Krystal Biotech Inc (KRYS)
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 | 65,694 | 27,453 | -20,973 | -67,587 | -109,726 | -147,635 | -153,093 | -143,798 | -145,197 | -132,302 | -116,503 | -104,143 | -68,274 | -56,818 | -50,846 | -41,407 | -33,000 | -28,734 | -24,396 | -23,332 |
| Interest expense (ttm) | US$ in thousands | 0 | 25,000 | 25,000 | 25,000 | 50,000 | 25,000 | 25,000 | 25,000 | 0 | 0 | 0 | 0 | 1,492 | 1,492 | 1,492 | 1,492 | 0 | 0 | 0 | 542 |
| Interest coverage | — | 1.10 | -0.84 | -2.70 | -2.19 | -5.91 | -6.12 | -5.75 | — | — | — | — | -45.76 | -38.08 | -34.08 | -27.75 | — | — | — | -43.05 |
December 31, 2024 calculation
Interest coverage = EBIT (ttm) ÷ Interest expense (ttm)
= $65,694K ÷ $0K
= —
The interest coverage ratio is a measure of a company's ability to meet its interest obligations with its operating income. A higher interest coverage ratio indicates a stronger ability to cover interest expenses.
Analyzing the interest coverage of Krystal Biotech Inc, we observe the following trends:
- As of March 31, 2020, the interest coverage ratio was -43.05, indicating that the company's operating income was insufficient to cover its interest expenses. This raises concerns about the company's financial health and ability to meet its debt obligations.
- In the subsequent periods up to December 31, 2021, the interest coverage ratios remained negative, further highlighting the company's challenges in meeting its interest payments.
- From March 31, 2023, onwards, the interest coverage ratios improved gradually, with ratios moving from negative to positive values. This indicates an improvement in the company's ability to cover its interest expenses with its operating income.
- By December 31, 2024, the interest coverage ratio reached 1.10, signifying that the company's operating income was sufficient to cover its interest obligations.
Overall, the trend in Krystal Biotech Inc's interest coverage ratio shows a transition from negative values to positive territory, suggesting an improvement in the company's financial situation and its ability to handle interest payments. However, it is essential for the company to maintain this positive trend and ensure sustainable financial stability.
Peer comparison
Dec 31, 2024