African Copper (LSE:ACU) Effective Interest Rate on Debt %: 120.94% (As of Sep. 2014)

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What is African Copper Effective Interest Rate on Debt %?

African Copper LSE:ACU +10.00% Effective Interest Rate on Debt % is 120.94% as of Sep. 2014. The stock has 4 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. African Copper's annualized positive value of Interest Expense for the quarter that ended in Sep. 2014 was £5.89 Mil. African Copper's average total debt for the quarter that ended in Sep. 2014 was £4.87 Mil. Therefore, African Copper's annualized Effective Interest Rate on Debt % for the quarter that ended in Sep. 2014 was 120.94%.


African Copper  (LSE:ACU) Effective Interest Rate on Debt % Explanation

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


African Copper Effective Interest Rate on Debt % Related Terms


African Copper Effective Interest Rate on Debt % Historical Data

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The historical data trend for African Copper'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.

African Copper Effective Interest Rate on Debt % Chart

African Copper Annual Data
Trend Dec04 Dec05 Dec06 Dec07 Dec08 Dec09 Mar11 Mar12 Mar13 Mar14
Effective Interest Rate on Debt %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 12.69 0.00 138.82 256.16 309.85

African Copper Semi-Annual Data
Jun05 Dec05 Jun06 Dec06 Jun07 Dec07 Jun08 Dec08 Jun09 Dec09 Sep10 Mar11 Sep11 Mar12 Sep12 Mar13 Sep13 Mar14 Sep14
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 187.76 331.61 321.46 217.62 120.94

African Copper Effective Interest Rate on Debt % Competitor Comparison

For the Copper subindustry, African Copper'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.


African Copper Effective Interest Rate on Debt % vs Metals & Mining Industry

For the Metals & Mining industry and Basic Materials sector, African Copper's Effective Interest Rate on Debt % distribution charts can be found below:

* The bar in red indicates where African Copper's Effective Interest Rate on Debt % falls into.



African Copper Effective Interest Rate on Debt % Calculation

African Copper's annualized Effective Interest Rate on Debt % for the fiscal year that ended in Mar. 2014 is calculated as

Effective Interest Rate on Debt %
=-1  *  Interest Expense/( (Total Debt  (A: Mar. 2013 )+Total Debt  (A: Mar. 2014 ))/ count )
=-1  *  -5.534/( (1.269+2.303)/ 2 )
=-1  *  -5.534/1.786
=309.85 %

where

Total Debt  (A: Mar. 2013 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=1.248 + 0.021
=1.269

Total Debt  (A: Mar. 2014 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=0.949 + 1.354
=2.303

African Copper's annualized Effective Interest Rate on Debt % for the quarter that ended in Sep. 2014 is calculated as

Effective Interest Rate on Debt %
=-1  *  Interest Expense/( (Total Debt  (Q: Mar. 2014 )+Total Debt  (Q: Sep. 2014 ))/ count )
=-1  *  -5.89/( (2.303+7.437)/ 2 )
=-1  *  -5.89/4.87
=120.94 %

where

Total Debt  (Q: Mar. 2014 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=0.949 + 1.354
=2.303

Total Debt  (Q: Sep. 2014 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=5.533 + 1.904
=7.437

* 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 (Sep. 2014) 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 120.94% mean?
African Copper (LSE:ACU) has a Effective Interest Rate on Debt % of 120.94% as of Sep. 2014. Effective interest rate on debt is the rate a company actually pays on its debt. View historical data on African Copper and its competitors.
Is African Copper's Effective Interest Rate on Debt % too high?
African Copper's current Effective Interest Rate on Debt % is 120.94%.
How does African Copper's Effective Interest Rate on Debt % compare to competitors?
African Copper's Effective Interest Rate on Debt % of 120.94% can be compared against companies in the Metals & Mining 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 Metals & Mining company?
A good Effective Interest Rate on Debt % depends on the Metals & Mining 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 African Copper and its competitors. African Copper's current Effective Interest Rate on Debt % is 120.94%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is African Copper stock overvalued right now?
African Copper (LSE:ACU) has a current Effective Interest Rate on Debt % of 120.94%. The current Effective Interest Rate on Debt % is 120.94%. 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 African Copper (LSE:ACU), the current Effective Interest Rate on Debt % is 120.94% as of Sep. 2014. 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.

African Copper Business Description

African Copper PLC was incorporated on February 11, 2004 in England and Wales. The Company is engaged in the exploration for, development and mining of, copper deposits in the Republic of Botswana. Its main activity is that of a holding company. Its main project is the copper producing open pit Mowana mine. The Company's wholly-owned subsidiary Messina holds the Dukwe Project comprising exploration licence PL 33/2005, with an area of 139.6 km2. The Dukwe Project with its associated licences encompasses the Mowana Mine and all current estimated mineral resources and reserves associated with the mine; together with north and south extensions of mineralization that lie outside of the Mowana Mine licence area. It also owns the rights to the adjacent Thakadu-Makala deposits and holds permits in exploration properties at the Matsitama Project which is contiguous to the southern boundary of the Mowana Mine.