Interest Coverage Ratio (ICR) Calculator
Calculates Interest Coverage Ratio using Earnings Before Interest and Taxes (EBIT) and Interest Expense.
Result Interest Coverage Ratio 0 interestCoverageRatio
Related Calculators: Adjusted Funds From Operations (AFFO) Calculator, After Tax Cost Of Debt (After-Tax COD) Calculator, Compound Interest Calculator, After Repair Value (ARV) Calculator, Altman Zscore (AZ) Calculator, Annualized Return Calculator, Appreciation Calculator, Asset Allocation Calculator: Find the Perfect Balance of Risk and Reward, Bond Current Yield (BCY) Calculator, Capital Asset Pricing Model (CAPM) Calculator,
Formula
$5700 / $8300 = 0.68675.When the ratio is below 1, it indicates that the company does not generate enough earnings to fully cover its interest payments, which could signal financial challenges.
Meaning
The Interest Coverage Ratio (ICR) is a financial metric that measures a company's ability to pay its interest expenses. It indicates whether a company has sufficient earnings to cover its interest payments, providing insight into its debt management capabilities.
More Articles
- Struggling to Save? Try These 10 Money-Saving Hacks
- 13 Best Financial and Investment Calculators
- Mastering the Art of Frugal Living: A Comprehensive Guide to Smart Shopping
- A Comprehensive Collection of Investing and Financial Books
- The Ultimate List of Investing Podcasts
- Strategic Investing: Why You Should Look Beyond the Stock Market Celebrities
- The Harsh Truth About Dividend Investing
- Where to Buy Domains: Finding the Best Deals
The AI Gold Rush: Navigating the Thin Line Between Innovation and Overvaluation in Business- Sweet Dreams: 7 Smart Sleep Investments for a Restful Night.
