The TJX Companies Inc (TJX)
Interest coverage
| Jan 31, 2025 | Feb 3, 2024 | Jan 31, 2024 | Jan 31, 2023 | Jan 28, 2023 | ||
|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | 6,302,000 | 6,049,000 | 6,046,000 | 5,078,000 | 4,727,000 |
| Interest expense | US$ in thousands | 181,000 | 82,000 | 79,000 | 84,000 | 91,000 |
| Interest coverage | 34.82 | 73.77 | 76.53 | 60.45 | 51.95 |
January 31, 2025 calculation
Interest coverage = EBIT ÷ Interest expense
= $6,302,000K ÷ $181,000K
= 34.82
The interest coverage ratio of The TJX Companies Inc has shown a positive trend over the past few years, reflecting the company's ability to meet its interest obligations comfortably.
In January 2023, the interest coverage ratio stood at 51.95, indicating that the company's operating income was almost 52 times higher than its interest expenses, suggesting a strong ability to cover interest payments. By January 2025, although the interest coverage ratio had decreased to 34.82, it still signifies that TJX's earnings were nearly 35 times greater than its interest costs.
Overall, the consistent high interest coverage ratios demonstrate The TJX Companies Inc's financial stability and capacity to manage its debt obligations effectively throughout the period analyzed.
Peer comparison
Jan 31, 2025