Triumph Group Inc (TGI)
Interest coverage
| Mar 31, 2025 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 85,172 | 123,075 | 105,598 | 110,968 | 117,043 | 132,968 | 156,731 | 261,130 | 262,913 | 230,128 | 226,453 | 112,624 | 98,026 | 43,015 | -20,184 | -27,235 | -278,160 | -299,880 | -199,977 | -152,921 |
| Interest expense (ttm) | US$ in thousands | 61,543 | 90,210 | 101,939 | 115,954 | 135,417 | 143,738 | 147,680 | 144,249 | 137,714 | 131,527 | 127,485 | 129,215 | 135,861 | 144,113 | 156,675 | 174,998 | 171,397 | 158,404 | 146,701 | 129,595 |
| Interest coverage | 1.38 | 1.36 | 1.04 | 0.96 | 0.86 | 0.93 | 1.06 | 1.81 | 1.91 | 1.75 | 1.78 | 0.87 | 0.72 | 0.30 | -0.13 | -0.16 | -1.62 | -1.89 | -1.36 | -1.18 |
March 31, 2025 calculation
Interest coverage = EBIT (ttm) ÷ Interest expense (ttm)
= $85,172K ÷ $61,543K
= 1.38
The interest coverage ratio for Triumph Group Inc shows a fluctuating trend over the past few years. The ratio was negative in the earlier periods, indicating that the company's operating income was insufficient to cover its interest expenses. However, starting from December 31, 2021, the interest coverage turned positive and has been gradually improving since then.
As of March 31, 2025, Triumph Group Inc's interest coverage ratio stands at 1.38, suggesting that the company's operating income can cover its interest expenses approximately 1.38 times. This indicates a better financial health compared to the negative interest coverage ratios observed in the past.
It is important for investors and stakeholders to monitor the interest coverage ratio continuously to assess the company's ability to meet its interest obligations and manage its debt effectively. A consistently improving interest coverage ratio reflects a positive trend in the company's financial performance and ability to handle its debt burden.
Peer comparison
Mar 31, 2025