Interest Coverage Ratio: 40.68x
Is the interest coverage ratio high or low?
The interest coverage ratio of 40.68x is 11% below its 5-year average of 45.89x, near the low end of its 5-year range (18.42x–133.92x).
As of Friday, June 26, 2026. 43.50% below its 12-month average of 71.99x.
RMD Interest Coverage Ratio
Reported quarterly interest coverage; no daily interpolation.
RMD Average Interest Coverage Ratio Chart
RMD Current vs Average Interest Coverage Ratio Chart
RMD Interest Coverage Ratio Metrics
INTEREST COVERAGE RATIO
40.68x
INTEREST COVERAGE RATIO AVG TTM
71.99x
INTEREST COVERAGE RATIO AVG 3Y
41.39x
INTEREST COVERAGE RATIO AVG 5Y
38.71x
INTEREST COVERAGE RATIO AVG 10Y
32.72x
INTEREST COVERAGE RATIO AVG 15Y
32.72x
INTEREST COVERAGE RATIO AVG 20Y
28.30x
CURRENT VS TTM AVG
-43.50%
CURRENT VS 3Y AVG
-1.73%
CURRENT VS 5Y AVG
+5.08%
CURRENT VS 10Y AVG
+24.31%
CURRENT VS 15Y AVG
+24.31%
CURRENT VS 20Y AVG
+43.75%
RMD Competitors' Interest Coverage Ratio
| NAME | MARKET CAP | INTEREST COVERAGE RATIO | TTM | 3Y | 5Y |
|---|---|---|---|---|---|
| ResMed Inc. (RMD) | $28.81B | 40.68x | 71.99x | 41.39x | 38.71x |
| DexCom, Inc. (DXCM)vs › | $26.82B | 49.83x | 40.70x | 32.97x | 24.93x |
| Moderna, Inc. (MRNA)vs › | $26.45B | -307.40x | 531.75x | 531.75x | 531.75x |
| Biogen Inc. (BIIB)vs › | $31.51B | 7.63x | 8.79x | 9.45x | 11.57x |
| IQVIA Holdings Inc. (IQV)vs › | $31.58B | 3.14x | 3.21x | 3.42x | 3.19x |
| Veeva Systems Inc. (VEEV)vs › | $25.68B | N/A | N/A | N/A | N/A |
| Medline Inc. (MDLN)vs › | $31.94B | 2.72x | 2.21x | 1.60x | 1.60x |
| Zoetis Inc. (ZTS)vs › | $32.06B | 14.80x | 14.41x | 13.27x | 12.34x |
| Centene Corp. (CNC)vs › | $32.31B | -11.24x | 4.28x | 3.30x | 3.63x |
| Mettler-Toledo International Inc. (MTD)vs › | $25.24B | 16.32x | 15.71x | 16.43x | 18.17x |
Financial Health Indicators
Interest Coverage
40.7x
Debt/Equity
0.14
Current Ratio
3.44
Formula: Interest Coverage = EBIT / Interest Expense
Reference ranges:
- < 1.5x: EBIT is less than 1.5 times interest expense
- 1.5x - 3x: EBIT is between 1.5 and 3 times interest expense
- 3x - 5x: EBIT is between 3 and 5 times interest expense
- > 5x: EBIT is more than 5 times interest expense
Note: Interest coverage should be compared with historical interest expense, operating income, and industry capital structure.
Interest Coverage Ratio Formula & Definition
Interest Coverage = EBIT / Interest Expense
The interest coverage ratio measures operating earnings relative to interest expense.
Expanded definitions: Investopedia, Wikipedia, Corporate Finance Institute
Interest Coverage Ratio FAQ
- What is the interest coverage ratio for ResMed Inc. (RMD)?
- The interest coverage ratio for RMD stock is 40.68x.
- Is ResMed Inc.'s interest coverage ratio high or low?
- The interest coverage ratio of 40.68x is 11% below its 5-year average of 45.89x, near the low end of its 5-year range (18.42x–133.92x).
- What is the TTM average interest coverage ratio for ResMed Inc. (RMD)?
- The TTM average interest coverage ratio for RMD stock is 71.99x.
- What is the 3Y average interest coverage ratio for ResMed Inc. (RMD)?
- The 3Y average interest coverage ratio for RMD stock is 41.39x.
- What is the 5Y average interest coverage ratio for ResMed Inc. (RMD)?
- The 5Y average interest coverage ratio for RMD stock is 38.71x.
