Nexstar Broadcasting Group Inc (NXST)
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 | 1,415,000 | 848,000 | 1,553,700 | 1,375,960 | 1,439,870 |
| Interest expense | US$ in thousands | 444,000 | 447,000 | 336,600 | 282,651 | 335,303 |
| Interest coverage | 3.19 | 1.90 | 4.62 | 4.87 | 4.29 |
December 31, 2024 calculation
Interest coverage = EBIT ÷ Interest expense
= $1,415,000K ÷ $444,000K
= 3.19
The interest coverage ratio for Nexstar Broadcasting Group Inc has exhibited some fluctuations over the past five years. In December 2020, the interest coverage ratio stood at 4.29, indicating the company's ability to cover its interest expenses approximately 4.29 times with its operating earnings.
By December 2021, the interest coverage ratio improved to 4.87, reflecting a stronger ability to meet interest obligations compared to the previous year. However, in December 2022, the ratio slightly declined to 4.62, but still remained at a level that suggests the firm can comfortably cover its interest payments.
A notable decline was observed by December 2023, as the interest coverage ratio dropped to 1.90. This decrease may indicate a potential strain on Nexstar Broadcasting Group Inc's ability to meet interest expenses from its operating income alone.
In December 2024, the interest coverage ratio improved slightly to 3.19, but it remained below the levels seen in the earlier years. Overall, the trend suggests that Nexstar Broadcasting Group Inc has experienced some fluctuations in its ability to cover interest expenses over the period, with the ratio varying between adequate and possibly strained levels.
Peer comparison
Dec 31, 2024