Protagonist Therapeutics Inc (PTGX)

Interest coverage

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	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
Earnings before interest and tax (EBIT) (ttm)	US$ in thousands	251,951	148,220	150,520	147,030	-95,300	-152,543	-145,693	-143,555	-128,464	-132,077	-133,700	-123,545	-126,636	-108,032	-82,150	-69,451	-65,091	-63,013	-71,924	-85,148
Interest expense (ttm)	US$ in thousands	0	2,296	2,296	2,296	4,592	2,948	4,019	4,503	2,375	1,723	652	168	127	254	273	482	598	638	788	748
Interest coverage		—	64.56	65.56	64.04	-20.75	-51.74	-36.25	-31.88	-54.09	-76.66	-205.06	-735.39	-997.13	-425.32	-300.92	-144.09	-108.85	-98.77	-91.27	-113.83

December 31, 2024 calculation

Interest coverage = EBIT (ttm) ÷ Interest expense (ttm)
= $251,951K ÷ $0K
= —

Protagonist Therapeutics Inc's interest coverage ratio indicates the company's ability to meet its interest payment obligations with its operating income. A negative interest coverage ratio, as observed in the financial data provided, typically suggests that the company is not generating enough operating income to cover its interest expenses.

The interest coverage ratio has been consistently negative from March 31, 2020, through December 31, 2023, indicating a significant strain on the company's ability to cover interest payments. The ratios range from -31.88 to -997.13 during this period, showing severe financial challenges.

However, there is a notable improvement in the interest coverage ratio starting from March 31, 2024, where the ratio turns positive at 64.04. This shift suggests that the company's operating income has increased sufficiently to cover its interest expenses, indicating a favorable change in financial performance.

Overall, the historical trend demonstrates a period of financial difficulty for Protagonist Therapeutics Inc, with a recent positive shift indicating a potential turnaround in the company's financial health.