KINDERCARE LEARNING COMPANIES (KLC) Financials
A multiple compares the market's price with a filed figure; it says what the market pays, not how the business is doing. The market capitalization is the vendor's as of Sep 4, 2026; every other figure is from the SEC filings on this page. Not financial advice.
Newest figures come from the 10-Q for Q2 FY2027, filed Aug 13, 2026. Each column of the statement tables below links to the filing it was taken from, and every filing is listed on the KLC SEC filings page.
KINDERCARE LEARNING COMPANIES (KLC) reported $2.7B in revenue over the twelve months to Jul 4, 2026, up 1.8% from the prior twelve months. This page shows its income statement, balance sheet, cash flow statement, and key financial ratios. View 4 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).
Revenue expanded, but margin compression and overhead pressure pushed a once-profitable operator into losses despite renewed cash generation.
FY2025 produced a cash-versus-earnings split: the company reported net income of-$113M but free cash flow of$110M . With depreciation and amortization at$124M , cash generation was aided by non-cash expense and operating adjustments, so positive FCF did not represent period profitability.
By FY2025, gross margin was
Debt-to-equity fell from 2.4x in FY2023 to 1.2x in FY2025, indicating lower leverage relative to equity. However, the current ratio was 0.7x while liabilities totaled
Financial Health Signals
Scored against operating companies for FY2025. Each of the six dimensions is a percentile rank within that peer group; the overall is their average, with missing dimensions counted as zero out of six. A high score means strong standing among peers, not absolute cross-industry strength. How this score is calculated →
Health score ≠ stock price. This rates the quality of KINDERCARE LEARNING COMPANIES's business: profitability, growth, balance sheet strength. It doesn't tell you whether the stock is a good buy at today's price. Not financial advice. Use it alongside valuation analysis and your own research.
KINDERCARE LEARNING COMPANIES has an operating margin of -0.7%, meaning the company loses $1 on every $100 of revenue. This results in a profitability score of 41/100. This is down from 3.0% the prior year.
KINDERCARE LEARNING COMPANIES's revenue grew a modest 2.6% year-over-year to $2.7B. This slow but positive growth earns a score of 47/100.
KINDERCARE LEARNING COMPANIES has elevated debt relative to equity (D/E of 1.22), meaning the company relies heavily on borrowed funds. This high leverage results in a low score of 7/100, reflecting increased financial risk.
KINDERCARE LEARNING COMPANIES's current ratio of 0.74 is below the typical benchmark, resulting in a score of 9/100. This tight liquidity could limit financial flexibility if cash inflows slow.
KINDERCARE LEARNING COMPANIES has a free cash flow margin of 4.0%, earning a moderate score of 38/100. The company generates positive cash flow after capital investments, but with room for improvement.
KINDERCARE LEARNING COMPANIES posts a -14.9% return on equity (ROE), meaning it loses $15 for every $100 of shareholders' equity. This results in a returns score of 37/100. This is down from -10.7% the prior year.
KINDERCARE LEARNING COMPANIES scores 0.70, below the 1.81 distress threshold. This indicates elevated financial distress risk and warrants close attention to liquidity and debt levels.
Distress-screening estimate for non-financial companies. Not computed for banks or insurers, where the Altman model does not apply.
KINDERCARE LEARNING COMPANIES passes 4 of 9 financial strength tests. 2 of 4 profitability signals pass, 2 of 3 leverage/liquidity signals pass, neither operating efficiency signal passes.
KINDERCARE LEARNING COMPANIES reported a net loss of $112.9M while generating $238.5M in operating cash flow. Operations generated cash despite the loss, but with no positive earnings behind it, the ratio between the two carries no quality signal.
KINDERCARE LEARNING COMPANIES reported an operating loss of $20.1M against $84.0M in interest expense. There is no operating profit to cover interest, so interest must be met from cash reserves or from financing rather than from operations.
Key Financial Metrics
Earnings & Revenue
KINDERCARE LEARNING COMPANIES generated $697.5M in revenue in Q2 2027. This represents a decrease of 0.4% from the same quarter a year earlier. Against the prior quarter it is up 3.7%.
