TTM Technologies Inc (TTMI)
Interest coverage
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | 131,464 | 45,178 | 174,227 | 104,256 | 17,937 |
| Interest expense | US$ in thousands | 47,515 | 48,124 | 45,517 | 45,475 | 73,156 |
| Interest coverage | 2.77 | 0.94 | 3.83 | 2.29 | 0.25 |
December 31, 2024 calculation
Interest coverage = EBIT ÷ Interest expense
= $131,464K ÷ $47,515K
= 2.77
TTM Technologies Inc's interest coverage has shown significant fluctuations over the past five years. Starting at a low point of 0.25 on December 31, 2020, the company's ability to cover its interest expenses improved notably by December 31, 2021, reaching a level of 2.29. This upward trend continued over the following years, with the interest coverage ratio further increasing to 3.83 by December 31, 2022.
However, there was a slight decline in the interest coverage ratio for TTM Technologies Inc by December 31, 2023, dropping to 0.94. This decrease indicates a potential weakening in the company's ability to cover its interest obligations with its operating income.
Nonetheless, by December 31, 2024, the interest coverage ratio improved once again to 2.77, suggesting a partial recovery in the company's ability to meet its interest payments. It is essential for TTM Technologies Inc to continue monitoring and managing its interest coverage ratio to ensure it remains at a sustainable level and reflects the company's financial health.
Peer comparison
Dec 31, 2024