Edgewell Personal Care Co (EPC)
Interest coverage
| 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 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 197,400 | 226,900 | 235,500 | 215,200 | 226,200 | 235,500 | 200,200 | 198,500 | 195,500 | 198,300 | 214,000 | 205,400 | 214,200 | 191,400 | 141,900 | 147,200 | 148,500 | 162,500 | -345,400 | -307,400 |
| Interest expense (ttm) | US$ in thousands | 76,500 | 77,700 | 78,100 | 78,400 | 78,500 | 77,900 | 76,700 | 74,000 | 71,400 | 70,100 | 68,500 | 67,800 | 67,900 | 68,600 | 67,700 | 64,300 | 61,200 | 58,300 | 58,400 | 60,900 |
| Interest coverage | 2.58 | 2.92 | 3.02 | 2.74 | 2.88 | 3.02 | 2.61 | 2.68 | 2.74 | 2.83 | 3.12 | 3.03 | 3.15 | 2.79 | 2.10 | 2.29 | 2.43 | 2.79 | -5.91 | -5.05 |
September 30, 2024 calculation
Interest coverage = EBIT (ttm) ÷ Interest expense (ttm)
= $197,400K ÷ $76,500K
= 2.58
The interest coverage ratio for Edgewell Personal Care Co has varied over the past few quarters. The ratio indicates the company's ability to cover its interest expenses with its operating income.
In general, an interest coverage ratio above 1 indicates that the company is generating enough operating income to cover its interest expenses. Looking at the historical trend, the interest coverage ratio for Edgewell Personal Care Co has been fluctuating between 2.10 and 3.15 over the last two years, with some quarters showing stronger coverage than others.
Specifically, in the most recent quarter, the interest coverage ratio was 2.58, suggesting that the company had enough operating income to cover its interest expenses, although slightly lower than the previous quarter. It's worth noting that there were a couple of quarters where the interest coverage ratio fell significantly below 1, indicating potential financial risk.
Overall, while the company has generally maintained a relatively stable interest coverage ratio above 1, investors and stakeholders should continue to monitor this ratio to ensure that Edgewell Personal Care Co can meet its interest obligations in the long term.
Peer comparison
Sep 30, 2024