EPAM Systems Inc (EPAM)

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	501,239	572,966	542,316	379,324	302,850
Interest expense	US$ in thousands	—	10,025	1,727	5,512	15,373
Interest coverage		—	57.15	314.02	68.82	19.70

December 31, 2023 calculation

Interest coverage = EBIT ÷ Interest expense
= $501,239K ÷ $—K
= —

Unfortunately, without specific data for interest expenses and EBIT, the interest coverage ratio for EPAM Systems Inc cannot be calculated for the years 2019 to 2023. The interest coverage ratio is a key financial metric used to assess a company's ability to meet its interest obligations through its operating income. It is calculated by dividing EBIT (earnings before interest and taxes) by the interest expenses.

To evaluate the company's ability to cover its interest expenses, we would need access to the EBIT and interest expense figures for each year. A low interest coverage ratio may indicate that the company is struggling to generate enough operating income to cover its interest payments, leading to a higher risk of default. Conversely, a high interest coverage ratio suggests that the company is financially healthy and can easily meet its interest obligations.

For a comprehensive analysis of EPAM Systems Inc's financial health, it is crucial to calculate and monitor its interest coverage ratio over time in conjunction with other financial ratios and performance indicators.