Calculated by dividing operating cash flow over the last twelve months by the total for interest expenses and preferential dividend payments over the last twelve months.

Also known as Times Interest Earned, this is the ratio of Earnings Before Interest and Taxes for the latest 12 twelve months divided by the twelve month Interest Expense.

This ratio measures a firm's ability to pay interest on its debt. It is calculated by dividing net earnings before interest and taxes by the interest expense on bonds and other contractual long-term debt. A low coverage ratio can indicate a company is over-leveraged. A high ratio indicates a margin of safety from default.

Ability to meet all interest obligations out of earnings calculated as Earnings Before Interest and Tax divided by Interest.

Ratio of funds from operations to interest expense on operations.

Considers the extent to which all fixed financial charges are covered. = Earning before interest and tax / Financial charges

Income divided by interest payments, which is used as a measure of a company’s ability to meet its interest obligations.