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Raghuvansh Agrofarms (BOM:538921) Interest Coverage : 1,013.23 (As of Sep. 2023)


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What is Raghuvansh Agrofarms Interest Coverage?

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income by its Interest Expense. Raghuvansh Agrofarms's Operating Income for the six months ended in Sep. 2023 was ₹13.17 Mil. Raghuvansh Agrofarms's Interest Expense for the six months ended in Sep. 2023 was ₹-0.01 Mil. Raghuvansh Agrofarms's interest coverage for the quarter that ended in Sep. 2023 was 1,013.23. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Raghuvansh Agrofarms's Interest Coverage or its related term are showing as below:

BOM:538921' s Interest Coverage Range Over the Past 10 Years
Min: 5.02   Med: 68.3   Max: 1531.8
Current: 63.39


BOM:538921's Interest Coverage is ranked better than
81.06% of 1378 companies
in the Consumer Packaged Goods industry
Industry Median: 8.68 vs BOM:538921: 63.39

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.


Raghuvansh Agrofarms Interest Coverage Historical Data

The historical data trend for Raghuvansh Agrofarms's Interest Coverage can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Note: For Interest Coverage, "No debt" indicates no long-term debt. An indication of "No Debt" does not necessarily mean that the company has no long-term debt obligations; it could be due to missing data in the quarterly or annual report. Use caution when interpreting this information.

* Premium members only.

Raghuvansh Agrofarms Interest Coverage Chart

Raghuvansh Agrofarms Annual Data
Trend Mar14 Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 278.31 212.15 244.36 1,531.80 60.83

Raghuvansh Agrofarms Semi-Annual Data
Mar14 Mar15 Mar16 Mar17 Mar18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23
Interest Coverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 12.92 - 188.33 31.81 1,013.23

Competitive Comparison of Raghuvansh Agrofarms's Interest Coverage

For the Farm Products subindustry, Raghuvansh Agrofarms's Interest Coverage, along with its competitors' market caps and Interest Coverage data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Raghuvansh Agrofarms's Interest Coverage Distribution in the Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Raghuvansh Agrofarms's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Raghuvansh Agrofarms's Interest Coverage falls into.



Raghuvansh Agrofarms Interest Coverage Calculation

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

If Interest Expense is negative and Operating Income is positive, then

Interest Coverage=-1* Operating Income /Interest Expense

Else if Interest Expense is negative and Operating Income is negative, then

The company did not have earnings to cover the interest expense.

Else if Interest Expense is 0 and Long-Term Debt & Capital Lease Obligation is 0, then

The company had no debt (1).


Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Raghuvansh Agrofarms's Interest Coverage for the fiscal year that ended in Mar. 2023 is calculated as

Here, for the fiscal year that ended in Mar. 2023, Raghuvansh Agrofarms's Interest Expense was ₹-0.48 Mil. Its Operating Income was ₹29.20 Mil. And its Long-Term Debt & Capital Lease Obligation was ₹12.25 Mil.

Interest Coverage=-1* Operating Income (A: Mar. 2023 )/Interest Expense (A: Mar. 2023 )
=-1*29.197/-0.48
=60.83

Raghuvansh Agrofarms's Interest Coverage for the quarter that ended in Sep. 2023 is calculated as

Here, for the six months ended in Sep. 2023, Raghuvansh Agrofarms's Interest Expense was ₹-0.01 Mil. Its Operating Income was ₹13.17 Mil. And its Long-Term Debt & Capital Lease Obligation was ₹12.56 Mil.

Interest Coverage=-1* Operating Income (Q: Sep. 2023 )/Interest Expense (Q: Sep. 2023 )
=-1*13.172/-0.013
=1,013.23

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

The higher the ratio, the stronger the company's Financial Strength is.


Raghuvansh Agrofarms  (BOM:538921) Interest Coverage Explanation

Ben Graham requires that a company has a minimum interest coverage of 5 with the companies he invested. If the interest coverage is less than 2, the company is burdened by debt. Any business slow or recession may drag the company into a situation where it cannot pay the interest on its debt.

Interest Coverage is an important factor when GuruFocus ranks a company's overage Financial Strength .


Raghuvansh Agrofarms Interest Coverage Related Terms

Thank you for viewing the detailed overview of Raghuvansh Agrofarms's Interest Coverage provided by GuruFocus.com. Please click on the following links to see related term pages.


Raghuvansh Agrofarms (BOM:538921) Business Description

Traded in Other Exchanges
N/A
Address
14/113, Civil Lines, Cabin No.559, Third Floor, Padam Tower-I, Kanpur, UP, IND, 208001
Raghuvansh Agrofarms Ltd is an Indian agricultural company engaged in the provision of agro commodity trading business. The company's activities include cultivation, processing, and distribution of agricultural products. It also involved in dairy farming and production and distribution of dairy products. The company offers financial, technical, strategic assistance to agricultural and dairy businesses. Its products cover organic vegetables, grains, milk, dairy, vermicompost, wheatgrass as well as fertilizers and ornamental plants.

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