AYO Technology Solutions (JSE:AYO) Effective Interest Rate on Debt %: 31.63% (As of Feb. 2025)

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JSE:AYO AYO Technology Solutions Ltd JSE:AYO
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What is AYO Technology Solutions Effective Interest Rate on Debt %?

AYO Technology Solutions JSE:AYO 11 Effective Interest Rate on Debt % is 31.63% as of Feb. 2025. GuruFocus rates JSE:AYO with a GF Score™ of 11/100.

Effective Interest Rate on Debt % is the usage rate that a borrower actually pays on a debt. It is calculated as the positive value of Interest Expense divided by its average total debt. Total debt equals to Long-Term Debt & Capital Lease Obligation plus Short-Term Debt & Capital Lease Obligation. AYO Technology Solutions's annualized positive value of Interest Expense for the quarter that ended in Feb. 2025 was R15 Mil. AYO Technology Solutions's average total debt for the quarter that ended in Feb. 2025 was R46 Mil. Therefore, AYO Technology Solutions's annualized Effective Interest Rate on Debt % for the quarter that ended in Feb. 2025 was 31.63%.


AYO Technology Solutions  (JSE:AYO) Effective Interest Rate on Debt % Explanation

Effective Interest Rate on Debt % measures the usage rate that a borrower actually pays on a debt.


AYO Technology Solutions Effective Interest Rate on Debt % Related Terms


AYO Technology Solutions Effective Interest Rate on Debt % Historical Data

* Premium members only.

The historical data trend for AYO Technology Solutions's Effective Interest Rate on Debt % 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.

AYO Technology Solutions Effective Interest Rate on Debt % Chart

AYO Technology Solutions Annual Data
Trend Aug15 Aug16 Aug17 Aug18 Aug19 Aug20 Aug21 Aug22 Aug23 Aug24
Effective Interest Rate on Debt %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 35.25 15.01 11.03 27.81 28.18

AYO Technology Solutions Semi-Annual Data
Feb18 Aug18 Feb19 Aug19 Feb20 Aug20 Feb21 Aug21 Feb22 Aug22 Feb23 Aug23 Feb24 Aug24 Feb25
Effective Interest Rate on Debt % 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 15.20 36.98 27.80 31.96 31.63

JSE:AYO vs IBM, ACN, FI: Effective Interest Rate on Debt % Comparison

For the Information Technology Services subindustry, AYO Technology Solutions's Effective Interest Rate on Debt %, along with its competitors' market caps and Effective Interest Rate on Debt % 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.


AYO Technology Solutions Effective Interest Rate on Debt % vs Software Industry

For the Software industry and Technology sector, AYO Technology Solutions's Effective Interest Rate on Debt % distribution charts can be found below:

* The bar in red indicates where AYO Technology Solutions's Effective Interest Rate on Debt % falls into.


JSE:AYO
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AYO Technology Solutions Ltd JSE:AYO
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AYO Technology Solutions Effective Interest Rate on Debt % Calculation

AYO Technology Solutions's annualized Effective Interest Rate on Debt % for the fiscal year that ended in Aug. 2024 is calculated as

Effective Interest Rate on Debt %
=-1  *  Interest Expense/( (Total Debt  (A: Aug. 2023 )+Total Debt  (A: Aug. 2024 ))/ count )
=-1  *  -13.751/( (51.478+46.101)/ 2 )
=-1  *  -13.751/48.7895
=28.18 %

where

Total Debt  (A: Aug. 2023 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=28.616 + 22.862
=51.478

Total Debt  (A: Aug. 2024 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=27.086 + 19.015
=46.101

AYO Technology Solutions's annualized Effective Interest Rate on Debt % for the quarter that ended in Feb. 2025 is calculated as

Effective Interest Rate on Debt %
=-1  *  Interest Expense/( (Total Debt  (Q: Aug. 2024 )+Total Debt  (Q: Feb. 2025 ))/ count )
=-1  *  -14.602/( (46.101+46.228)/ 2 )
=-1  *  -14.602/46.1645
=31.63 %

where

Total Debt  (Q: Aug. 2024 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=27.086 + 19.015
=46.101

Total Debt  (Q: Feb. 2025 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=32.464 + 13.764
=46.228

* 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.

In the calculation of annual Effective Interest Rate on Debt %, the Interest Expense of the last fiscal year and the average total debt over the fiscal year are used. In calculating the quarterly data, the Interest Expense data used here is two times the semi-annual (Feb. 2025) interest expense data. Effective Interest Rate on Debt % is displayed in the 30-year financial page.

What does a Effective Interest Rate on Debt % of 31.63% mean?
AYO Technology Solutions (JSE:AYO) has a Effective Interest Rate on Debt % of 31.63% as of Feb. 2025. Effective interest rate on debt is the rate a company actually pays on its debt. View historical data on AYO Technology Solutions and its competitors.
Is AYO Technology Solutions' Effective Interest Rate on Debt % too high?
AYO Technology Solutions' current Effective Interest Rate on Debt % is 31.63%. Overall, AYO Technology Solutions has a GF Score™ of 11/100, reflecting its overall financial health beyond just this single metric.
How does AYO Technology Solutions' Effective Interest Rate on Debt % compare to IBM and ACN?
AYO Technology Solutions' Effective Interest Rate on Debt % of 31.63% can be compared against companies in the Software industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Effective Interest Rate on Debt % for a Software company?
A good Effective Interest Rate on Debt % depends on the Software industry context. However, Effective Interest Rate on Debt % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Effective Interest Rate on Debt % mean?
A high Effective Interest Rate on Debt % can signal that a stock is expensive relative to its fundamentals. Effective interest rate on debt is the rate a company actually pays on its debt. View historical data on AYO Technology Solutions and its competitors. AYO Technology Solutions's current Effective Interest Rate on Debt % is 31.63%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is AYO Technology Solutions stock overvalued right now?
AYO Technology Solutions (JSE:AYO) has a current Effective Interest Rate on Debt % of 31.63%. The current Effective Interest Rate on Debt % is 31.63%. AYO Technology Solutions' overall GF Score™ is 11/100. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Effective Interest Rate on Debt % calculated?
Effective Interest Rate on Debt % is calculated from a company's financial statements. For AYO Technology Solutions (JSE:AYO), the current Effective Interest Rate on Debt % is 31.63% as of Feb. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

AYO Technology Solutions Business Description

Address Cnr Heerengracht & Walter Sisulu Avenue, 10th Floor, Convention Tower, Foreshore, Cape Town, WC, ZAF, 8001
AYO Technology Solutions Ltd is Broad-Based Black Economic Empowerment (B-BBEE) information and communications technology (ICT) investment holding company. The company through its subsidiaries provides solutions to both the public and private sectors within South Africa and overseas countries. It offers a diversified portfolio of services such as data analytics, systems integration, and business process management, software development, security, cloud solutions, and digital transformation. The company's operating segment includes Software and consulting; Security solutions; Unified communications; Health care service; Tracking solutions and Managed Services. It generates maximum revenue from the Managed services segment.
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