Crane NXT Co (CXT)
Interest coverage
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | 274,200 | 290,400 | 304,600 | 549,700 | 257,100 |
| Interest expense | US$ in thousands | 47,800 | 50,600 | 52,200 | 46,900 | 55,300 |
| Interest coverage | 5.74 | 5.74 | 5.84 | 11.72 | 4.65 |
December 31, 2024 calculation
Interest coverage = EBIT ÷ Interest expense
= $274,200K ÷ $47,800K
= 5.74
Crane NXT Co's interest coverage ratio has shown some fluctuation over the past five years. In December 2020, the interest coverage stood at 4.65, indicating the company's ability to cover interest expenses just under five times. There was a significant improvement in December 2021 when the interest coverage ratio increased to 11.72, suggesting a strong ability to meet interest obligations with operating income. However, in the following years, the ratio declined to 5.84 in December 2022 and remained relatively stable at around 5.74 in December 2023 and December 2024.
Overall, Crane NXT Co's interest coverage ratio has demonstrated some volatility but has generally remained at levels that indicate the company's ability to comfortably cover its interest expenses with its operating income, although there may be room for improvement to ensure sustained financial health and stability.
Peer comparison
Dec 31, 2024