Bruker Corporation (BRKR)

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	255,300	430,200	484,900	518,600	553,500	431,600	441,800	434,100	421,100	421,400	401,600	421,800	413,300	400,700	368,700	321,000	248,300	253,200	259,800	275,400
Interest expense (ttm)	US$ in thousands	40,300	36,700	29,000	17,200	16,400	16,300	16,100	8,200	8,100	4,200	4,900	14,500	14,200	19,600	19,100	16,200	14,300	13,000	13,800	14,800
Interest coverage		6.33	11.72	16.72	30.15	33.75	26.48	27.44	52.94	51.99	100.33	81.96	29.09	29.11	20.44	19.30	19.81	17.36	19.48	18.83	18.61

December 31, 2024 calculation

Interest coverage = EBIT (ttm) ÷ Interest expense (ttm)
= $255,300K ÷ $40,300K
= 6.33

Bruker Corporation's interest coverage ratio has displayed fluctuations over the period from March 31, 2020, to December 31, 2024. The interest coverage ratio measures the company's ability to meet its interest payments on outstanding debt.

The interest coverage ratio has generally been healthy, starting at 18.61 on March 31, 2020, and consistently staying above 1, indicating that the company's earnings are sufficient to cover its interest expenses. Noteworthy peaks in the interest coverage ratio were observed on June 30, 2022, and September 30, 2022, reaching 81.96 and 100.33, respectively, which may suggest strong profitability and cash flow generation during those periods.

However, there were some declines in the interest coverage ratio, particularly towards the end of the period analyzed. The ratio decreased to 6.33 on December 31, 2024, the lowest point in the data provided. This decline may raise concerns about the company's ability to meet its interest obligations comfortably with its earnings during that period.

Overall, Bruker Corporation's interest coverage ratio has shown both strength and variability over time, and it is important for stakeholders to monitor this ratio closely to assess the company's financial health and debt repayment capabilities.