STAAR Surgical Company (STAA)
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 | 28,097 | 18,656 | 26,066 | 34,489 | 43,802 | 50,221 | 44,353 | 37,982 | 33,339 | 30,033 | 27,078 | 15,374 | 6,769 | 5,034 | 3,486 | 9,152 | 11,852 | 10,697 | 8,946 | 7,361 |
| Interest expense (ttm) | US$ in thousands | 12 | 14 | 16 | 18 | 17 | 13 | 9 | 5 | 6 | 11 | 17 | 24 | 30 | 39 | 49 | 63 | 72 | 58 | 41 | 19 |
| Interest coverage | 2,341.42 | 1,332.57 | 1,629.12 | 1,916.06 | 2,576.59 | 3,863.15 | 4,928.11 | 7,596.40 | 5,556.50 | 2,730.27 | 1,592.82 | 640.58 | 225.63 | 129.08 | 71.14 | 145.27 | 164.61 | 184.43 | 218.20 | 387.42 |
December 31, 2023 calculation
Interest coverage = EBIT (ttm) ÷ Interest expense (ttm)
= $28,097K ÷ $12K
= 2,341.42
The interest coverage ratio for STAAR Surgical Company has experienced fluctuations over the past few quarters. The interest coverage ratio measures the company's ability to meet its interest obligations with its earnings before interest and taxes (EBIT).
On Dec 31, 2023, the interest coverage ratio was notably high at 2,341.42, indicating a strong ability to cover interest expenses with operating profits. This high ratio suggests that the company's EBIT was significantly higher than its interest expenses.
In the previous quarters, the interest coverage ratio had varied, with values ranging from 1,332.57 to 4,928.11. These fluctuations may indicate changes in the company's earnings and interest expenses over time.
However, it is important to note that the interest coverage ratio was considerably lower in the earlier quarters, such as on Dec 31, 2020, where it was 225.63, and on Mar 31, 2021, where it was 640.58. These lower ratios suggest that the company's ability to cover interest expenses with operating profits was weaker during those periods.
Overall, the increasing trend in the interest coverage ratio from 2021 to 2023 is a positive sign of STAAR Surgical Company's improving financial health and ability to meet its interest obligations comfortably.
Peer comparison
Dec 31, 2023