Arlo Technologies (ARLO)
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 | -24,903 | -46,870 | -59,034 | -62,347 | -56,879 | -41,684 | -42,859 | -57,338 | -60,138 | -68,577 | -70,923 | -75,437 | -104,864 | -67,397 | -80,490 | -84,241 | -85,221 | -146,632 | -128,954 | -111,033 |
| Interest expense (ttm) | US$ in thousands | 2,287 | 2,073 | 2,363 | 1,657 | 936 | 439 | 150 | 24 | 43 | 70 | 143 | 291 | 802 | 1,356 | 1,878 | 2,439 | 2,766 | 2,170 | 2,077 | 1,365 |
| Interest coverage | -10.89 | -22.61 | -24.98 | -37.63 | -60.77 | -94.95 | -285.73 | -2,389.08 | -1,398.56 | -979.67 | -495.97 | -259.23 | -130.75 | -49.70 | -42.86 | -34.54 | -30.81 | -67.57 | -62.09 | -81.34 |
December 31, 2023 calculation
Interest coverage = EBIT (ttm) ÷ Interest expense (ttm)
= $-24,903K ÷ $2,287K
= -10.89
The interest coverage ratio for Arlo Technologies Inc in Q1 2022 was -2,588.94. A negative interest coverage ratio indicates that the company's earnings before interest and taxes (EBIT) were insufficient to cover its interest expenses during that period. This could be a concerning sign for creditors and investors, as it suggests a high financial risk and potential difficulties in meeting debt obligations. It is important for the company to improve its earnings or manage its debt levels to ensure a healthier interest coverage ratio in the future. Without data for the subsequent quarters of 2023, it is not possible to provide a more current assessment of the company's interest coverage performance.
Peer comparison
Dec 31, 2023