Perdoceo Education Corp (PRDO)

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	192,525	134,669	149,987	146,907	92,577
Interest expense	US$ in thousands	404	400	920	167	167
Interest coverage		476.55	336.67	163.03	879.68	554.35

December 31, 2023 calculation

Interest coverage = EBIT ÷ Interest expense
= $192,525K ÷ $404K
= 476.55

Based on the data provided, it appears that the interest coverage ratio for Perdoceo Education Corporation is not available for the years 2019 to 2023. The interest coverage ratio is a key financial metric used to assess a company's ability to pay its interest expenses on outstanding debt.

The absence of data for the interest coverage ratio in the table may indicate a lack of transparency or reporting in this area for the company. Without this ratio, stakeholders such as investors, creditors, and analysts may have limited insight into the company's ability to meet its interest obligations from its earnings.

It is essential for Perdoceo Education Corporation to provide this crucial financial ratio in future reports to help stakeholders better assess the company's financial health and its capacity to service its debt obligations. An interest coverage ratio below 1 suggests that a company may have difficulty meeting its interest payments, while a ratio above 1 indicates sufficient earnings to cover interest costs.