Academy Sports Outdoors Inc (ASO)
Interest coverage
| Jan 31, 2025 | Feb 3, 2024 | Jan 31, 2024 | Jan 31, 2023 | Jan 28, 2023 | ||
|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | 575,098 | 677,855 | 709,207 | 864,761 | 846,549 |
| Interest expense | US$ in thousands | 36,873 | 4,839 | 46,051 | 46,441 | 3,654 |
| Interest coverage | 15.60 | 140.08 | 15.40 | 18.62 | 231.68 |
January 31, 2025 calculation
Interest coverage = EBIT ÷ Interest expense
= $575,098K ÷ $36,873K
= 15.60
The interest coverage ratio for Academy Sports Outdoors Inc has fluctuated over the years, ranging from a high of 231.68 on January 28, 2023, to a low of 15.40 on January 31, 2024. This ratio indicates the company's ability to cover its interest expenses with its earnings before interest and taxes (EBIT). A higher interest coverage ratio is generally considered favorable as it suggests that the company is more capable of servicing its debt obligations. However, the significant fluctuations in Academy Sports Outdoors Inc's interest coverage ratio may indicate varying levels of financial risk and stability. It is important for investors and creditors to closely monitor these changes to assess the company's financial health and ability to meet its debt obligations.
Peer comparison
Jan 31, 2025