CommVault Systems Inc (CVLT)
Interest coverage
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 84,028 | 23,395 | 6,481 | -2,610 | -14,890 | 34,879 | 42,419 | 35,216 | 43,523 | 41,835 | 31,625 | -12,882 | -21,827 | -34,620 | -37,934 | -4,151 | -17,508 | -15,055 | -4,132 | 5,043 |
| Interest expense (ttm) | US$ in thousands | 415 | 468 | 470 | 463 | 472 | 405 | 319 | 214 | 109 | 19 | 0 | 0 | 0 | 155 | 255 | 355 | 455 | 584 | 584 | 684 |
| Interest coverage | 202.48 | 49.99 | 13.79 | -5.64 | -31.55 | 86.12 | 132.97 | 164.56 | 399.29 | 2,201.84 | — | — | — | -223.35 | -148.76 | -11.69 | -38.48 | -25.78 | -7.08 | 7.37 |
March 31, 2024 calculation
Interest coverage = EBIT (ttm) ÷ Interest expense (ttm)
= $84,028K ÷ $415K
= 202.48
CommVault Systems Inc's interest coverage ratio has shown significant fluctuations over the periods analyzed. The interest coverage ratio measures the company's ability to meet its interest obligations with its operating profits.
CommVault Systems Inc's interest coverage ratio ranged from -223.35 to 2,201.84 over the past few quarters, indicating fluctuations in its ability to cover interest expenses. A higher ratio is generally preferred as it suggests the company is generating sufficient earnings to cover its interest charges.
It's notable that the interest coverage ratio was negative in some periods, such as in June 2023 and March 2021, indicating that the company's operating profits were insufficient to cover its interest expenses during those periods. This raises concerns about the company's financial health and its ability to meet debt obligations.
On the other hand, the interest coverage ratio saw a significant increase in December 2021 and March 2022, reaching very high levels (2,201.84 and 399.29, respectively). This implies improved profitability and a stronger ability to cover interest expenses during these quarters.
Overall, the fluctuating nature of CommVault Systems Inc's interest coverage ratio suggests varying levels of financial stability and operational performance over the periods analyzed. Investors and stakeholders should closely monitor these trends to assess the company's debt repayment capacity and overall financial health.
Peer comparison
Mar 31, 2024