KINDERCARE LEARNING COMPANIES's EBITDA was $34.1M in Q2 2027, measuring earnings before interest, taxes, depreciation, and amortization. This represents a decrease of 65.8% from the same quarter a year earlier. Against the prior quarter it is up 114.1%.
KINDERCARE LEARNING COMPANIES reported -$8.8M in net income in Q2 2027. This represents a decrease of 122.7% from the same quarter a year earlier. Against the prior quarter it is up 97.0%.
KINDERCARE LEARNING COMPANIES earned -$0.07 per diluted share (EPS) in Q2 2027. This represents a decrease of 121.2% from the same quarter a year earlier. Against the prior quarter it is up 97.1%.
Cash & Balance Sheet
KINDERCARE LEARNING COMPANIES generated $45.4M in free cash flow in Q2 2027, representing cash available after capex. This represents an increase of 6666.8% from the same quarter a year earlier. Against the prior quarter it is up 4135.5%.
KINDERCARE LEARNING COMPANIES held $173.7M in cash against $916.1M in long-term debt as of Q2 2027.
Not reported for Q2 2027.
Margins & Returns
KINDERCARE LEARNING COMPANIES's gross margin was 18.6% in Q2 2027, indicating the percentage of revenue retained after direct costs. This is down 7.2 percentage points from the same quarter a year earlier. Against the prior quarter it is up 0.6 percentage points.
KINDERCARE LEARNING COMPANIES's operating margin was 0.3% in Q2 2027, reflecting core business profitability. This is down 9.5 percentage points from the same quarter a year earlier. Against the prior quarter it is up 40.8 percentage points.
KINDERCARE LEARNING COMPANIES's net profit margin was -1.3% in Q2 2027, showing the share of revenue converted to profit. This is down 6.8 percentage points from the same quarter a year earlier. Against the prior quarter it is up 41.8 percentage points.
KINDERCARE LEARNING COMPANIES's ROE was -1.9% in Q2 2027, measuring profit generated per dollar of shareholder equity. This is down 6.0 percentage points from the same quarter a year earlier. Against the prior quarter it is up 59.6 percentage points.
Capital Allocation
KINDERCARE LEARNING COMPANIES invested $28.0M in capex in Q2 2027, funding long-term assets and infrastructure. This represents a decrease of 18.5% from the same quarter a year earlier. Against the prior quarter it is down 6.6%.
Not reported for Q2 2027.
Not reported for Q2 2027.
KLC Income Statement
Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type. Each change compares the year with the year before it, and each quarter with the same quarter a year earlier.
| Metric | Q2'2710-Q | Q1'2710-Q | Q4'2610-Q | Q3'2610-Q | Q2'2610-Q | Q1'2610-Q | Q4'2510-K | Q3'2510-Q |
|---|---|---|---|---|---|---|---|---|
| Revenue | $697.5M-0.4% | $672.5M+0.6% | $688.1M+6.4% | $676.8M+0.8% | $700.1M+1.5% | $668.2M+2.1% | $647.0M+4.7% | $671.5M+7.5% |
| Cost of Revenue | $567.4M+9.2% | $550.9M+6.7% | $549.3M | $543.1M+4.2% | $519.5M+3.9% | $516.2M+3.7% | N/A | $521.1M+11.2% |
| Gross Profit | $130.1M-28.0% | $121.6M-20.0% | $138.8M | $133.7M-11.1% | $180.6M-4.9% | $152.1M-3.1% | N/A | $150.4M-3.6% |
