Freeport-McMoran Copper & Gold Inc (FCX)
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 | 6,588,000 | 6,521,000 | 7,275,000 | 8,261,000 | 2,395,000 |
| Interest expense | US$ in thousands | 319,000 | 515,000 | 560,000 | 602,000 | 598,000 |
| Interest coverage | 20.65 | 12.66 | 12.99 | 13.72 | 4.01 |
December 31, 2024 calculation
Interest coverage = EBIT ÷ Interest expense
= $6,588,000K ÷ $319,000K
= 20.65
Freeport-McMoran Copper & Gold Inc's interest coverage ratio has shown a positive trend over the past five years. Beginning at 4.01 in 2020, the company's ability to cover interest expenses improved significantly, reaching 20.65 by the end of 2024. This indicates that the company's operating profits have been sufficient to comfortably cover its interest obligations. The consistently high interest coverage ratios suggest that Freeport-McMoran Copper & Gold Inc has a strong financial position and is capable of servicing its debt obligations without facing significant financial distress.
Peer comparison
Dec 31, 2024