The Times Interest Earned ratio, also known as the interest coverage ratio ... DSCR = Operating Cash Flow ÷ Total Debt Service Where Total Debt Service includes both interest and principal ...

A poor interest coverage ratio, such as below one, means the company's current earnings are insufficient to service its outstanding debt. The chances of a company being able to continue to meet ...

Reviewed by Khadija Khartit Fact checked by Vikki Velasquez Financial ratios can be used to assess a company's capital ...

the ratio of (Earnings before interest, depreciation and amortization minus unfunded capital expenditures and distributions) divided by total debt service (annual principal and interest payments).