GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Vehicles & Parts » Winnebago Industries Inc (NYSE:WGO) » Definitions » Interest Coverage

WGO (Winnebago Industries) Interest Coverage : 2.12 (As of Aug. 2024)


View and export this data going back to 1970. Start your Free Trial

What is Winnebago Industries 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. Winnebago Industries's Operating Income for the three months ended in Aug. 2024 was $13 Mil. Winnebago Industries's Interest Expense for the three months ended in Aug. 2024 was $-6 Mil. Winnebago Industries's interest coverage for the quarter that ended in Aug. 2024 was 2.12. The higher the ratio, the stronger the company's financial strength is.

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

WGO' s Interest Coverage Range Over the Past 10 Years
Min: 3.04   Med: 9.44   Max: No Debt
Current: 6.18


WGO's Interest Coverage is ranked worse than
55.97% of 1031 companies
in the Vehicles & Parts industry
Industry Median: 8.04 vs WGO: 6.18

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


Winnebago Industries Interest Coverage Historical Data

The historical data trend for Winnebago Industries'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.

Winnebago Industries Interest Coverage Chart

Winnebago Industries Annual Data
Trend Aug15 Aug16 Aug17 Aug18 Aug19 Aug20 Aug21 Aug22 Aug23 Aug24
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 3.04 10.08 14.13 14.67 6.18

Winnebago Industries Quarterly Data
Nov19 Feb20 May20 Aug20 Nov20 Feb21 May21 Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24 May24 Aug24
Interest Coverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 14.02 9.54 6.68 7.50 2.12

Competitive Comparison of Winnebago Industries's Interest Coverage

For the Recreational Vehicles subindustry, Winnebago Industries'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.


Winnebago Industries's Interest Coverage Distribution in the Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, Winnebago Industries's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Winnebago Industries's Interest Coverage falls into.



Winnebago Industries 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.

Winnebago Industries's Interest Coverage for the fiscal year that ended in Aug. 2024 is calculated as

Here, for the fiscal year that ended in Aug. 2024, Winnebago Industries's Interest Expense was $-21 Mil. Its Operating Income was $131 Mil. And its Long-Term Debt & Capital Lease Obligation was $683 Mil.

Interest Coverage=-1* Operating Income (A: Aug. 2024 )/Interest Expense (A: Aug. 2024 )
=-1*130.5/-21.1
=6.18

Winnebago Industries's Interest Coverage for the quarter that ended in Aug. 2024 is calculated as

Here, for the three months ended in Aug. 2024, Winnebago Industries's Interest Expense was $-6 Mil. Its Operating Income was $13 Mil. And its Long-Term Debt & Capital Lease Obligation was $683 Mil.

Interest Coverage=-1* Operating Income (Q: Aug. 2024 )/Interest Expense (Q: Aug. 2024 )
=-1*12.5/-5.9
=2.12

* 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.

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


Winnebago Industries  (NYSE:WGO) 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 .


Winnebago Industries Interest Coverage Related Terms

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


Winnebago Industries Business Description

Traded in Other Exchanges
Address
13200 Pioneer Trail, Eden Prairie, MN, USA, 55347
Winnebago Industries manufactures Class A, B, and C motor homes along with towables, customized specialty vehicles, boats, and parts. Headquartered in Eden Prairie, Minnesota, Winnebago has been producing recreational vehicles since 1958. Revenue was about $3.5 billion in fiscal 2023. Winnebago expanded into towables in 2011 with the acquisition of SunnyBrook and acquired Grand Design in November 2016. Towables made up 79% of the firm's RV unit volume, up from 31% in fiscal 2016. The company's total RV unit volume was 39,447 in fiscal 2023. Winnebago expanded into boating in 2018 with the purchase of Chris-Craft, bought premium motor home maker Newmar in November 2019, and bought Barletta pontoon boats in August 2021. It also is developing electric and autonomous technology.
Executives
Stacy L Bogart officer: VP-General Counsel & Secretary 13200 PIONEER TRAIL, EDEN PRAIRIE MN 55347
Christopher David West officer: VP - Operations N60W27221 TRAPPERS RUN, SUSSEX WI 53089
Richard D Moss director 1715 WEST 38TH STREET, CHATTANOOGA TN 37409
William C. Fisher director 2100 HIGHWAY 55, MEDINA MN 55340
Ashis Nayan Bhattacharya officer: VP Strategic Development & Pla 6341 URBANDALE LANE NORTH, MAPLE GROVE MN 55311
Staci L Kroon director 13200 PIONEER TRAIL, EDEN PRAIRIE MN 55347
Donald Jeff Clark officer: President & CEO Grand Design 13429 WOODED KNOLL TRAIL, MIDDLEBURY IN 46540
Casey J Tubman officer: PRESIDENT, NEWMAR CORPORATION 13200 PIONEER TRAIL, EDEN PRAIRIE MN 55347
Maria Favlana Blase director PO BOX 152, FOREST CITY IA 50436
Jacqueline D. Woods director PO BOX 152, FOREST CITY IA 50436
Kevin E. Bryant director C/O EVERGY, INC., 1200 MAIN STREET, KANSAS CITY MO 64105
Matthew L. Miller officer: VP, WGO, President, Newmar P.O. BOX 152, FOREST CITY IA 50436
Bret A Woodson officer: VP-Administration P.O. BOX 152, FOREST CITY IA 50436
Huw Bower officer: President, Winnebago Outdoors C/O BRUNSWICK CORPORATION, 1 N FIELD COURT, LAKE FOREST IL 60045
Michael J Happe director, officer: CEO & President P.O. BOX 152, FOREST CITY IA 50436