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Financial Ratios

Interest coverage ratio

How many times operating profit covers interest expense.

The question this calculator helps answer

Can operating profit comfortably cover interest?

The interactive calculator appears here as soon as the page loads. Calculations run in your browser and no account is required.

Frequently asked questions

What does this calculator tell me?

Can operating profit comfortably cover interest? How many times operating profit covers interest expense.

Can I use estimates instead of exact figures?

Yes. Start with your best estimate, then change assumptions to see how sensitive the answer is. Better inputs produce a better decision.

Can I compare more than one option?

Yes. Save one option, change the assumptions, save another, and compare the results side by side.