Dick’s Sporting Goods Inc (DKS)
Interest coverage
| Jan 31, 2025 | Oct 31, 2024 | Jul 31, 2024 | Apr 30, 2024 | Feb 3, 2024 | Jan 31, 2024 | Oct 31, 2023 | Oct 28, 2023 | Jul 31, 2023 | Jul 29, 2023 | Apr 30, 2023 | Apr 29, 2023 | Jan 31, 2023 | Jan 28, 2023 | Oct 31, 2022 | Oct 29, 2022 | Jul 31, 2022 | Jul 30, 2022 | Apr 30, 2022 | Jan 31, 2022 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 1,520,871 | 1,482,952 | 1,582,490 | 1,395,422 | 1,337,567 | 1,305,788 | 1,207,989 | 1,268,291 | 1,320,970 | 1,319,076 | 1,318,173 | 1,305,133 | 1,304,974 | 1,426,788 | 1,576,110 | 1,603,319 | 1,354,875 | 1,369,970 | 1,331,408 | 1,393,777 |
| Interest expense (ttm) | US$ in thousands | 52,986 | 54,517 | 55,784 | 56,645 | 57,192 | 57,362 | 57,532 | 58,193 | 58,854 | 62,423 | 65,992 | 77,080 | 88,168 | 95,709 | 103,250 | 102,761 | 93,497 | 84,871 | 73,166 | 61,313 |
| Interest coverage | 28.70 | 27.20 | 28.37 | 24.63 | 23.39 | 22.76 | 21.00 | 21.79 | 22.44 | 21.13 | 19.97 | 16.93 | 14.80 | 14.91 | 15.26 | 15.60 | 14.49 | 16.14 | 18.20 | 22.73 |
January 31, 2025 calculation
Interest coverage = EBIT (ttm) ÷ Interest expense (ttm)
= $1,520,871K ÷ $52,986K
= 28.70
Based on the provided data, Dick’s Sporting Goods Inc's interest coverage ratio has exhibited some fluctuations over the analyzed periods. The interest coverage ratio is a measure of a company's ability to meet its interest payments on outstanding debt. It is calculated by dividing earnings before interest and taxes (EBIT) by the interest expense.
The interest coverage ratio for Dick’s Sporting Goods Inc ranged from a high of 28.70 for the period ending on January 31, 2025, to a low of 14.49 for the period ending on July 31, 2022. This indicates that the company's ability to cover its interest expenses improved over the analyzed periods, as the ratio generally increased.
During the most recent periods, the interest coverage ratio has been consistently above 20, suggesting that the company has a strong ability to meet its interest obligations. A higher interest coverage ratio implies that Dick’s Sporting Goods Inc is generating sufficient earnings to comfortably cover its interest payments.
Overall, the trend in Dick’s Sporting Goods Inc's interest coverage ratio indicates a positive financial performance and a strong ability to manage its debt obligations. It is important for investors and creditors to monitor this ratio to assess the company's financial health and ability to service its debt in the future.
Peer comparison
Jan 31, 2025