Engro Polymer & Chemicals (KAR:EPCL) Effective Interest Rate on Debt %: 12.72% (As of Mar. 2026)

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

KAR:EPCL Engro Polymer & Chemicals Ltd KAR:EPCL
54 GF Score
Price ₨32.68
GF Value ₨46.21
Valuation Modestly Undervalued
! 12 Warning Signs
View Full Analysis

What is Engro Polymer & Chemicals Effective Interest Rate on Debt %?

Engro Polymer & Chemicals KAR:EPCL -1.80% 54 Effective Interest Rate on Debt % is 12.72% as of Mar. 2026. GuruFocus rates KAR:EPCL with a GF Score™ of 54/100 and a GF Value™ of ₨46.21 (Modestly Undervalued). The stock has 12 warning signs investors should review.

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. Engro Polymer & Chemicals's annualized positive value of Interest Expense for the quarter that ended in Mar. 2026 was ₨7,130 Mil. Engro Polymer & Chemicals's average total debt for the quarter that ended in Mar. 2026 was ₨56,064 Mil. Therefore, Engro Polymer & Chemicals's annualized Effective Interest Rate on Debt % for the quarter that ended in Mar. 2026 was 12.72%.


Engro Polymer & Chemicals  (KAR:EPCL) Effective Interest Rate on Debt % Explanation

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


Engro Polymer & Chemicals Effective Interest Rate on Debt % Related Terms


Engro Polymer & Chemicals Effective Interest Rate on Debt % Historical Data

* Premium members only.

The historical data trend for Engro Polymer & Chemicals'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.

Engro Polymer & Chemicals Effective Interest Rate on Debt % Chart

Engro Polymer & Chemicals Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Effective Interest Rate on Debt %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 6.17 8.53 13.57 16.18 9.55

Engro Polymer & Chemicals Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
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 Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 13.34 13.28 13.14 2.71 12.72

KAR:EPCL vs LIN, SHW, ECL: Effective Interest Rate on Debt % Comparison

For the Specialty Chemicals subindustry, Engro Polymer & Chemicals'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.


Engro Polymer & Chemicals Effective Interest Rate on Debt % vs Chemicals Industry

For the Chemicals industry and Basic Materials sector, Engro Polymer & Chemicals's Effective Interest Rate on Debt % distribution charts can be found below:

* The bar in red indicates where Engro Polymer & Chemicals's Effective Interest Rate on Debt % falls into.


KAR:EPCL
54GF Score
Engro Polymer & Chemicals Ltd KAR:EPCL
Effective Interest Rate on Debt % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Engro Polymer & Chemicals Effective Interest Rate on Debt % Calculation

Engro Polymer & Chemicals's annualized Effective Interest Rate on Debt % for the fiscal year that ended in Dec. 2025 is calculated as

Effective Interest Rate on Debt %
=-1  *  Interest Expense/( (Total Debt  (A: Dec. 2024 )+Total Debt  (A: Dec. 2025 ))/ count )
=-1  *  -4771.967/( (43539.397+56393.915)/ 2 )
=-1  *  -4771.967/49966.656
=9.55 %

where

Total Debt  (A: Dec. 2024 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=29535.292 + 14004.105
=43539.397

Total Debt  (A: Dec. 2025 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=53512.449 + 2881.466
=56393.915

Engro Polymer & Chemicals's annualized Effective Interest Rate on Debt % for the quarter that ended in Mar. 2026 is calculated as

Effective Interest Rate on Debt %
=-1  *  Interest Expense/( (Total Debt  (Q: Dec. 2025 )+Total Debt  (Q: Mar. 2026 ))/ count )
=-1  *  -7130.496/( (56393.915+55735.053)/ 2 )
=-1  *  -7130.496/56064.484
=12.72 %

where

Total Debt  (Q: Dec. 2025 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=53512.449 + 2881.466
=56393.915

Total Debt  (Q: Mar. 2026 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=51782.476 + 3952.577
=55735.053

* 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 four times the quarterly (Mar. 2026) 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 12.72% mean?
Engro Polymer & Chemicals (KAR:EPCL) has a Effective Interest Rate on Debt % of 12.72% as of Mar. 2026. Effective interest rate on debt is the rate a company actually pays on its debt. View historical data on Engro Polymer & Chemicals and its competitors.
Is Engro Polymer & Chemicals' Effective Interest Rate on Debt % too high?
Engro Polymer & Chemicals' current Effective Interest Rate on Debt % is 12.72%. Overall, Engro Polymer & Chemicals has a GF Score™ of 54/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Engro Polymer & Chemicals' Effective Interest Rate on Debt % compare to LIN and SHW?
Engro Polymer & Chemicals' Effective Interest Rate on Debt % of 12.72% can be compared against companies in the Chemicals 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 Chemicals company?
A good Effective Interest Rate on Debt % depends on the Chemicals 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 Engro Polymer & Chemicals and its competitors. Engro Polymer & Chemicals's current Effective Interest Rate on Debt % is 12.72%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Engro Polymer & Chemicals stock overvalued right now?
Based on GuruFocus' analysis, Engro Polymer & Chemicals (KAR:EPCL) is currently considered Modestly Undervalued. The stock's GF Value™ is ₨46.21, compared to a current price of ₨32.68 — trading 29.3% below its estimated fair value. The current Effective Interest Rate on Debt % is 12.72%. Engro Polymer & Chemicals' overall GF Score™ is 54/100 with 12 warning signs to review. 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 Engro Polymer & Chemicals (KAR:EPCL), the current Effective Interest Rate on Debt % is 12.72% as of Mar. 2026. 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.

Is Engro Polymer & Chemicals (KAR:EPCL) Overvalued in 2026?

Based on GuruFocus' analysis, Engro Polymer & Chemicals stock appears to be undervalued. The current stock price of ₨32.68 is trading 29.3% below its estimated GF Value™ of ₨46.21. GuruFocus considers Engro Polymer & Chemicals to be Modestly Undervalued.

Key valuation signals for KAR:EPCL:

  • Effective Interest Rate on Debt %: 12.72%
  • GF Value™: ₨46.21 vs. price of ₨32.68 (29.3% below fair value)
  • GF Score™: 54/100 with 12 warning signs

No single metric tells the full story. See the KAR:EPCL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Engro Polymer & Chemicals Business Description

Other Exchanges EPCLPS.PFD:Pakistan
Address Marine Drive, 8th Floor, The Harbour Front Building, HC No 3, Marine Drive, Block 4, Clifton, Karachi, SD, PAK, 75600
Engro Polymer & Chemicals Ltd is mainly engaged in the production and distribution of chlor-vinyl products, including Polyvinyl Chloride (PVC), caustic soda, hydrogen peroxide, and other industrial chemicals such as hydrochloric acid and sodium hypochlorite. The Company operates through multiple segments, with the Poly Vinyl Chloride (PVC) segment generating the highest revenue by supplying products to industries such as pipes, footwear, and packaging across Pakistan and exporting mainly to Asia. Its Caustic Soda and Allied Chemicals segment serves textile and soap industries, while the Hydrogen Peroxide segment mainly caters to the textile sector, and the Power Supplies segment supplies surplus power generated from its power plants.
54GF Score

Get the complete analysis for KAR:EPCL

Effective Interest Rate on Debt % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

₨32.68
Price
₨46.21
GF Value