Myers Industries Inc (MYE)

Interest coverage

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Earnings before interest and tax (EBIT)	US$ in thousands	72,405	83,941	49,301	53,759	38,192
Interest expense	US$ in thousands	313	441	463	4,897	4,891
Interest coverage		231.33	190.34	106.48	10.98	7.81

December 31, 2023 calculation

Interest coverage = EBIT ÷ Interest expense
= $72,405K ÷ $313K
= 231.33

Based on the data provided, Myers Industries Inc.'s interest coverage ratio has shown some fluctuations over the past five years. The interest coverage ratio measures the company's ability to meet its interest obligations on outstanding debt. A higher ratio indicates a company is more capable of meeting its interest payments.

In 2023, the interest coverage ratio decreased to 11.37 from 14.64 in 2022, reflecting a potential decline in Myers Industries Inc.'s ability to cover its interest expenses with its earnings. Despite the decrease from the previous year, the 2023 ratio is still relatively healthy.

Comparing the 2023 ratio to 2021 and 2020, we see that it is in line with those years' figures, indicating that the company's ability to cover interest expenses is consistent over this three-year period.

In 2019, the interest coverage ratio was slightly lower at 9.35, suggesting that the company's ability to cover interest payments has improved over the five-year period. Overall, while there has been some fluctuation, Myers Industries Inc. generally demonstrates a solid ability to meet its interest obligations based on the interest coverage ratios calculated over the past five years.