Integer Holdings Corp (ITGR)
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 | 215,335 | 205,956 | 191,999 | 176,111 | 161,115 | 154,275 | 137,906 | 128,218 | 113,672 | 105,359 | 110,332 | 115,977 | 129,304 | 130,022 | 111,639 | 85,538 | 100,066 | 98,955 | 133,343 | 174,527 |
| Interest expense (ttm) | US$ in thousands | 54,796 | 55,347 | 52,737 | 49,856 | 53,370 | 54,895 | 53,604 | 49,918 | 38,632 | 29,928 | 29,305 | 29,064 | 31,628 | 35,335 | 34,650 | 36,391 | 38,220 | 41,768 | 44,737 | 49,076 |
| Interest coverage | 3.93 | 3.72 | 3.64 | 3.53 | 3.02 | 2.81 | 2.57 | 2.57 | 2.94 | 3.52 | 3.76 | 3.99 | 4.09 | 3.68 | 3.22 | 2.35 | 2.62 | 2.37 | 2.98 | 3.56 |
December 31, 2024 calculation
Interest coverage = EBIT (ttm) ÷ Interest expense (ttm)
= $215,335K ÷ $54,796K
= 3.93
The interest coverage ratio is a financial metric used to evaluate a company's ability to meet its interest obligations on outstanding debt. It is calculated by dividing a company's earnings before interest and taxes (EBIT) by its interest expense.
Analyzing the interest coverage ratio of Integer Holdings Corp based on the provided data, we observe fluctuations over the analyzed periods. The interest coverage ratio ranged from a low of 2.35 in March 31, 2021, to a high of 4.09 in December 31, 2021. This indicates that in some periods, Integer Holdings Corp had a relatively weaker capacity to cover its interest expenses compared to others.
Overall, the interest coverage ratio demonstrates the company's ability to generate sufficient operating income to cover its interest payments. It is essential for investors and creditors as a low interest coverage ratio may signal financial distress and an increased risk of default, while a high ratio indicates a healthier financial position. Therefore, tracking changes in the interest coverage ratio over time can provide insights into Integer Holdings Corp's financial stability and creditworthiness.
Peer comparison
Dec 31, 2024