Dynavax Technologies Corporation (DVAX)

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	37,649	2,390	301,031	88,697	-56,178
Interest expense	US$ in thousands	6,794	6,757	6,732	11,176	19,062
Interest coverage		5.54	0.35	44.72	7.94	-2.95

December 31, 2024 calculation

Interest coverage = EBIT ÷ Interest expense
= $37,649K ÷ $6,794K
= 5.54

Dynavax Technologies Corporation's interest coverage has fluctuated over the years. In December 2020, the interest coverage ratio was -2.95, indicating that the company's earnings were not sufficient to cover its interest expenses. By December 2021, the ratio improved significantly to 7.94, showing that the company's earnings could cover its interest costs nearly 8 times over. The ratio further increased to 44.72 by December 2022, suggesting a strong ability to meet interest obligations. However, there was a notable decline in December 2023, with the interest coverage dropping to just 0.35, signaling a potential strain on the company's ability to cover interest expenses. The ratio recovered to 5.54 by December 2024, indicating a modest improvement in the company's capacity to handle interest payments. Overall, Dynavax Technologies Corporation's interest coverage has shown varying levels of success in meeting its interest obligations over the years, with room for improvement based on the fluctuations observed.