Keysight Technologies Inc (KEYS)
Interest coverage
| Oct 31, 2024 | Jul 31, 2024 | Apr 30, 2024 | Jan 31, 2024 | Oct 31, 2023 | Jul 31, 2023 | Apr 30, 2023 | Jan 31, 2023 | Oct 31, 2022 | Jul 31, 2022 | Apr 30, 2022 | Jan 31, 2022 | Oct 31, 2021 | Jul 31, 2021 | Apr 30, 2021 | Jan 31, 2021 | Oct 31, 2020 | Jul 31, 2020 | Apr 30, 2020 | Jan 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 861,000 | 948,000 | 1,108,000 | 1,285,000 | 1,358,000 | 1,420,000 | 1,412,000 | 1,385,000 | 1,334,000 | 1,304,000 | 1,231,000 | 1,139,000 | 1,080,000 | 1,009,000 | 907,000 | 774,000 | 765,000 | 695,000 | 710,000 | 793,000 |
| Interest expense (ttm) | US$ in thousands | 61,000 | 81,000 | 79,000 | 79,000 | 78,000 | 78,000 | 79,000 | 78,000 | 79,000 | 79,000 | 79,000 | 79,000 | 79,000 | 78,000 | 78,000 | 79,000 | 78,000 | 79,000 | 79,000 | 79,000 |
| Interest coverage | 14.11 | 11.70 | 14.03 | 16.27 | 17.41 | 18.21 | 17.87 | 17.76 | 16.89 | 16.51 | 15.58 | 14.42 | 13.67 | 12.94 | 11.63 | 9.80 | 9.81 | 8.80 | 8.99 | 10.04 |
October 31, 2024 calculation
Interest coverage = EBIT (ttm) ÷ Interest expense (ttm)
= $861,000K ÷ $61,000K
= 14.11
Keysight Technologies Inc has shown consistently strong interest coverage ratios over the past few years, indicating its ability to comfortably meet its interest obligations. The interest coverage ratio has generally been above 10, with a peak of 18.21 in July 2023.
This trend suggests that the company generates ample earnings to cover its interest expenses, providing a cushion against potential financial risks. The stability and upward trend in the interest coverage ratio reflect a healthy financial position and efficient management of debt obligations by Keysight Technologies Inc.
Peer comparison
Oct 31, 2024