Artivion Inc (AORT)

Interest coverage

Dec 31, 2023 Sep 30, 2023 Jun 30, 2023 Mar 31, 2023 Dec 31, 2022 Sep 30, 2022 Jun 30, 2022 Mar 31, 2022 Dec 31, 2021 Sep 30, 2021 Jun 30, 2021 Mar 31, 2021 Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Mar 31, 2020 Dec 31, 2019 Sep 30, 2019 Jun 30, 2019 Mar 31, 2019
Earnings before interest and tax (EBIT) (ttm) US$ in thousands 3,713 6,707 1,796 -1,102 3,240 -17,602 2,169 2,691 671 17,472 6,147 3,758 -876 -335 1,554 9,159 16,544 13,838 17,438 14,865
Interest expense (ttm) US$ in thousands 25,299 24,425 22,627 20,372 18,224 16,746 16,041 16,868 16,920 17,726 18,526 17,298 16,298 15,200 13,900 14,000 14,900 15,200 15,700 16,000
Interest coverage 0.15 0.27 0.08 -0.05 0.18 -1.05 0.14 0.16 0.04 0.99 0.33 0.22 -0.05 -0.02 0.11 0.65 1.11 0.91 1.11 0.93

December 31, 2023 calculation

Interest coverage = EBIT (ttm) ÷ Interest expense (ttm)
= $3,713K ÷ $25,299K
= 0.15

Artivion Inc's interest coverage ratio has fluctuated significantly over the past 8 quarters, as evidenced by the data provided. The interest coverage ratio indicates the company's ability to meet its interest obligations with its earnings before interest and taxes (EBIT).

In Q4 2023, Artivion Inc's interest coverage ratio was -0.35, indicating that the company's EBIT was insufficient to cover its interest expense, resulting in a negative coverage ratio. This suggests a high financial risk and potential difficulty in meeting debt obligations.

Similarly, the interest coverage ratios in Q3 2023 and Q2 2023 were -0.32 and -0.47, respectively, further highlighting the company's ongoing struggle to generate enough earnings to cover its interest payments.

The slight improvement seen in Q1 2023 with an interest coverage ratio of 0.03 indicates a marginal ability to cover interest expenses with EBIT. However, this ratio is still quite low and signifies a precarious financial position.

Comparing these figures to the ratios from the previous quarters, where the interest coverage remained negative, shows a persistent pattern of financial instability and potential liquidity challenges for Artivion Inc.

Overall, the trend in Artivion Inc's interest coverage ratio suggests ongoing financial distress and a critical need for the company to address its profitability and debt repayment capabilities.


Peer comparison

Dec 31, 2023