Hims Hers Health Inc (HIMS)
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 | 61,903 | -29,453 | -68,697 | -110,795 | -17,977 |
| Interest expense | US$ in thousands | — | — | 2,988 | 0 | 10 |
| Interest coverage | — | — | -22.99 | — | -1,797.70 |
December 31, 2024 calculation
Interest coverage = EBIT ÷ Interest expense
= $61,903K ÷ $—K
= —
Hims Hers Health Inc's interest coverage ratio has shown considerable fluctuations over the years. As of December 31, 2020, the interest coverage ratio was -1,797.70, indicating a severe inability to cover interest expenses with operating profits. By December 31, 2021, the data is not available ("—") suggesting a lack of clear information or a change in reporting.
As of December 31, 2022, the interest coverage improved significantly to -22.99 from the extremely negative value in 2020. This suggests a slight recovery in the ability to cover interest expenses with operating profits, yet still a concerningly low ratio. The data for 2023 and 2024 is not available, making it challenging to track the trend in interest coverage over the subsequent years.
In conclusion, Hims Hers Health Inc's interest coverage has historically been very weak, with a drastic improvement in 2022 but still remaining at a concerning level. Further analysis and monitoring of this ratio in the upcoming periods could provide insights into the company's financial health and its ability to meet interest obligations.
Peer comparison
Dec 31, 2024