Investopedia / NoNo Flores The EBITDA-to-interest coverage ratio is a financial ratio that ... to pay off its interest expenses using its pre-tax income. Specifically it looks to see what ...

An interest ... tax treatment. For companies, the greater the interest expense the greater the potential impact on profitability. Coverage ratios can be used to dig deeper. The interest coverage ...

At the closing of each buyout in 2021, these deals had an average debt-to-EBITDA ratio of 6.4x and interest-coverage ratio of 3.5x, based on financials collected by LCD for each transaction.