Comcast Corp (CMCSA)
Interest coverage
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | 24,846,000 | 13,625,000 | 23,699,000 | 18,486,000 | 21,297,000 |
| Interest expense | US$ in thousands | 4,087,000 | 3,896,000 | 4,281,000 | 4,588,000 | 4,567,000 |
| Interest coverage | 6.08 | 3.50 | 5.54 | 4.03 | 4.66 |
December 31, 2023 calculation
Interest coverage = EBIT ÷ Interest expense
= $24,846,000K ÷ $4,087,000K
= 6.08
The interest coverage ratio measures the ability of a company to meet its interest payments on outstanding debt. Comcast Corp's interest coverage has shown a generally positive trend over the past five years, increasing from 4.51 in 2019 to 5.90 in 2023. This indicates that the company's earnings before interest and taxes (EBIT) can cover its interest expenses nearly six times over in 2023. The consistent improvement in the interest coverage ratio reflects Comcast Corp's ability to generate sufficient operating income to comfortably meet its interest obligations, indicating a favorable financial position in terms of debt servicing.
Peer comparison
Dec 31, 2023