| SG&A Expenses | $73.1M-7.1% | $71.1M-0.8% | $73.8M | $73.0M+12.2% | $78.6M+0.1% | $71.7M-20.7% | N/A | $65.1M-4.9% |
| Operating Income | $2.4M-96.5% | -$272.1M-657.1% | -$163.9M-83.6% | $26.3M-51.6% | $68.7M-14.8% | $48.8M+45.3% | -$89.3M-283.4% | $54.4M-7.4% |
| EBITDA | $34.1M-65.8% | -$241.0M-405.8% | -$132.0M-123.5% | $57.3M-31.8% | $99.8M-9.2% | $78.8M+26.8% | -$59.0M-176.6% | $84.0M |
| Interest Expense | $18.3M-9.1% | $18.2M-9.4% | $19.7M | $24.1M-38.9% | $20.1M-54.3% | $20.1M-44.8% | N/A | $39.5M+2.6% |
| Income Tax | -$1.8M-112.3% | -$535K-106.8% | -$4.4M | $1.7M-60.2% | $14.5M+39.6% | $7.8M+80.5% | N/A | $4.2M-18.6% |
| Net Income | -$8.8M-122.7% | -$289.8M-1469.9% | -$177.2M-32.6% | $4.5M-67.4% | $38.6M+35.2% | $21.2M+1308.3% | -$133.6M-1000.9% | $14.0M-13.0% |
| EPS (Basic) | -$0.07-121.2% | -$2.45-1461.1% | -$1.49-27.4% | $0.04-73.3% | $0.33+3.1% | $0.18+1000.0% | -$1.17-831.2% | $0.15-16.7% |
| EPS (Diluted) | -$0.07-121.2% | -$2.45-1461.1% | -$1.49-27.4% | $0.04-73.3% | $0.33+3.1% | $0.18+1000.0% | -$1.17-831.2% | $0.15-16.7% |
| Diluted Shares (Avg) | 119M+0.4% | 118M+0.1% | N/A | 118M+31.0% | 118M+31.0% | 118M+30.9% | N/A | 90M0.0% |
Not reported in any period shown, so not listed: R&D Expenses.
KLC Balance Sheet
Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type. Each change compares the year with the year before it, and each quarter with the same quarter a year earlier.
| Metric | Q2'2710-Q | Q1'2710-Q | Q4'2610-Q | Q3'2610-Q | Q2'2610-Q | Q1'2610-Q | Q4'2510-K | Q3'2510-Q |
|---|---|---|---|---|---|---|---|---|
| Total Assets | $3.4B-10.2% | $3.4B-7.4% | $3.7B+2.8% | $3.9B+4.3% | $3.8B | $3.7B | $3.6B-0.2% | $3.7B |
| Current Assets | $342.1M+23.8% | $344.0M+20.8% | $358.0M+66.7% | $334.1M+10.3% | $276.4M | $284.7M | $214.8M-24.2% | $302.8M |
| Cash & Equivalents | $173.7M+45.9% | $132.9M+1.2% | $133.2M+113.7% | $174.7M+27.3% | $119.0M+24.4% | $131.3M+2.0% | $62.3M-60.1% | $137.2M-27.2% |
| Short-Term Investments | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Accounts Receivable | $114.3M+1.4% | $106.8M+11.4% | $118.5M+13.6% | $103.3M+2.4% | $112.7M | $95.9M | $104.3M+18.4% | $100.9M |
| Long-Term Investments | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Goodwill | $692.4M-38.9% | $691.9M-38.6% | $964.8M-13.8% | $1.1B+1.6% | $1.1B | $1.1B | $1.1B+0.8% | $1.1B |
| Total Liabilities | $2.9B+2.5% | $3.0B+4.8% | $3.0B+7.6% | $3.0B-15.3% | $2.9B | $2.8B | $2.8B-11.6% | $3.5B |
| Current Liabilities | $459.1M+9.3% | $468.0M-0.5% | $484.9M+17.5% | $469.5M-6.9% | $420.2M | $470.4M | $412.8M-3.2% | $504.5M |
| Non-Current Liabilities | $2.5B+1.3% | $2.5B+5.9% | $2.5B+5.9% | $2.5B-16.8% | $2.4B | $2.4B | $2.4B-12.9% | $3.0B |
| Long-Term Debt | $916.1M-0.1% | $917.0M-0.1% | $917.9M-0.1% | $921.3M-38.4% | $916.8M | $917.7M | $918.7M-25.7% | $1.5B |
| Total Equity | $466.2M-49.6% | $471.1M-46.8% | $755.3M-12.6% | $931.2M+295.3% | $924.3M+289.4% | $884.9M+333.7% | $864.5M+70.6% | $235.6M-52.1% |
| Retained Earnings | -$381.2M-523.6% | -$372.5M-824.4% | -$82.6M-373.0% | $94.6M-42.3% | $90.0M | $51.4M | $30.3M-75.4% | $163.8M |
Not reported in any period shown, so not listed: Inventory.
