Maxar Technologies (Maxar Technologies) Interest Coverage : 0.24 (As of Mar. 2023)

View and export this data going back to 2009. Start your Free Trial

What is Maxar Technologies 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. Maxar Technologies's Operating Income for the three months ended in Mar. 2023 was $7 Mil. Maxar Technologies's Interest Expense for the three months ended in Mar. 2023 was $-29 Mil. Maxar Technologies's interest coverage for the quarter that ended in Mar. 2023 was 0.24. The higher the ratio, the stronger the company's financial strength is.

Warning Sign:

Ben Graham prefers companies' interest coverage to be at least 5. Maxar Technologies Incs earnings cannot cover its interest expense. If the situation continues, the company may have to issue more debt.

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

MAXR' s Interest Coverage Range Over the Past 10 Years
Min: 0.05 Med: 3.13 Max: 6.38
Current: 0.05

MAXR's Interest Coverage is not ranked
in the Hardware industry.
Industry Median: 12.78 vs MAXR: 0.05

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

Maxar Technologies Interest Coverage Historical Data

The historical data trend for Maxar Technologies'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.

Maxar Technologies Interest Coverage Chart

Maxar Technologies Annual Data

Trend

Dec13

Dec14

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Interest Coverage

Get a 7-Day Free Trial

0.30

1.15

0.10

Maxar Technologies Quarterly Data
	Jun18	Sep18	Dec18	Mar19	Jun19	Sep19	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23
Interest Coverage	Get a 7-Day Free Trial															0.57	1.96	1.40	-	0.24

Competitive Comparison of Maxar Technologies's Interest Coverage

For the Communication Equipment subindustry, Maxar Technologies'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.

Maxar Technologies's Interest Coverage Distribution in the Hardware Industry

For the Hardware industry and Technology sector, Maxar Technologies's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Maxar Technologies's Interest Coverage falls into.

Maxar Technologies 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.

Maxar Technologies's Interest Coverage for the fiscal year that ended in Dec. 2022 is calculated as

Here, for the fiscal year that ended in Dec. 2022, Maxar Technologies's Interest Expense was $-105 Mil. Its Operating Income was $11 Mil. And its Long-Term Debt & Capital Lease Obligation was $2,305 Mil.

Interest Coverage	=	-1	*	Operating Income (A: Dec. 2022 )	/	Interest Expense (A: Dec. 2022 )
	=	-1	*	11	/	-105
	=	0.10

Maxar Technologies's Interest Coverage for the quarter that ended in Mar. 2023 is calculated as

Here, for the three months ended in Mar. 2023, Maxar Technologies's Interest Expense was $-29 Mil. Its Operating Income was $7 Mil. And its Long-Term Debt & Capital Lease Obligation was $2,324 Mil.

Interest Coverage	=	-1	*	Operating Income (Q: Mar. 2023 )	/	Interest Expense (Q: Mar. 2023 )
	=	-1	*	7	/	-29
	=	0.24

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

Maxar Technologies (NYSE:MAXR) 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 .

Maxar Technologies Interest Coverage Related Terms

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

Maxar Technologies (Maxar Technologies) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Technology » Hardware » Maxar Technologies Inc (NYSE:MAXR) » Definitions » Interest Coverage

Comparable Companies

Traded in Other Exchanges

N/A

Address

1300 W. 120th Avenue, Westminster, CO, USA, 80234

Website

https://www.maxar.com

Maxar Technologies Inc is an integrated space and geospatial intelligence company with a full range of space technology solutions for commercial and government customers including satellites, Earth imagery, geospatial data, and analytics. Its operating segments include Earth Intelligence and Space Infrastructure. Earth Intelligence segment is a provider of advanced geospatial information, applications, and analytic services for national security and commercial solutions, Space Infrastructure segment is engaged in space-based infrastructure, robotics, subsystems, and information solutions to satellite operators and government agencies.

Executives

Eric J Zahler	director	600 THIRD AVENUE, NEW YORK NY 10016
Daniel L Jablonsky	officer: Group Pres., DigitalGlobe	1300 WEST 120TH AVENUE, WESTMINSTER CO 80234
Howell M Estes	director	1300 WEST 120TH AVENUE, WESTMINSTER CO 80234
Christopher J. Johnson	officer: SVP and GM, Maxar Space	1300 W. 120TH AVENUE, WESTMINSTER CO 80234
Biggs C Porter	officer: EVP, CFO	TXU CORP.,, 1601 BRYAN STREET, DALLAS TX 75201
Daniel Nord	officer: SVP and GM, Enterprise	1300 W. 120TH AVENUE, WESTMINSTER CO 80234
Iii Jeff Robertson	officer: SVP, Operations	1300 W. 120TH AVENUE, WESTMINSTER CO 80234
James Ci Lee	officer: SVP, General Counsel & Secty	MAXAR TECHNOLOGIES, INC., 1300 W. 120TH AVENUE, WESTMINSTER CO 80234
Nick Cyprus	director	1300 WEST 120TH AVENUE, WESTMINSTER CO 80234
Elizabeth Andora	officer: SVP and CHRO	1300 W. 120TH AVENUE, WESTMINSTER CO 80234
Eddy Zervigon	director	1601 DRY CREEK DRIVE, SUITE 260, LONGMONT CO 80503
Leon Anthony Frazier	officer: Group Pres, Radiant Solutions	2325 DULLES CORNER BLVD., SUITE 1000, HERNDON VA 20171
Walter S. Scott	officer: EVP and CTO	1300 WEST 120TH AVENUE, WESTMINSTER CO 80234
Heather A Wilson	director	501 EAST SAINT JOSEPH STREET, RAPID CITY SD 57701
Joanne O'rourke Isham	director	1140 E. ARQUES AVENUE, SUNNYVALE CA 94805