Exelon Corporation (EXC)
Interest coverage
| Dec 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 4,321,000 | 4,315,000 | 4,242,000 | 4,033,000 | 4,025,000 | 3,642,000 | 3,530,000 | 3,520,000 | 3,314,000 | 3,127,000 | 2,872,000 | 2,758,000 | 2,682,000 | 1,797,000 | 1,810,000 | 1,795,000 | 2,191,000 | 3,516,000 | 4,100,000 | 4,376,000 |
| Interest expense (ttm) | US$ in thousands | 1,909,000 | 2,142,000 | 2,077,000 | 2,015,000 | 1,965,000 | 1,863,000 | 1,797,000 | 1,734,000 | 1,660,000 | 1,657,000 | 1,689,000 | 1,727,000 | 1,769,000 | 1,561,000 | 1,562,000 | 1,587,000 | 1,611,000 | 1,612,000 | 1,617,000 | 1,599,000 |
| Interest coverage | 2.26 | 2.01 | 2.04 | 2.00 | 2.05 | 1.95 | 1.96 | 2.03 | 2.00 | 1.89 | 1.70 | 1.60 | 1.52 | 1.15 | 1.16 | 1.13 | 1.36 | 2.18 | 2.54 | 2.74 |
December 31, 2024 calculation
Interest coverage = EBIT (ttm) ÷ Interest expense (ttm)
= $4,321,000K ÷ $1,909,000K
= 2.26
The interest coverage ratio for Exelon Corporation has shown fluctuating trends over the periods provided. As of December 31, 2024, the interest coverage ratio stands at 2.26, indicating that the company is generating earnings more than 2.26 times sufficient to cover its interest expenses. This suggests a healthy ability to meet its interest obligations through operating earnings.
It is important to note the downward trend in the interest coverage ratio from the beginning of the reported periods, reaching a low of 1.13 on March 31, 2021. This could signal potential concerns about the company's ability to cover its interest expenses with operating income during that time. However, the ratio has shown a gradual improvement since then, reaching above 2.00 in recent periods, indicating a stronger ability to cover interest costs.
Overall, the interest coverage ratio for Exelon Corporation has displayed volatility but has demonstrated a recovery and improvement in recent periods, showcasing a better ability to handle its interest obligations through operating earnings. Investors and stakeholders may find this trend promising in assessing the company's financial health and stability.
Peer comparison
Dec 31, 2024