Oxford Industries Inc (OXM)
Interest coverage
| Feb 28, 2025 | Nov 30, 2024 | Aug 31, 2024 | May 31, 2024 | Feb 29, 2024 | Feb 3, 2024 | Nov 30, 2023 | Oct 28, 2023 | Aug 31, 2023 | Jul 29, 2023 | May 31, 2023 | Apr 29, 2023 | Feb 28, 2023 | Jan 28, 2023 | Nov 30, 2022 | Oct 29, 2022 | Aug 31, 2022 | Jul 30, 2022 | May 31, 2022 | Apr 30, 2022 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 119,036 | 17,268 | -57,945 | -95,995 | -133,986 | 15,141 | 164,268 | 230,109 | 295,950 | 268,386 | 240,822 | 187,836 | 134,850 | 170,111 | 205,372 | 254,035 | 302,698 | 259,334 | 215,970 | 170,599 |
| Interest expense (ttm) | US$ in thousands | 2,468 | 2,753 | 2,143 | 3,271 | 2,397 | 2,514 | 2,514 | 3,639 | 3,639 | 4,177 | 4,177 | 2,533 | 2,533 | 972 | 972 | 516 | 516 | 501 | 501 | 481 |
| Interest coverage | 48.23 | 6.27 | -27.04 | -29.35 | -55.90 | 6.02 | 65.34 | 63.23 | 81.33 | 64.25 | 57.65 | 74.16 | 53.24 | 175.01 | 211.29 | 492.32 | 586.62 | 517.63 | 431.08 | 354.68 |
February 28, 2025 calculation
Interest coverage = EBIT (ttm) ÷ Interest expense (ttm)
= $119,036K ÷ $2,468K
= 48.23
Based on the provided data, the interest coverage ratio of Oxford Industries Inc has exhibited significant variability over the reporting periods. The interest coverage ratio measures the company's ability to meet its interest obligations on outstanding debt from its operating income.
The interest coverage ratio for Oxford Industries Inc ranged from a high of 586.62 in August 31, 2022, to a low of -55.90 in February 29, 2024. A high interest coverage ratio indicates that the company has more than enough earnings to cover its interest payments, implying lower financial risk. Conversely, a low or negative interest coverage ratio suggests that the company may struggle to meet its interest obligations with its current level of operating income.
It is essential for investors and creditors to closely monitor Oxford Industries Inc's interest coverage ratio, as sustained low ratios or negative values could signal financial distress and potential default on debt obligations. Furthermore, a declining trend in the interest coverage ratio may indicate worsening financial health and increased risk for stakeholders.
Peer comparison
Feb 28, 2025