APi Group (APi Group) Interest Coverage : 2.94 (As of Mar. 2024)

View and export this data going back to 2017. Start your Free Trial

What is APi Group 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. APi Group's Operating Income for the three months ended in Mar. 2024 was $100 Mil. APi Group's Interest Expense for the three months ended in Mar. 2024 was $-34 Mil. APi Group's interest coverage for the quarter that ended in Mar. 2024 was 2.94. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for APi Group's Interest Coverage or its related term are showing as below:

APG' s Interest Coverage Range Over the Past 10 Years
Min: 0.6 Med: 2.42 Max: No Debt
Current: 2.78

APG's Interest Coverage is ranked worse than
74.37% of 1264 companies
in the Construction industry
Industry Median: 7.06 vs APG: 2.78

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

APi Group Interest Coverage Historical Data

The historical data trend for APi Group'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.

APi Group Interest Coverage Chart

APi Group Annual Data

Trend

Dec17

Aug18

Dec20

Dec21

Dec22

Dec23

Interest Coverage

Get a 7-Day Free Trial

No Debt

0.60

2.27

1.63

2.56

APi Group Quarterly Data
	Jun19	Sep19	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23	Mar24
Interest Coverage	Get a 7-Day Free Trial															1.97	2.89	2.89	2.36	2.94

Competitive Comparison of APi Group's Interest Coverage

For the Engineering & Construction subindustry, APi Group'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.

APi Group's Interest Coverage Distribution in the Construction Industry

For the Construction industry and Industrials sector, APi Group's Interest Coverage distribution charts can be found below:

* The bar in red indicates where APi Group's Interest Coverage falls into.

APi Group 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.

APi Group'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, APi Group's Interest Expense was $-145 Mil. Its Operating Income was $371 Mil. And its Long-Term Debt & Capital Lease Obligation was $2,494 Mil.

Interest Coverage	=	-1	*	Operating Income (A: Dec. 2023 )	/	Interest Expense (A: Dec. 2023 )
	=	-1	*	371	/	-145
	=	2.56

APi Group's Interest Coverage for the quarter that ended in Mar. 2024 is calculated as

Here, for the three months ended in Mar. 2024, APi Group's Interest Expense was $-34 Mil. Its Operating Income was $100 Mil. And its Long-Term Debt & Capital Lease Obligation was $2,797 Mil.

Interest Coverage	=	-1	*	Operating Income (Q: Mar. 2024 )	/	Interest Expense (Q: Mar. 2024 )
	=	-1	*	100	/	-34
	=	2.94

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

APi Group (NYSE:APG) 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 .

APi Group Interest Coverage Related Terms

Thank you for viewing the detailed overview of APi Group's Interest Coverage provided by GuruFocus.com. Please click on the following links to see related term pages.

APi Group (APi Group) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Industrials » Construction » APi Group Corp (NYSE:APG) » Definitions » Interest Coverage

Comparable Companies

Traded in Other Exchanges

4XY:Germany

Address

c/o APi Group, Inc, 1100 Old Highway 8 NW, New Brighton, MN, USA, 55112

Website

https://www.apigroupinc.com

APi Group Corp operates in two operating segments, 1) Safety Services segment includes providing safety services in North America, Asia Pacific, and Europe, focusing on end-to-end integrated occupancy systems (fire protection solutions, Heating, Ventilation, and Air Conditioning and entry systems), including design, installation, inspection, and service of these integrated systems. These services are provided in commercial, education, healthcare, high tech, industrial, and special-hazard settings. 2) Specialty Services segment includes providing a variety of infrastructure services and specialized industrial plant services, which include maintenance and repair of critical infrastructure such as underground electric, gas, water, sewer, and telecommunications infrastructure.

Executives

Viking Global Investors Lp	10 percent owner	600 WASHINGTON BLVD., FLOOR 11, STAMFORD CT 06901
Ashken Ian G H	director	C/O MARIPOSA CAPITAL, LLC, 5200 BLUE LAGOON DRIVE, SUITE 855, MIAMI FL 33126
James E Lillie	director	C/O MOORE CORPORATION LIMITED, ONE CANTERBURY GREEN, STAMFORD CT 06901
Fd Juno Holdings L.p.	10 percent owner	C/O THE BLACKSTONE GROUP INC., 345 PARK AVENUE, NEW YORK NY 10154
Juno Lower Holdings L.p.	10 percent owner	C/O THE BLACKSTONE GROUP INC., 345 PARK AVENUE, NEW YORK NY 10154
Bto De Gp - Nq L.l.c.	10 percent owner	C/O THE BLACKSTONE GROUP INC., 345 PARK AVENUE, NEW YORK NY 10154
Juno Holdings Manager L.l.c.	10 percent owner	C/O THE BLACKSTONE GROUP INC., 345 PARK AVENUE, NEW YORK NY 10154
Fd Juno Holdings Manager L.l.c.	10 percent owner	C/O THE BLACKSTONE GROUP INC., 345 PARK AVENUE, NEW YORK NY 10154
Blackstone Juno Holdings L.p.	10 percent owner	C/O THE BLACKSTONE GROUP INC., 345 PARK AVENUE, NEW YORK NY 10154
Blackstone Tactical Opportunities Associates Iii - Nq L.p.	10 percent owner	C/O THE BLACKSTONE GROUP INC., 345 PARK AVENUE, NEW YORK NY 10154
Blackstone Tactical Opportunities Fund - Fd L.p.	10 percent owner	C/O THE BLACKSTONE GROUP INC., 345 PARK AVENUE, NEW YORK NY 10154
Bto Holdings Manager L.l.c.	10 percent owner	C/O THE BLACKSTONE GROUP, 345 PARK AVE., NEW YORK NY 10154
Blackstone Tactical Opportunities Associates L.l.c.	10 percent owner	C/O BLACKSTONE INC., 345 PARK AVE., NEW YORK NY 10154
Btoa L.l.c.	10 percent owner	C/O BLACKSTONE INC., 345 PARK AVENUE, NEW YORK NY 10154
Stephen A Schwarzman	10 percent owner	C/O BLACKSTONE INC., 345 PARK AVE, NEW YORK NY 10154