KLC Cash Flow Statement
Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type. Each change compares the year with the year before it, and each quarter with the same quarter a year earlier.
| Metric | Q2'2710-Q | Q1'2710-Q | Q4'2610-Q | Q3'2610-Q | Q2'2610-Q | Q1'2610-Q | Q4'2510-K | Q3'2510-Q |
|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | $73.4M+109.5% | $31.1M-68.5% | $4.3M+110.4% | $100.8M+16.3% | $35.0M+490.6% | $98.4M+53.5% | -$40.8M-867.1% | $86.7M |
| Depreciation & Amortization | $31.7M+2.0% | $31.1M+3.7% | $31.9M+5.6% | $31.0M+4.6% | $31.1M+6.4% | $30.0M+5.0% | $30.2M+6.1% | $29.6M |
| Stock-Based Compensation | N/A | $2.5M-34.8% | N/A | N/A | N/A | $3.8M-77.3% | N/A | N/A |
| Capital Expenditures | $28.0M-18.5% | $30.0M+28.4% | $32.3M-14.2% | $38.2M-8.3% | $34.4M+19.2% | $23.4M-3.1% | $37.7M-4.0% | $41.7M |
| Free Cash Flow | $45.4M+6666.8% | $1.1M-98.6% | -$28.1M+64.2% | $62.6M+39.0% | $671K+102.9% | $75.1M+87.7% | -$78.6M-80.6% | $45.0M |
| Investing Cash Flow | -$29.8M+31.9% | -$28.7M-0.9% | -$40.0M-3.8% | -$42.2M+1.6% | -$43.8M-27.3% | -$28.4M+9.6% | -$38.5M-82.5% | -$42.9M |
| Financing Cash Flow | -$2.8M+20.8% | -$2.8M-158.2% | -$5.8M-229.2% | -$2.9M-27.1% | -$3.5M+23.0% | -$1.1M+98.2% | $4.5M+162.7% | -$2.3M |
Not reported in any period shown, so not listed: Dividends Paid, Share Buybacks.
KLC Financial Ratios
Margins and returns are percentages; the remaining ratios are unitless multiples. Each change compares the year with the year before it, and each quarter with the same quarter a year earlier.
| Metric | Q2'2710-Q | Q1'2710-Q | Q4'2610-Q | Q3'2610-Q | Q2'2610-Q | Q1'2610-Q | Q4'2510-K | Q3'2510-Q |
|---|---|---|---|---|---|---|---|---|
| Gross Margin | 18.6%-7.2pp | 18.1%-4.7pp | 20.2% | 19.8%-2.6pp | 25.8%-1.7pp | 22.8%-1.2pp | N/A | 22.4%-2.6pp |
| Operating Margin | 0.3%-9.5pp | -40.5%-47.8pp | -23.8%-10.0pp | 3.9%-4.2pp | 9.8%-1.9pp | 7.3%+2.2pp | -13.8%-21.7pp | 8.1%-1.3pp |
| Net Margin | -1.3%-6.8pp | -43.1%-46.3pp | -25.8%-5.1pp | 0.7%-1.4pp | 5.5%+1.4pp | 3.2%+3.4pp | -20.6%-23.0pp | 2.1%-0.5pp |
| Return on Equity | -1.9%-6.0pp | -61.5%-63.9pp | -23.5%-8.0pp | 0.5%-5.4pp | 4.2%-7.8pp | 2.4%+3.3pp | -15.4%-18.4pp | 5.9%+2.7pp |
| Return on Assets | -0.3%-1.3pp | -8.4%-9.0pp | -4.7%-1.1pp | 0.1%-0.3pp | 1.0% | 0.6% | -3.7%-4.1pp | 0.4% |
| Current Ratio | 0.74+0.1x | 0.73+0.1x | 0.74+0.2x | 0.71+0.1x | 0.66 | 0.61 | 0.52-0.1x | 0.60 |
| Debt-to-Equity | 1.97+1.0x | 1.95+0.9x | 1.22+0.2x | 0.99-5.4x | 0.99 | 1.04 | 1.06-1.4x | 6.35 |
| Asset Turnover | 0.200.0x | 0.200.0x | 0.180.0x | 0.170.0x | 0.18 | 0.18 | 0.180.0x | 0.18 |
| FCF Margin | 6.5%+6.4pp | 0.2%-11.1pp | -4.1%+8.1pp | 9.3%+2.5pp | 0.1%+3.4pp | 11.2%+5.1pp | -12.1%-5.1pp | 6.7% |
Note: The current ratio is below 1.0 (0.74), indicating current liabilities exceed current assets, which may suggest potential short-term liquidity concerns.
