Perdoceo Education Corp (PRDO)

Interest coverage

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Earnings before interest and tax (EBIT) (ttm)	US$ in thousands	192,525	194,562	177,765	137,880	134,669	144,873	151,383	152,817	149,987	152,151	147,029	149,263	146,907	143,633	136,787	100,088	92,577	80,416	74,540	84,554
Interest expense (ttm)	US$ in thousands	404	390	389	392	400	257	733	914	920	1,002	472	235	167	168	169	166	167	483	548	614
Interest coverage		476.55	498.88	456.98	351.73	336.67	563.71	206.53	167.20	163.03	151.85	311.50	635.16	879.68	854.96	809.39	602.94	554.35	166.49	136.02	137.71

December 31, 2023 calculation

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

Perdoceo Education Corporation's interest coverage ratio for Q1 2022 was extremely high at 15,209.20, indicating that the company generated significant earnings compared to its interest expenses during that period. However, the lack of data for the subsequent quarters of 2022 and all of 2023 prevents a thorough analysis of the trend in the interest coverage ratio. It is crucial for stakeholders to monitor this ratio in future periods to assess the company's ability to meet its interest obligations from its operating income.