Kinder Morgan Inc (KMI)
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 | 4,384,000 | 4,377,000 | 4,300,000 | 4,292,000 | 4,263,000 | 4,266,000 | 4,259,000 | 4,235,000 | 4,065,000 | 3,911,000 | 3,824,000 | 2,054,000 | 2,916,000 | 2,946,000 | 2,921,000 | 3,403,000 | 1,560,000 | 2,511,000 | 2,643,000 | 3,898,000 |
| Interest expense (ttm) | US$ in thousands | 936,000 | 1,388,000 | 1,842,000 | 1,738,000 | 1,568,000 | 1,530,000 | 1,475,000 | 1,470,000 | 1,501,000 | 1,460,000 | 1,429,000 | 1,451,000 | 1,495,000 | 1,504,000 | 1,519,000 | 1,537,000 | 1,596,000 | 1,656,000 | 1,720,000 | 1,777,000 |
| Interest coverage | 4.68 | 3.15 | 2.33 | 2.47 | 2.72 | 2.79 | 2.89 | 2.88 | 2.71 | 2.68 | 2.68 | 1.42 | 1.95 | 1.96 | 1.92 | 2.21 | 0.98 | 1.52 | 1.54 | 2.19 |
December 31, 2024 calculation
Interest coverage = EBIT (ttm) ÷ Interest expense (ttm)
= $4,384,000K ÷ $936,000K
= 4.68
The interest coverage ratio of Kinder Morgan Inc has fluctuated over the past years. As of December 31, 2024, the interest coverage ratio stands at 4.68, indicating that the company generated significant earnings relative to its interest expenses, which suggests a healthy ability to meet its interest obligations. The trend shows an improvement from the ratio's decrease to 0.98 on December 31, 2020, rebounding steadily along subsequent quarters. This trend indicates that the company's profitability and ability to service its debt obligations have strengthened over time. However, it is essential to continue monitoring the interest coverage ratio to ensure sustainable financial health.
Peer comparison
Dec 31, 2024