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Lvji Technology Holdings (HKSE:01745) Interest Coverage : 821.94 (As of Dec. 2023)


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What is Lvji Technology Holdings Interest Coverage?

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income by its Interest Expense. Lvji Technology Holdings's Operating Income for the six months ended in Dec. 2023 was HK$123.3 Mil. Lvji Technology Holdings's Interest Expense for the six months ended in Dec. 2023 was HK$-0.2 Mil. Lvji Technology Holdings's interest coverage for the quarter that ended in Dec. 2023 was 821.94. The higher the ratio, the stronger the company's financial strength is.

Good Sign:

Ben Graham prefers companies' interest coverage to be at least 5. Lvji Technology Holdings Inc has enough cash to cover all of its debt. Its financial situation is stable.

The historical rank and industry rank for Lvji Technology Holdings's Interest Coverage or its related term are showing as below:

HKSE:01745' s Interest Coverage Range Over the Past 10 Years
Min: 42.92   Med: 545.47   Max: No Debt
Current: 545.48


HKSE:01745's Interest Coverage is ranked better than
91.78% of 608 companies
in the Travel & Leisure industry
Industry Median: 5.15 vs HKSE:01745: 545.48

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.


Lvji Technology Holdings Interest Coverage Historical Data

The historical data trend for Lvji Technology Holdings's Interest Coverage can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Note: For Interest Coverage, "No debt" indicates no long-term debt. An indication of "No Debt" does not necessarily mean that the company has no long-term debt obligations; it could be due to missing data in the quarterly or annual report. Use caution when interpreting this information.

* Premium members only.

Lvji Technology Holdings Interest Coverage Chart

Lvji Technology Holdings Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Interest Coverage
Get a 7-Day Free Trial 3,365.95 - 42.92 206.80 545.47

Lvji Technology Holdings Semi-Annual Data
Dec16 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23
Interest Coverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 63.36 1,284.03 25.14 336.04 821.94

Competitive Comparison of Lvji Technology Holdings's Interest Coverage

For the Travel Services subindustry, Lvji Technology Holdings's Interest Coverage, along with its competitors' market caps and Interest Coverage data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Lvji Technology Holdings's Interest Coverage Distribution in the Travel & Leisure Industry

For the Travel & Leisure industry and Consumer Cyclical sector, Lvji Technology Holdings's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Lvji Technology Holdings's Interest Coverage falls into.



Lvji Technology Holdings Interest Coverage Calculation

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

If Interest Expense is negative and Operating Income is positive, then

Interest Coverage=-1* Operating Income /Interest Expense

Else if Interest Expense is negative and Operating Income is negative, then

The company did not have earnings to cover the interest expense.

Else if Interest Expense is 0 and Long-Term Debt & Capital Lease Obligation is 0, then

The company had no debt (1).


Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Lvji Technology Holdings's Interest Coverage for the fiscal year that ended in Dec. 2023 is calculated as

Here, for the fiscal year that ended in Dec. 2023, Lvji Technology Holdings's Interest Expense was HK$-0.3 Mil. Its Operating Income was HK$189.8 Mil. And its Long-Term Debt & Capital Lease Obligation was HK$3.3 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2023 )/Interest Expense (A: Dec. 2023 )
=-1*189.825/-0.348
=545.47

Lvji Technology Holdings's Interest Coverage for the quarter that ended in Dec. 2023 is calculated as

Here, for the six months ended in Dec. 2023, Lvji Technology Holdings's Interest Expense was HK$-0.2 Mil. Its Operating Income was HK$123.3 Mil. And its Long-Term Debt & Capital Lease Obligation was HK$3.3 Mil.

Interest Coverage=-1* Operating Income (Q: Dec. 2023 )/Interest Expense (Q: Dec. 2023 )
=-1*123.291/-0.15
=821.94

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

The higher the ratio, the stronger the company's Financial Strength is.


Lvji Technology Holdings  (HKSE:01745) Interest Coverage Explanation

Ben Graham requires that a company has a minimum interest coverage of 5 with the companies he invested. If the interest coverage is less than 2, the company is burdened by debt. Any business slow or recession may drag the company into a situation where it cannot pay the interest on its debt.

Interest Coverage is an important factor when GuruFocus ranks a company's overage Financial Strength .


Lvji Technology Holdings Interest Coverage Related Terms

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Lvji Technology Holdings (HKSE:01745) Business Description

Traded in Other Exchanges
N/A
Address
Room 501, 238 Gaotang Road, Tianhe District, Guangzhou, CHN
Lvji Technology Holdings Inc is an online tour guide provider. The company deploys software on its cloud system to provide online tour guides with proprietary contents, which include illustrated maps of tourist attractions, editorial contents and voice-over commentaries of points of interest in the tourist attractions and are implemented to include functions such as real time navigation. It generates revenue from sales of online tour guides through OTAs.

Lvji Technology Holdings (HKSE:01745) Headlines

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