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Kuaishou Technology (HKSE:01024) Interest Coverage : N/A (As of Dec. 2023)


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What is Kuaishou Technology 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. Kuaishou Technology's Operating Income for the three months ended in Dec. 2023 was HK$3,746 Mil. Kuaishou Technology's Interest Expense for the three months ended in Dec. 2023 was HK$0 Mil. GuruFocus does not calculate 's interest coverage with the available data. 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. Kuaishou Technology has enough cash to cover all of its debt. Its financial situation is stable.

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


HKSE:01024's Interest Coverage is not ranked *
in the Interactive Media industry.
Industry Median: 36.06
* Ranked among companies with meaningful Interest Coverage only.

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


Kuaishou Technology Interest Coverage Historical Data

The historical data trend for Kuaishou Technology'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.

Kuaishou Technology Interest Coverage Chart

Kuaishou Technology Annual Data
Trend Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Interest Coverage
Get a 7-Day Free Trial 6.98 - - - 12.16

Kuaishou Technology Quarterly Data
Dec17 Dec18 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 N/A N/A N/A N/A N/A

Competitive Comparison of Kuaishou Technology's Interest Coverage

For the Internet Content & Information subindustry, Kuaishou Technology'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.


Kuaishou Technology's Interest Coverage Distribution in the Interactive Media Industry

For the Interactive Media industry and Communication Services sector, Kuaishou Technology's Interest Coverage distribution charts can be found below:

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



Kuaishou Technology 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.

Kuaishou Technology'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, Kuaishou Technology's Interest Expense was HK$-541 Mil. Its Operating Income was HK$6,586 Mil. And its Long-Term Debt & Capital Lease Obligation was HK$9,193 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2023 )/Interest Expense (A: Dec. 2023 )
=-1*6585.643/-541.421
=12.16

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

Here, for the three months ended in Dec. 2023, Kuaishou Technology's Interest Expense was HK$0 Mil. Its Operating Income was HK$3,746 Mil. And its Long-Term Debt & Capital Lease Obligation was HK$9,193 Mil.

GuruFocus does not calculate Kuaishou Technology's interest coverage with the available data.

* 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.


Kuaishou Technology  (HKSE:01024) 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 .


Kuaishou Technology Interest Coverage Related Terms

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


Kuaishou Technology (HKSE:01024) Business Description

Traded in Other Exchanges
Address
No. 6, Shangdi West Road, Building 1, Haidian District, Beijing, CHN, 100085
Kuaishou Technology is a social media platform on which users can share short-form videos that are up to 5 minutes long. The audience engages with the platform by looking at different videos on demand at any time, similar to TikTok. About 52% of revenue is generated from advertising, mainly in the form of targeted ads related to the video content—known as closed-loop ads—but also from outside unrelated brands. Kuaishou also generates livestream revenue by selling virtual gifts to fans that are donated to performers. It also has livestreaming e-commerce, where users purchase products related to the video, generating commission from each transaction. Kuaishou competes mainly with ByteDance's Douyin, as both are short-form video platforms. Tencent owns 19% of Kuaishou.

Kuaishou Technology (HKSE:01024) Headlines

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