Solventum Corp. (SOLV)
Interest coverage
| Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | ||
|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 1,535,500 | 1,564,000 | 1,596,000 | 1,626,000 | 1,658,000 |
| Interest expense (ttm) | US$ in thousands | 39,000 | 0 | 0 | 0 | 0 |
| Interest coverage | 39.37 | — | — | — | — |
March 31, 2024 calculation
Interest coverage = EBIT (ttm) ÷ Interest expense (ttm)
= $1,535,500K ÷ $39,000K
= 39.37
The interest coverage ratio for Solventum Corp. as of March 31, 2024, is 39.37. This indicates that the company is generating ample operating income to cover the interest expenses on its debt obligations almost 40 times, signifying a healthy financial position in terms of debt servicing capability. However, it is important to note that there is no data available for the previous quarters, making it difficult to assess the trend in interest coverage over time. Further analysis of the company's historical data and industry benchmarks would provide more insights into its financial stability and leverage position.
Peer comparison
Mar 31, 2024