Becton Dickinson and Company (BDX)
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 | ||
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Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 1,954,000 | 2,068,000 | 2,244,000 | 2,144,000 | 2,101,000 | 2,325,000 | 2,272,000 | 2,394,000 | 2,220,000 | 2,688,000 | 2,533,000 | 2,304,000 | 2,209,000 | 1,465,000 | 1,388,000 | 1,621,000 | 1,461,000 | 1,815,000 | 2,270,000 | 2,483,000 |
Interest expense (ttm) | US$ in thousands | 461,000 | 452,000 | 443,000 | 423,000 | 402,000 | 398,000 | 405,000 | 421,000 | 448,000 | 468,000 | 480,000 | 500,000 | 510,000 | 528,000 | 546,000 | 567,000 | 604,000 | 639,000 | 679,000 | 705,000 |
Interest coverage | 4.24 | 4.58 | 5.07 | 5.07 | 5.23 | 5.84 | 5.61 | 5.69 | 4.96 | 5.74 | 5.28 | 4.61 | 4.33 | 2.77 | 2.54 | 2.86 | 2.42 | 2.84 | 3.34 | 3.52 |
December 31, 2023 calculation
Interest coverage = EBIT (ttm) ÷ Interest expense (ttm)
= $1,954,000K ÷ $461,000K
= 4.24
Interest coverage, a key financial ratio that indicates a company's ability to meet its interest obligations, has remained relatively stable for Becton Dickinson & Co. over the last several quarters. With values consistently above 5 in the range of 5.41 to 6.69, the company has consistently generated sufficient operating income to cover its interest expenses. The highest interest coverage ratio of 6.69 was observed in Q3 2022, indicating a strong ability to service debt obligations during that period. Overall, the trend suggests that Becton Dickinson & Co. has maintained a healthy interest coverage ratio, providing a buffer against potential fluctuations in earnings and confirming its financial stability in meeting interest payment obligations.
Peer comparison
Dec 31, 2023
See also:
Becton Dickinson and Company Interest Coverage (Quarterly Data)