Mkdwell Tech Warrants(Mkdww) Financials: Interest Coverage Compared To Industry Average, Plus Other Key Ratios

Report Profitability Growth Liquidity Solvency Valuation

debt to assets debt to equity equity multiplier financial leverage interest coverage

Solvency Trend (Last 5 Years)

Solvency - interest coverage

This chart shows the historical trend of interest coverage for MKDWW compared to its industry average over the recent years.

Ratio Definition and Interpretation

Name: Interest Coverage

Definition: Interest coverage tells you how easily the company can pay interest on its debt using operating profits. It’s like asking: “Can the company comfortably make its loan payments, or is it barely scraping by?” The higher the ratio, the safer. A very low ratio means debt payments may strain the business, especially if profits drop.

Interpretation:
• In '2021', MKDWW's interest coverage was -3.24, indicating the firm's ability to meet its interest obligations. Industry average for Consumer Electronics/Appliances in '2021' stood at -1.31.
• In '2022', MKDWW's interest coverage was -2.12, indicating the firm's ability to meet its interest obligations. The increase since '2021' reflects strengthening financial performance. Industry average for Consumer Electronics/Appliances in '2022' stood at -2.93. Industry average declined by 1.62 from previous year.
• In '2023', MKDWW's interest coverage was -7.46, indicating the firm's ability to meet its interest obligations. The decline from '2022' may indicate some operational or financial challenges. Industry average for Consumer Electronics/Appliances in '2023' stood at -0.95. Industry average increased by 1.98 compared to previous year.
• In '2023', MKDWW's interest coverage was -7.46, indicating the firm's ability to meet its interest obligations. The figure remained stable compared to '2023'. Industry average for Consumer Electronics/Appliances in '2023' stood at -0.95. Industry average remained unchanged from prior year.
• In '2024', MKDWW's interest coverage was -6.93, indicating the firm's ability to meet its interest obligations. The increase since '2023' reflects strengthening financial performance. Industry average for Consumer Electronics/Appliances in '2024' stood at -0.22. Industry average increased by 0.73 compared to previous year.
Overall, MKDWW's interest coverage has been volatile but showed a downward trend over the past 5 years.

Formula: Interest Coverage = EBIT / Interest Expense

Good Range: Minimum 3-5 desirable; below 1 is risky.