Mueller Industries Inc (MLI)
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 | 820,872 | 846,453 | 876,841 | 602,817 | 228,436 |
| Interest expense | US$ in thousands | 410 | 1,221 | 810 | 7,709 | 19,247 |
| Interest coverage | 2,002.13 | 693.25 | 1,082.52 | 78.20 | 11.87 |
December 31, 2024 calculation
Interest coverage = EBIT ÷ Interest expense
= $820,872K ÷ $410K
= 2,002.13
The interest coverage ratio for Mueller Industries Inc has shown a notable trend over the past five years. Starting at 11.87 in December 31, 2020, the ratio increased significantly to 78.20 by December 31, 2021. This substantial improvement suggests that the company's operating income is more than sufficient to cover its interest expenses.
The interest coverage ratio reached an impressive 1,082.52 by December 31, 2022, indicating a significant strengthening of Mueller Industries Inc's ability to meet its interest obligations. However, this ratio decreased to 693.25 by December 31, 2023, but it still remains at a healthy level.
By the end of December 31, 2024, the interest coverage ratio surged to 2,002.13, signaling an exceptional capacity to service its interest payments. This upward trend in the interest coverage ratio indicates that Mueller Industries Inc has been effectively managing its financial obligations, which is a positive sign for the company's financial health.
Peer comparison
Dec 31, 2024