BOC Aviation (HKSE:02588) Interest Coverage : 28.04 (As of Dec. 2023)

View and export this data going back to 2016. Start your Free Trial

What is BOC Aviation 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. BOC Aviation's Operating Income for the six months ended in Dec. 2023 was HK$2,273 Mil. BOC Aviation's Interest Expense for the six months ended in Dec. 2023 was HK$-81 Mil. BOC Aviation's interest coverage for the quarter that ended in Dec. 2023 was 28.04. The higher the ratio, the stronger the company's financial strength is.

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

HKSE:02588' s Interest Coverage Range Over the Past 10 Years
Min: 25.12 Med: 27.08 Max: 31.53
Current: 26.34

HKSE:02588's Interest Coverage is ranked better than
61.77% of 790 companies
in the Business Services industry
Industry Median: 13.395 vs HKSE:02588: 26.34

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

BOC Aviation Interest Coverage Historical Data

The historical data trend for BOC Aviation'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.

BOC Aviation Interest Coverage Chart

BOC Aviation Annual Data

Trend

Dec14

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Interest Coverage

Get a 7-Day Free Trial

31.53

26.92

30.99

30.24

26.34

BOC Aviation Semi-Annual Data
	Dec13	Dec14	Jun15	Dec15	Jun16	Dec16	Jun17	Dec17	Jun18	Dec18	Jun19	Dec19	Jun20	Dec20	Jun21	Dec21	Jun22	Dec22	Jun23	Dec23
Interest Coverage	Get a 7-Day Free Trial															26.78	39.79	21.36	24.66	28.04

Competitive Comparison of BOC Aviation's Interest Coverage

For the Rental & Leasing Services subindustry, BOC Aviation'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.

BOC Aviation's Interest Coverage Distribution in the Business Services Industry

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

* The bar in red indicates where BOC Aviation's Interest Coverage falls into.

BOC Aviation 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.

BOC Aviation'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, BOC Aviation's Interest Expense was HK$-163 Mil. Its Operating Income was HK$4,295 Mil. And its Long-Term Debt & Capital Lease Obligation was HK$104,869 Mil.

Interest Coverage	=	-1	*	Operating Income (A: Dec. 2023 )	/	Interest Expense (A: Dec. 2023 )
	=	-1	*	4294.757	/	-163.053
	=	26.34

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

Here, for the six months ended in Dec. 2023, BOC Aviation's Interest Expense was HK$-81 Mil. Its Operating Income was HK$2,273 Mil. And its Long-Term Debt & Capital Lease Obligation was HK$104,869 Mil.

Interest Coverage	=	-1	*	Operating Income (Q: Dec. 2023 )	/	Interest Expense (Q: Dec. 2023 )
	=	-1	*	2272.816	/	-81.065
	=	28.04

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

BOC Aviation (HKSE:02588) 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 .

BOC Aviation Interest Coverage Related Terms

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

BOC Aviation (HKSE:02588) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Industrials » Business Services » BOC Aviation Ltd (HKSE:02588) » Definitions » Interest Coverage

Comparable Companies

Traded in Other Exchanges

BCVVF:USA

Address

79 Robinson Road, No. 15-01, Singapore, SGP, 068897

Website

https://www.bocaviation.com

BOC Aviation is the world's fifth-largest aircraft leasing company by net book value of owned aircraft, with a portfolio of more than 600 commercial passenger and cargo aircraft. The company was founded in 1993 in Singapore as a joint venture between Singapore Airlines and U.S.-based Boullioun Aviation Services. In 2006, the company was acquired by the Bank of China and took on its current name. Listed on the Stock Exchange of Hong Kong in 2016, BOC Aviation remains headquartered in Singapore, but has operations in Dublin, London, New York, and Tianjin. Bank of China remains its largest shareholder with a 70% stake. BOC Aviation has an international management team with its key leaders having more than 30 years of experience in the aircraft and leasing business.

BOC Aviation (HKSE:02588) Headlines

No Headlines