Ark Restaurants (Ark Restaurants) Interest Coverage

: 9.37 (As of Dec. 2023)

View and export this data going back to 1985. Start your Free Trial

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. Ark Restaurants's Operating Income for the three months ended in Dec. 2023 was $1.6 Mil. Ark Restaurants's Interest Expense for the three months ended in Dec. 2023 was $-0.2 Mil. Ark Restaurants's interest coverage for the quarter that ended in Dec. 2023 was 9.37. The higher the ratio, the stronger the company's financial strength is.

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

ARKR' s Interest Coverage Range Over the Past 10 Years
Min: 4.16 Med: 7.13 Max: 37.95
Current: 4.65

ARKR's Interest Coverage is ranked worse than
61.33% of 256 companies
in the Restaurants industry
Industry Median: 6.76 vs ARKR: 4.65

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

Ark Restaurants Interest Coverage Historical Data

The historical data trend for Ark Restaurants'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.

Ark Restaurants Annual Data

Trend

Sep14

Sep15

Sep16

Sep17

Sep18

Sep19

Sep20

Sep21

Sep22

Sep23

Interest Coverage

5.02

4.39

8.28

4.16

Ark Restaurants Quarterly Data
	Mar19	Jun19	Sep19	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23
Interest Coverage																5.14	0.05	20.90	-	9.37

Competitive Comparison

For the Restaurants subindustry, Ark Restaurants'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.

Ark Restaurants Interest Coverage Distribution

For the Restaurants industry and Consumer Cyclical sector, Ark Restaurants's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Ark Restaurants's Interest Coverage falls into.

Ark Restaurants 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.

Ark Restaurants's Interest Coverage for the fiscal year that ended in Sep. 2023 is calculated as

Here, for the fiscal year that ended in Sep. 2023, Ark Restaurants's Interest Expense was $-1.2 Mil. Its Operating Income was $5.2 Mil. And its Long-Term Debt & Capital Lease Obligation was $97.4 Mil.

Interest Coverage	=	-1	*	Operating Income (A: Sep. 2023 )	/	Interest Expense (A: Sep. 2023 )
	=	-1	*	5.16	/	-1.239
	=	4.16

Ark Restaurants's Interest Coverage for the quarter that ended in Dec. 2023 is calculated as

Here, for the three months ended in Dec. 2023, Ark Restaurants's Interest Expense was $-0.2 Mil. Its Operating Income was $1.6 Mil. And its Long-Term Debt & Capital Lease Obligation was $94.8 Mil.

Interest Coverage	=	-1	*	Operating Income (Q: Dec. 2023 )	/	Interest Expense (Q: Dec. 2023 )
	=	-1	*	1.603	/	-0.171
	=	9.37

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

Ark Restaurants (NAS:ARKR) 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 .

Ark Restaurants Interest Coverage Related Terms

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

Ark Restaurants (Ark Restaurants) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Restaurants » Ark Restaurants Corp (NAS:ARKR) » Definitions » Interest Coverage

Comparable Companies

Traded in Other Exchanges

N/A

Address

85 5th Avenue, 14th Floor, New York, NY, USA, 10003

Website

https://www.arkrestaurants.com

Ark Restaurants Corp owns and operates around 17 restaurants and bars, 16 fast food concepts, and catering operations in the USA. The Las Vegas operations include New York Hotel & Casino Resort, hotel room service operations, banquet facilities, employee dining room, food court concepts, and a restaurant within the Planet Hollywood Resort and Casino. It operates a restaurant and a bar in the Resorts Atlantic City Hotel and Casino and a restaurant in the Tropicana Hotel and Casino. The Florida operations include The Rustic Inn in Dania Beach, Shuckers in Jensen Beach, JB's on the Beach in Deerfield Beach, The Blue Moon Fish Company in Fort Lauderdale, and fast food facilities in Tampa and Hollywood. In Alabama, it operates Original Oyster Houses in Gulf Shores and Spanish Fort.

Executives

Satterfield Thomas A Jr	10 percent owner	2609 CALDWELL MILL LN, BIRMINGHAM AL 35243
Michael S Weinstein	director, 10 percent owner, officer: Chairman & CEO	C/O ARK RESTAURANTS CORP, 85 FIFTH AVENUE, NEW YORK NY 10003
Anthony Sirica	director, officer: Chief Financial Officer	85 FIFTH AVENUE, NEW YORK NY 10003
Paul Gordon	director, officer: Senior Vice President	C/O ARK LAS VEGAS RESTAURANTS CORP, 3790 LAS VEGAS BLVD S SUITE 11, LAS VEGAS NV 89109
Vincent Pascal	director, officer: Senior Vice President	C/O ARK RESTAURANTS CORP, 85 FIFTH AVE, NEW YORK NY 10003
Steven Shulman	director	C/O PARAGON TECHNOLOGIES INC, 600 KUEBLER ROAD, EASTON PA 18040
Robert J Stewart	director, officer: President and CFO	C/O ARK RESTAURANTS CORP, 85 FIFTH AVE, NEW YORK NY 10003
Arthur Stainman	director	320 EAST 72ND STREET, NEW YORK NY 10021
Bruce R Lewin	director	G&G RETAIL INC, 520 EIGHTH AVENUE, NEW YORK NY 10018
Robert Towers	director, officer: Executive Vice President	C/O ARK RESTAURANTS CORP, 85 FIFTH AVE, NEW YORK NY 10003
Marcia Allen	director	P.O. BOX 399, 2600 W. HOMESTEAD CIRCLE, WILSON WY 83014
Prides Capital Partners, Llc	10 percent owner	200 HIGH STREET, SUITE 700, BOSTON MA 02110
Robert Thomas Zankel	director	808 BROADWAY, PHB, NEW YORK NY 10003
Stephen A Novick	director	ANDREA & CHARLES BRONFMAN PHILANTROPIES, 110 EAST 59TH STREET, 26TH FLOOR, NEW YORK NY 10022
Charles E Mccarthy	10 percent owner	200 HIGH STREET, SUITE 700, BOSTON MA 02110