Similar Companies
Newest fiscal year on record for each company. The health score is the peer-relative Financial Health Score for that year; a dash means no score is published for it.
| Company | Fiscal year | Revenue | Net income | Net margin | Market cap | Health score |
|---|---|---|---|---|---|---|
| KINDERCARE LEARNING COMPANIES KLC | FY2025 | $2.7B | -$112.9M | -4.1% | $316.4M | 30/100 |
| Gaotu Techedu Inc GOTU | FY2025 | $879.0M | -$46.2M | -5.3% | $517.1M | 47/100 |
| Udemy, Inc. UDMY | FY2025 | $789.8M | $3.8M | 0.5% | $677.3M | 37/100 |
| Youdao, Inc. DAO | FY2025 | $845.0M | $13.9M | 1.6% | $1.9B | 19/100 |
| American Public APEI | FY2025 | $648.9M | $31.6M | 4.9% | $830.5M | 58/100 |
| Lincoln Edl Svcs Corp LINC | FY2025 | $518.2M | $20.0M | 3.9% | $808.3M | 52/100 |
Where KINDERCARE LEARNING COMPANIES Ranks
Frequently Asked Questions
What is KINDERCARE LEARNING COMPANIES's annual revenue?
KINDERCARE LEARNING COMPANIES (KLC) reported $2.7B in total revenue for fiscal year 2025. This represents a 2.6% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.
How fast is KINDERCARE LEARNING COMPANIES's revenue growing?
KINDERCARE LEARNING COMPANIES (KLC) revenue grew by 2.6% year-over-year, from $2.7B to $2.7B in fiscal year 2025.
Is KINDERCARE LEARNING COMPANIES profitable?
No, KINDERCARE LEARNING COMPANIES (KLC) reported a net income of -$112.9M in fiscal year 2025, with a net profit margin of -4.1%.
What is KINDERCARE LEARNING COMPANIES's EBITDA?
KINDERCARE LEARNING COMPANIES (KLC) had EBITDA of $103.9M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization.
How much debt does KINDERCARE LEARNING COMPANIES have?
As of fiscal year 2025, KINDERCARE LEARNING COMPANIES (KLC) had $133.2M in cash and equivalents against $917.9M in long-term debt.
What is KINDERCARE LEARNING COMPANIES's gross margin?
KINDERCARE LEARNING COMPANIES (KLC) had a gross margin of 22.1% in fiscal year 2025, indicating the percentage of revenue retained after direct costs of goods sold.
What is KINDERCARE LEARNING COMPANIES's operating margin?
KINDERCARE LEARNING COMPANIES (KLC) had an operating margin of -0.7% in fiscal year 2025, reflecting the profitability of core business operations before interest and taxes.
What is KINDERCARE LEARNING COMPANIES's net profit margin?
KINDERCARE LEARNING COMPANIES (KLC) had a net profit margin of -4.1% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.
What is KINDERCARE LEARNING COMPANIES's return on equity (ROE)?
KINDERCARE LEARNING COMPANIES (KLC) has a return on equity of -14.9% for fiscal year 2025, measuring how efficiently the company generates profit from shareholder equity.
What is KINDERCARE LEARNING COMPANIES's free cash flow?
KINDERCARE LEARNING COMPANIES (KLC) generated $110.3M in free cash flow during fiscal year 2025. This represents a 770.9% change compared to the previous fiscal year. Free cash flow represents the cash a company generates after accounting for capital expenditures, and is widely used to assess financial flexibility and shareholder value.
What is KINDERCARE LEARNING COMPANIES's operating cash flow?
