Belden Inc (BDC)
Interest coverage
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 266,460 | 241,236 | 261,316 | 285,001 | 317,518 | 351,792 | 386,011 | 375,350 | 363,334 | 354,747 | 299,836 | 286,249 | 263,676 | 261,183 | 222,573 | 171,354 | 150,114 | 126,365 | 147,780 | 189,425 |
| Interest expense (ttm) | US$ in thousands | 30,830 | 20,079 | 9,299 | 359 | 330 | 297 | 287 | 332 | 258 | 197 | 137 | 17 | 14 | 14 | 13 | 15 | 17 | 19 | 21 | 23 |
| Interest coverage | 8.64 | 12.01 | 28.10 | 793.87 | 962.18 | 1,184.48 | 1,344.99 | 1,130.57 | 1,408.27 | 1,800.75 | 2,188.58 | 16,838.18 | 18,834.00 | 18,655.93 | 17,121.00 | 11,423.60 | 8,830.24 | 6,650.79 | 7,037.14 | 8,235.87 |
December 31, 2024 calculation
Interest coverage = EBIT (ttm) ÷ Interest expense (ttm)
= $266,460K ÷ $30,830K
= 8.64
The interest coverage ratio for Belden Inc has shown a significant fluctuation over the past few years. Starting at a very high level of 8,235.87 in March 2020, the ratio decreased gradually to 7,037.14 in June 2020, and further declined to 6,650.79 in September 2020. However, there was a notable improvement in December 2020 when the interest coverage ratio jumped to 8,830.24. This positive trend continued throughout the following quarters, reaching its peak at 18,834.00 in December 2021.
Subsequently, the interest coverage ratio began to decline from March 2022 onwards, dropping to 2,188.58 in June 2022, and then further decreasing to 8.64 by December 2024. This sharp decline may raise concerns about the company's ability to cover its interest payments comfortably with its operating income.
Overall, the interest coverage ratio for Belden Inc has exhibited a volatile pattern, with periods of high strength and periods of weakness. It is essential for stakeholders to closely monitor this ratio to ensure the company can meet its interest obligations and manage its debt effectively.
Peer comparison
Dec 31, 2024