Dynavax Technologies Corporation (DVAX)
Interest coverage
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | 2,390 | 301,031 | 88,697 | -56,178 | -135,623 |
| Interest expense | US$ in thousands | 6,757 | 6,732 | 11,176 | 19,062 | 16,977 |
| Interest coverage | 0.35 | 44.72 | 7.94 | -2.95 | -7.99 |
December 31, 2023 calculation
Interest coverage = EBIT ÷ Interest expense
= $2,390K ÷ $6,757K
= 0.35
Interest coverage is a measure used to evaluate a company's ability to meet its interest obligations on outstanding debt. A higher interest coverage ratio indicates that a company is more capable of servicing its debt.
Looking at the historical trend for Dynavax Technologies Corp., there are fluctuations in the interest coverage ratio over the years. In 2019 and 2020, the company had negative interest coverage ratios of -8.93 and -4.23 respectively, indicating that the company's operating income was insufficient to cover its interest expenses during those years.
However, in 2021, Dynavax Technologies Corp. showed a significant improvement in its interest coverage ratio to 12.10, which suggests that the company's operating income was more than sufficient to cover its interest expenses in that year.
Unfortunately, there is missing data for 2022 and 2023, so it is not possible to provide a current assessment of the company's interest coverage based on this limited information. It is essential for investors and analysts to monitor this ratio over time to assess the company's financial health and its ability to manage its debt obligations effectively.
Peer comparison
Dec 31, 2023