Exhibit 12.1
Thermon Group Holdings, Inc.
Computation of Ratios of Earnings to Fixed Charges
(amounts in thousands of dollars, except ratio data)
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Pre- |
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Predecessor/ |
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Predecessor/ |
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Predecessor/ |
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Pre- |
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Predecessor |
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Successor |
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Successor |
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Predecessor |
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Combined |
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Predecessor |
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Combined |
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Combined |
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Successor |
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Fiscal Year Ended March 31, |
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Nine Months Ended December 31, |
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2007 |
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2008 |
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2009 |
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2010 |
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2011 |
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2010 |
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2011 |
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Earnings |
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Income (loss) from continuing operations before provision for income taxes |
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$ |
16,157 |
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$ |
699 |
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$ |
28,196 |
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$ |
32,906 |
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$ |
(26,481 |
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$ |
(27,734 |
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$ |
9,075 |
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Plus: Fixed Charges |
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Interest expense and amortization of premiums/discounts (a) |
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882 |
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8,374 |
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9,625 |
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7,357 |
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29,000 |
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23,940 |
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16,023 |
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Estimated interest component of rental expense |
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590 |
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574 |
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535 |
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566 |
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677 |
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500 |
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548 |
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Total Fixed Charges |
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$ |
1,472 |
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$ |
8,948 |
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$ |
10,160 |
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$ |
7,923 |
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$ |
29,677 |
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24,440 |
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16,571 |
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Less: |
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Pre tax income from continuing operations plus fixed charges |
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$ |
17,629 |
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$ |
9,647 |
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$ |
38,356 |
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$ |
40,829 |
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$ |
3,196 |
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(3,294 |
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25,646 |
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Ratio of Earnings to Fixed Charges |
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12.0 |
x |
1.1 |
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3.8 |
x |
5.2 |
x |
nm |
(b) |
nm |
(b) |
1.6 |
x | |||||||
(a) |
The Company considers one-third of rent expense to be a reasonable estimate of the related interest expense. |
(b) |
Earnings were insufficient to cover fixed charges in the fiscal year ended March 31, 2011 and the nine months ended December 31, 2010 by $56.2 million and $52.2 million, respectively, due to increased interest and amortization expenses, financing fees and other non-recurring expenses related to the acquisition of a controlling interest in the Company by an investor group led by our private equity sponsors, which was completed on April 30, 2010. |