- What is the 10Y average interest coverage ratio for ResMed Inc. (RMD)?
- The 10Y average interest coverage ratio for RMD stock is 32.72x.
- What is the 15Y average interest coverage ratio for ResMed Inc. (RMD)?
- The 15Y average interest coverage ratio for RMD stock is 32.72x.
- What is the 20Y average interest coverage ratio for ResMed Inc. (RMD)?
- The 20Y average interest coverage ratio for RMD stock is 28.30x.
RMD Interest Coverage Ratio History
| DATE | INTEREST COVERAGE RATIO |
|---|---|
| 2026-03-31 | 40.68x |
| 2025-12-31 | 62.60x |
| 2025-09-30 | 50.78x |
| 2025-03-31 | 133.92x |
| 2024-12-31 | 87.14x |
| 2024-09-30 | 70.39x |
| 2024-06-30 | 39.92x |
| 2024-03-31 | 26.05x |
| 2023-12-31 | 19.93x |
| 2023-09-30 | 19.32x |
| 2023-06-30 | 18.42x |
| 2023-03-31 | 20.09x |
| 2022-12-31 | 27.10x |
| 2022-09-30 | 38.65x |
| 2022-06-30 | 46.08x |
| 2022-03-31 | 42.89x |
| 2021-12-31 | 41.81x |
| 2021-09-30 | 48.86x |
| 2021-06-30 | 45.21x |
| 2021-03-31 | 38.01x |
| 2020-12-31 | 37.43x |
| 2020-09-30 | 31.70x |
| 2020-06-30 | 24.27x |
| 2020-03-31 | 21.82x |
| 2019-12-31 | 19.36x |
| 2019-09-30 | 15.57x |
| 2019-06-30 | 9.65x |
| 2019-03-31 | 12.65x |
| 2018-12-31 | 20.98x |
| 2018-09-30 | 38.87x |
| 2018-06-30 | 26.79x |
| 2018-03-31 | 17.67x |
| 2017-12-31 | 19.81x |
| 2017-09-30 | 14.46x |
| 2017-06-30 | 38.48x |
| 2017-03-31 | 36.89x |
| 2016-12-31 | 39.76x |
| 2016-09-30 | 37.76x |
| 2016-06-30 | 49.97x |
| 2010-06-30 | 6.82x |
| 2009-06-30 | 11.19x |
| 2009-03-31 | 23.68x |
| 2008-12-31 | 16.25x |
| 2008-06-30 | 11.85x |
| 2008-03-31 | 16.49x |
| 2007-12-31 | 15.65x |
| 2007-09-30 | 13.73x |
| 2007-03-31 | -13.61x |
| 2006-12-31 | 27.38x |
| 2006-09-30 | 23.59x |
| 2006-06-30 | 21.09x |
| 2006-03-31 | 30.12x |
| 2005-03-31 | 3003.00x |
About ResMed Inc.
ResMed Inc. is a leading global medical technology enterprise engaged in the creation, production, distribution, and marketing of healthcare devices and connected digital solutions. The company operates through two primary segments: Sleep and Respiratory Care, and Software as a Service. Its extensive product range addresses a variety of respiratory disorders, encompassing advanced medical and consumer technologies, ventilation devices, diagnostic equipment, mask systems for both clinical and personal use, headgear, and related accessories, alongside dental devices. ResMed also provides sophisticated cloud-based informatics to enhance patient management and operational efficiency. Notable software offerings in its respiratory portfolio include AirView, for remote device monitoring and setting adjustments; myAir, a personalized application designed to support sleep apnea patients with education and troubleshooting for better engagement and adherence; and U-Sleep, a compliance tracking platform for home medical equipment providers. Complementing these are connectivity modules and Propeller solutions. Furthermore, ResMed offers a robust suite of out-of-hospital software. This includes Brightree, a business management platform for various home care service providers (e.g., HME, pharmacy, infusion, orthotics, prosthetics); MatrixCare, providing care management for senior living, skilled nursing, and hospice organizations; and HEALTHCAREfirst, which supplies electronic health records, billing, coding services, and analytics for home health and hospice agencies. ResMed distributes its offerings primarily to sleep clinics, home healthcare dealers, and hospitals via a global network of distributors and a direct sales force, serving approximately 140 countries. Founded in 1989, the company's headquarters are located in San Diego, California.
- Sector
- Healthcare
- Industry
- Medical - Devices
- CEO
- Michael J. Farrell