Six Flags Entertainment Corporation (FUN)
Interest coverage
| 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 | Sep 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 385,684 | 348,271 | 356,561 | 386,930 | 437,444 | 499,024 | 531,621 | 519,467 | 489,374 | 324,226 | 307,817 | 159,143 | -223,828 | -307,345 | -302,095 | -171,774 | 227,615 | 472,418 | 485,541 | 475,900 |
| Interest expense (ttm) | US$ in thousands | 147,011 | 144,337 | 141,770 | 142,174 | 143,098 | 145,946 | 151,940 | 163,047 | 172,268 | 178,059 | 184,032 | 182,699 | 176,805 | 167,546 | 150,669 | 132,891 | 120,482 | 106,663 | 100,364 | 94,938 |
| Interest coverage | 2.62 | 2.41 | 2.52 | 2.72 | 3.06 | 3.42 | 3.50 | 3.19 | 2.84 | 1.82 | 1.67 | 0.87 | -1.27 | -1.83 | -2.01 | -1.29 | 1.89 | 4.43 | 4.84 | 5.01 |
June 30, 2024 calculation
Interest coverage = EBIT (ttm) ÷ Interest expense (ttm)
= $385,684K ÷ $147,011K
= 2.62
The interest coverage ratio for Six Flags Entertainment Corporation has fluctuated over the past few quarters, ranging from negative values to positive values. The ratio measures the company's ability to cover its interest expenses with its operating income.
In the most recent quarter ended June 30, 2024, the interest coverage ratio was 2.62, indicating that the company generated operating income 2.62 times the amount needed to cover its interest expenses. This suggests a relatively healthy ability to meet its interest obligations.
However, it's important to note that there have been periods, like in the quarters ended December 31, 2021 and September 30, 2021, where the interest coverage ratio was below 1, indicating that the company's operating income was insufficient to cover its interest expenses, raising concerns about its financial health and sustainability.
Overall, the trend in the interest coverage ratio for Six Flags Entertainment Corporation has shown variability, implying fluctuations in its ability to cover interest expenses, which may warrant further investigation into the company's financial management and performance.
Peer comparison
Jun 30, 2024