Interest Coverage and Debt Multiples Calculator
Compare operating earnings with interest expense and gross/net interest-bearing debt.
YOUR CALCULATION
Result
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Calculation steps
Work through one step at a time or reveal the complete calculation. The steps use your current inputs.
How to calculate
Add depreciation/amortization to EBIT for the entered EBITDA proxy. Divide EBIT by interest and debt amounts by positive EBITDA.
Interest coverage=EBIT/interest; debt/EBITDA=debt/(EBIT+depreciation and amortization)
Worked example
EBIT 100000 plus depreciation/amortization 20000 gives EBITDA 120000. Interest 10000 gives coverage 10; debt 400000 less cash 50000 gives net-debt/EBITDA about 2.91667.
Assumptions and input details
Period earnings and interest must match; debt and cash are snapshot amounts. EBITDA here is only the stated arithmetic add-back and is not operating cash flow. Lease, pension and accounting adjustments are not automatic. Zero interest means undefined coverage, not infinite safety; nonpositive EBITDA makes debt multiples undefined. Negative net debt denotes cash exceeding entered debt. No lender thresholds are prescribed. No live market data or national tax rules are inferred. Enter consistent amounts in one currency unless explicitly stated otherwise.
Using this calculator
Can I enter my own problem?
Yes. Replace the example values with your own inputs. The result, calculation steps, tables and applicable diagrams update from those inputs. Blank or invalid values clear the result; example values are never silently substituted for missing inputs.
Are the results exact?
Results use floating-point arithmetic and displayed rounding. Read the formula, assumptions and any stated data precision before interpreting the result.
Is my input uploaded?
The calculation runs in your browser. No account, file upload or external AI service is required. Inputs are not saved between page reloads.
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