Dominion Energy Inc (D)
Interest coverage
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 4,253,000 | 4,122,000 | 3,811,000 | 3,664,000 | 3,977,000 | 4,460,000 | 4,419,000 | 4,775,000 | 4,538,000 | 4,236,000 | 3,864,000 | 3,284,000 | 3,319,000 | 3,210,000 | 3,772,000 | 3,936,000 | 4,099,000 | 4,524,000 | 4,535,000 | 4,460,000 |
| Interest expense (ttm) | US$ in thousands | 1,435,000 | 1,773,000 | 1,573,000 | 1,499,000 | 1,511,000 | 1,589,000 | 1,726,000 | 1,378,000 | 966,000 | 926,000 | 1,004,000 | 1,475,000 | 1,354,000 | 1,219,000 | 1,118,000 | 998,000 | 1,377,000 | 1,537,000 | 1,601,000 | 1,655,000 |
| Interest coverage | 2.96 | 2.32 | 2.42 | 2.44 | 2.63 | 2.81 | 2.56 | 3.47 | 4.70 | 4.57 | 3.85 | 2.23 | 2.45 | 2.63 | 3.37 | 3.94 | 2.98 | 2.94 | 2.83 | 2.69 |
December 31, 2024 calculation
Interest coverage = EBIT (ttm) ÷ Interest expense (ttm)
= $4,253,000K ÷ $1,435,000K
= 2.96
Interest coverage ratio is a financial metric used to evaluate a company's ability to meet its interest payment obligations on outstanding debt. Dominion Energy Inc's interest coverage ratio has exhibited fluctuations over the past few years, with values ranging from a low of 2.23 to a high of 4.70.
The company's interest coverage ratio exceeded 3 in most quarters, indicating that Dominion Energy Inc generated sufficient operating income to cover its interest expenses. However, there were a few quarters where the interest coverage ratio dropped below 3, which may raise concerns about the company's ability to comfortably meet its interest obligations.
Overall, Dominion Energy Inc's interest coverage has shown some variability, but it is important for investors and creditors to monitor this ratio closely to ensure the company's financial health and stability.
Peer comparison
Dec 31, 2024