TG Therapeutics Inc (TGTX)
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 | 42,809 | 375 | 102,725 | 49,235 | 20,633 | -18,944 | -168,691 | -162,958 | -192,838 | -233,723 | -283,888 | -322,439 | -344,769 | -338,604 | -339,198 | -312,551 | -273,594 | -224,773 | -199,912 | -184,611 |
| Interest expense (ttm) | US$ in thousands | 1,995 | 4,123 | 7,422 | 12,059 | 12,615 | 13,046 | 10,981 | 10,371 | 10,191 | 8,408 | 7,798 | 6,404 | 5,638 | 5,850 | 6,422 | 7,027 | 6,330 | 6,938 | 6,865 | 5,714 |
| Interest coverage | 21.46 | 0.09 | 13.84 | 4.08 | 1.64 | -1.45 | -15.36 | -15.71 | -18.92 | -27.80 | -36.41 | -50.35 | -61.15 | -57.88 | -52.82 | -44.48 | -43.22 | -32.40 | -29.12 | -32.31 |
December 31, 2024 calculation
Interest coverage = EBIT (ttm) ÷ Interest expense (ttm)
= $42,809K ÷ $1,995K
= 21.46
TG Therapeutics Inc's interest coverage ratio has shown a substantial improvement over the past few years, moving from negative values indicating insufficient earnings to cover interest expenses, to positive values reflecting better earnings relative to interest charges.
From March 31, 2020, to December 31, 2021, the company experienced continuous negative interest coverage ratios, indicating financial vulnerability due to low profitability relative to its interest obligations. However, starting from March 31, 2022, the interest coverage ratio began to improve steadily.
By June 30, 2024, the interest coverage ratio reached its peak at 21.46, demonstrating a significant enhancement in the company's ability to meet its interest payments from its operational earnings. This positive trend suggests that the company's profitability has strengthened, providing a cushion against its interest expenses and potentially indicating a more sustainable financial position going forward.
Overall, the upward trajectory in TG Therapeutics Inc's interest coverage ratio implies an improved financial health and indicates the company's enhanced capacity to service its debt obligations using its operating income.
Peer comparison
Dec 31, 2024