Caleres Inc (CAL)

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 149,115 194,455 200,665 227,298 214,327
Interest expense US$ in thousands 13,957 300 19,343 14,264 14,264
Interest coverage 10.68 648.18 10.37 15.94 15.03

January 31, 2025 calculation

Interest coverage = EBIT ÷ Interest expense
= $149,115K ÷ $13,957K
= 10.68

Interest coverage ratio is a financial metric that indicates a company's ability to meet its interest obligations on outstanding debt. Caleres Inc's interest coverage ratio has exhibited some fluctuations over the periods provided.

In January 28, 2023, the interest coverage ratio was 15.03, indicating that Caleres Inc earned 15.03 times the amount needed to cover its interest expenses. The ratio improved slightly to 15.94 by January 31, 2023, showing a stronger ability to cover interest payments.

However, in the subsequent period ending January 31, 2024, the interest coverage ratio decreased to 10.37, suggesting a slight weakening of the company's ability to cover interest costs. The ratio then saw a significant spike to 648.18 by February 3, 2024, which may be due to a temporary increase in income or a decrease in interest expenses.

By January 31, 2025, the interest coverage ratio was recorded at 10.68, indicating a moderate improvement from the previous period. Overall, while experiencing some fluctuations, Caleres Inc has generally maintained a healthy interest coverage ratio, indicating a satisfactory capacity to meet its interest payment obligations.


Peer comparison

Jan 31, 2025