Autodesk Inc (ADSK)
Interest coverage
| Jan 31, 2024 | Jan 31, 2023 | Jan 31, 2022 | Jan 31, 2021 | Jan 31, 2020 | ||
|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | 1,128,000 | 989,000 | 618,000 | 629,000 | 343,000 |
| Interest expense | US$ in thousands | 8,000 | 43,000 | 65,000 | 82,400 | 54,000 |
| Interest coverage | 141.00 | 23.00 | 9.51 | 7.63 | 6.35 |
January 31, 2024 calculation
Interest coverage = EBIT ÷ Interest expense
= $1,128,000K ÷ $8,000K
= 141.00
Autodesk Inc's interest coverage has shown a positive trend over the past five years, indicating the company's ability to meet its interest payment obligations. The interest coverage ratio has significantly improved from 6.35 in 2020 to 141.00 in 2024, reflecting a strong financial position. This increasing trend suggests that Autodesk's earnings are sufficient to cover its interest expenses, providing a higher margin of safety for creditors and investors. The substantial improvement in the interest coverage ratio indicates improved profitability and financial stability for Autodesk Inc.
Peer comparison
Jan 31, 2024