positive trend over the past five years, indicating the company's ability to comfortably cover its interest expenses with its operating income.
In 2020, the interest coverage ratio was 11.72, suggesting that the company generated operating income 11.72 times higher than its interest expenses. This ratio improved significantly in 2021 to 25.91, and continued to rise in the following years, reaching 37.74 in 2022, 53.10 in 2023, and 43.16 in 2024.
The increasing trend in the interest coverage ratio reflects the company's improved financial health and indicates its capacity to meet interest obligations with ease. This suggests that Axcelis Technologies Inc is efficiently managing its debt and is in a strong position to handle its interest payments in the foreseeable future.
Peer comparison
Dec 31, 2024