CommVault Systems Inc (CVLT)
Interest coverage
| Mar 31, 2024 | Mar 31, 2023 | Mar 31, 2022 | Mar 31, 2021 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | 84,028 | -14,890 | 43,523 | -21,235 | -12,546 |
| Interest expense | US$ in thousands | 415 | 472 | 109 | 0 | 0 |
| Interest coverage | 202.48 | -31.55 | 399.29 | — | — |
March 31, 2024 calculation
Interest coverage = EBIT ÷ Interest expense
= $84,028K ÷ $415K
= 202.48
CommVault Systems Inc's interest coverage ratio has shown significant fluctuations over the past few years. In March 2024, the interest coverage ratio was 202.48, indicating that the company's operating income was more than sufficient to cover its interest expenses. This implies a low financial risk for the company in meeting its interest obligations. However, in March 2023, the interest coverage ratio was negative at -31.55, suggesting that the company's operating income was insufficient to cover its interest expenses, which raises concerns about the company's ability to meet its debt obligations.
In March 2022, the interest coverage ratio improved significantly to 399.29, reflecting a strong ability to cover interest expenses with operating income. The absence of data for the years 2021 and 2020 makes it difficult to provide a complete trend analysis.
Overall, based on the available data, the interest coverage ratio for CommVault Systems Inc has been volatile, with periods of both strong and weak coverage. This underscores the importance of monitoring the company's financial performance and debt management practices to ensure sustainable financial health.
Peer comparison
Mar 31, 2024