GURUFOCUS.COM » STOCK LIST » Financial Services » Insurance » Talanx AG (XTER:TLX) » Definitions » Interest Coverage

Talanx AG (XTER:TLX) Interest Coverage : 0 (At Loss) (As of Dec. 2023)


View and export this data going back to 2012. Start your Free Trial

What is Talanx AG 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 EBIT by its Interest Expense. Talanx AG's EBIT for the three months ended in Dec. 2023 was €213 Mil. Talanx AG's Interest Expense for the three months ended in Dec. 2023 was €32 Mil. did not have earnings to cover the interest expense. The higher the ratio, the stronger the company's financial strength is.

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

XTER:TLX' s Interest Coverage Range Over the Past 10 Years
Min: 8.31   Med: 13.15   Max: 20.96
Current: 20.96


XTER:TLX's Interest Coverage is ranked better than
60.31% of 325 companies
in the Insurance industry
Industry Median: 13.52 vs XTER:TLX: 20.96

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


Talanx AG Interest Coverage Historical Data

The historical data trend for Talanx AG'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.

Talanx AG Interest Coverage Chart

Talanx AG Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 12.74 8.31 13.94 20.20 20.78

Talanx AG Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 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 Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 57.56 17.11 15.51 14.89 -

Competitive Comparison of Talanx AG's Interest Coverage

For the Insurance - Diversified subindustry, Talanx AG'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.


Talanx AG's Interest Coverage Distribution in the Insurance Industry

For the Insurance industry and Financial Services sector, Talanx AG's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Talanx AG's Interest Coverage falls into.



Talanx AG 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 EBIT is positive, then

Interest Coverage=-1* EBIT /Interest Expense

Else if Interest Expense is negative and EBIT 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.

Talanx AG'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, Talanx AG's Interest Expense was €-143 Mil. Its EBIT was €2,972 Mil. And its Long-Term Debt & Capital Lease Obligation was €9,105 Mil.

Interest Coverage=-1* EBIT (A: Dec. 2023 )/Interest Expense (A: Dec. 2023 )
=-1*2972/-143
=20.78

Talanx AG's Interest Coverage for the quarter that ended in Dec. 2023 is calculated as

Here, for the three months ended in Dec. 2023, Talanx AG's Interest Expense was €32 Mil. Its EBIT was €213 Mil. And its Long-Term Debt & Capital Lease Obligation was €9,105 Mil.

* 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.


Talanx AG  (XTER:TLX) 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 .


Talanx AG Interest Coverage Related Terms

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


Talanx AG (XTER:TLX) Business Description

Traded in Other Exchanges
Address
HDI-Platz 1, Hannover, NI, DEU, 30659
Talanx is the third largest insurer in Germany. It sells insurance to businesses, personal lines insurance, and also reinsurance. The origins of Talanx go back to the early 1900s and the founding of two mutuals in Germany, HDI and FSV, that were set up to provide liability insurance to the German iron and steel industry, and fire insurance to the German mining industry because of a growing dissatisfaction with their insurance providers, respectively. These two mutuals merged to form Halfplichtverband der Deutschen Industrie, or HDI, in 1970. Over the years companies outside of metals and mining have joined the mutual.HDI started providing reinsurance services in the mid-1920s and private insurance in the 1950s, and today, HDI owns over three quarters of Talanx.
Executives
Sebastian Gascard Supervisory Board

Talanx AG (XTER:TLX) Headlines

No Headlines