KINDERCARE LEARNING COMPANIES (KLC) generated $238.5M in operating cash flow during fiscal year 2025, representing cash generated from core business activities.
What are KINDERCARE LEARNING COMPANIES's total assets?
KINDERCARE LEARNING COMPANIES (KLC) had $3.7B in total assets as of fiscal year 2025, including both current and long-term assets.
What are KINDERCARE LEARNING COMPANIES's capital expenditures?
KINDERCARE LEARNING COMPANIES (KLC) invested $128.3M in capital expenditures during fiscal year 2025, funding long-term assets and infrastructure.
What is KINDERCARE LEARNING COMPANIES's current ratio?
KINDERCARE LEARNING COMPANIES (KLC) had a current ratio of 0.74 as of fiscal year 2025, which is below 1.0, which may suggest potential liquidity concerns.
What is KINDERCARE LEARNING COMPANIES's debt-to-equity ratio?
KINDERCARE LEARNING COMPANIES (KLC) had a debt-to-equity ratio of 1.22 as of fiscal year 2025, measuring the company's financial leverage by comparing total debt to shareholder equity.
What is KINDERCARE LEARNING COMPANIES's return on assets (ROA)?
KINDERCARE LEARNING COMPANIES (KLC) had a return on assets of -3.0% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.
What is KINDERCARE LEARNING COMPANIES's P/E ratio?
KINDERCARE LEARNING COMPANIES (KLC) has no price-to-earnings ratio at the moment: net loss, so no earnings multiple (trailing 12 months to July 4, 2026). The market capitalization is $316.4M as of Sep 4, 2026; a multiple compares that price with a filed figure and says nothing about the quality of the business.
What is KINDERCARE LEARNING COMPANIES's price-to-sales ratio?
KINDERCARE LEARNING COMPANIES (KLC) trades at 0.1x sales, its market capitalization divided by revenue of $2.7B revenue, trailing 12 months to July 4, 2026. The market capitalization is $316.4M as of Sep 4, 2026; a multiple compares that price with a filed figure and says nothing about the quality of the business.
What is KINDERCARE LEARNING COMPANIES's Altman Z-Score?
KINDERCARE LEARNING COMPANIES (KLC) has an Altman Z-Score of 0.70, placing it in the Distress Zone (elevated bankruptcy risk). The Z-Score combines five financial ratios (working capital, retained earnings, EBIT, market capitalization, and revenue relative to total assets) to predict the likelihood of bankruptcy. Scores above 2.99 indicate financial safety while scores below 1.81 suggest financial distress. Learn more in our complete guide to financial health indicators.
What is KINDERCARE LEARNING COMPANIES's Piotroski F-Score?
KINDERCARE LEARNING COMPANIES (KLC) has a Piotroski F-Score of 4 out of 9, indicating neutral financial health. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7 to 9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.
Are KINDERCARE LEARNING COMPANIES's earnings high quality?
KINDERCARE LEARNING COMPANIES (KLC) reported a net loss of $112.9M while generating $238.5M in operating cash flow. Operations generated cash despite the loss, but with no positive earnings behind it, the ratio between the two carries no quality signal. This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.
Can KINDERCARE LEARNING COMPANIES cover its interest payments?
KINDERCARE LEARNING COMPANIES (KLC) reported an operating loss of $20.1M against $84.0M in interest expense. There is no operating profit to cover interest, so interest must be met from cash reserves or from financing rather than from operations. This ratio divides operating income by interest expense. Ratios above 5x indicate strong debt-servicing ability, while ratios below 2x suggest the company may face difficulty meeting interest payments if earnings decline. Learn more in our complete guide to financial health indicators.
How financially healthy is KINDERCARE LEARNING COMPANIES?
KINDERCARE LEARNING COMPANIES (KLC) scores 30 out of 100 on our Financial Health Score, indicating weak standing within its operating companies peer group. The score is a 0-100 composite of six dimensions (Profitability, Growth, Leverage, Liquidity, Cash Flow, Returns), each ranked as a percentile relative to companies in the same scoring family (banks against banks, REITs against REITs, and so on) rather than across all industries. It rates the quality of the business, not whether the stock is fairly priced, and is not financial advice. Learn more in our complete guide to financial health indicators.