Fluor Corporation (FLR)
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 | 435,000 | 375,000 | -330,000 | -340,000 | -975,313 |
| Interest expense | US$ in thousands | 60,000 | 59,000 | 90,000 | 72,000 | 64,886 |
| Interest coverage | 7.25 | 6.36 | -3.67 | -4.72 | -15.03 |
December 31, 2023 calculation
Interest coverage = EBIT ÷ Interest expense
= $435,000K ÷ $60,000K
= 7.25
Fluor Corporation's interest coverage ratio has exhibited fluctuations over the past five years. In 2019, the interest coverage ratio was significantly negative at -29.72, indicating that the company's earnings were insufficient to cover its interest expenses, raising concerns about its financial health. However, the ratio improved in the following years, reaching 3.11 in 2020 and further increasing to 2.87 in 2021.
It is worth noting that the interest coverage ratio for 2022 and 2023 is missing from the data provided, which may suggest that the company did not have any interest expenses during those periods, or the data might not be available at the moment. Overall, while the company showed improvements in covering its interest payments in the recent years, a missing data point for 2023 leaves some uncertainty regarding its current financial position in terms of interest coverage.
Peer comparison
Dec 31, 2023