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Keystone Law Group (LSE:KEYS) Interest Coverage : 13.84 (As of Jan. 2024)


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What is Keystone Law 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. Keystone Law Group's Operating Income for the six months ended in Jan. 2024 was £6.06 Mil. Keystone Law Group's Interest Expense for the six months ended in Jan. 2024 was £-0.44 Mil. Keystone Law Group's interest coverage for the quarter that ended in Jan. 2024 was 13.84. The higher the ratio, the stronger the company's financial strength is.

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

LSE:KEYS' s Interest Coverage Range Over the Past 10 Years
Min: 2.4   Med: 32.17   Max: 88.96
Current: 15.85


LSE:KEYS's Interest Coverage is ranked better than
53.47% of 793 companies
in the Business Services industry
Industry Median: 13.27 vs LSE:KEYS: 15.85

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


Keystone Law Group Interest Coverage Historical Data

The historical data trend for Keystone Law 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.

Keystone Law Group Interest Coverage Chart

Keystone Law Group Annual Data
Trend Jan15 Jan16 Jan17 Jan18 Jan19 Jan20 Jan21 Jan22 Jan23 Jan24
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 60.00 48.49 88.96 64.33 15.85

Keystone Law Group Semi-Annual Data
Jan15 Jan16 Jan17 Jul17 Jan18 Jul18 Jan19 Jul19 Jan20 Jul20 Jan21 Jul21 Jan22 Jul22 Jan23 Jul23 Jan24
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 Premium Member Only Premium Member Only Premium Member Only 86.52 85.33 53.83 19.38 13.84

Competitive Comparison of Keystone Law Group's Interest Coverage

For the Specialty Business Services subindustry, Keystone Law 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.


Keystone Law Group's Interest Coverage Distribution in the Business Services Industry

For the Business Services industry and Industrials sector, Keystone Law Group's Interest Coverage distribution charts can be found below:

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



Keystone Law 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.

Keystone Law Group's Interest Coverage for the fiscal year that ended in Jan. 2024 is calculated as

Here, for the fiscal year that ended in Jan. 2024, Keystone Law Group's Interest Expense was £-0.69 Mil. Its Operating Income was £10.89 Mil. And its Long-Term Debt & Capital Lease Obligation was £2.03 Mil.

Interest Coverage=-1* Operating Income (A: Jan. 2024 )/Interest Expense (A: Jan. 2024 )
=-1*10.888/-0.687
=15.85

Keystone Law Group's Interest Coverage for the quarter that ended in Jan. 2024 is calculated as

Here, for the six months ended in Jan. 2024, Keystone Law Group's Interest Expense was £-0.44 Mil. Its Operating Income was £6.06 Mil. And its Long-Term Debt & Capital Lease Obligation was £2.03 Mil.

Interest Coverage=-1* Operating Income (Q: Jan. 2024 )/Interest Expense (Q: Jan. 2024 )
=-1*6.063/-0.438
=13.84

* 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.


Keystone Law Group  (LSE:KEYS) 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 .


Keystone Law Group Interest Coverage Related Terms

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


Keystone Law Group (LSE:KEYS) Business Description

Traded in Other Exchanges
N/A
Address
48 Chancery Lane, London, GBR, WC2A 1JF
Keystone Law Group PLC is a law firm. The company provides legal services to a client base comprising of small and medium enterprises and private individuals. It offers conventional legal advice in the areas including property, commercial, corporate, employment, family, litigation, and private client. It derives revenue from rendering of services and other revenue. It serves sectors such as Aviation, Education, Financial Services, Food and Beverage, High-Net-Worth Family Office, Hotels, Hospitality and Leisure, In-House Legal, Life Sciences and Healthcare, Marine and Shipping, Media, Satellite, Space and Communications, and others.