Uber Technologies Inc (UBER)
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 | 3,575,000 | 1,110,000 | -8,861,000 | -3,834,000 | -6,488,000 |
| Interest expense | US$ in thousands | 523,000 | 633,000 | 565,000 | 483,000 | 458,000 |
| Interest coverage | 6.84 | 1.75 | -15.68 | -7.94 | -14.17 |
December 31, 2024 calculation
Interest coverage = EBIT ÷ Interest expense
= $3,575,000K ÷ $523,000K
= 6.84
The interest coverage ratio for Uber Technologies Inc has shown a fluctuating trend over the past five years. As of December 31, 2020, the ratio was at a concerning -14.17, indicating that the company's operating income was insufficient to cover its interest expenses. However, by December 31, 2024, the interest coverage ratio had improved to a more positive 6.84. This suggests that the company's ability to cover its interest payments had strengthened significantly.
Overall, the trend in Uber's interest coverage ratio reflects varying levels of financial risk and stability over the years, with improvements seen in more recent periods. Attention should be paid to maintain this positive trajectory to ensure the company's financial health and sustainability.
Peer comparison
Dec 31, 2024