REACT Group (LSE:REAT) Effective Interest Rate on Debt %: 7.92% (As of Mar. 2026)

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LSE:REAT REACT Group PLC LSE:REAT
44 GF Score
Price £0.43
GF Value £0.82
Valuation Significantly Undervalued
! 6 Warning Signs
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What is REACT Group Effective Interest Rate on Debt %?

REACT Group LSE:REAT 44 Effective Interest Rate on Debt % is 7.92% as of Mar. 2026. GuruFocus rates LSE:REAT with a GF Score™ of 44/100 and a GF Value™ of £0.82 (Significantly Undervalued). The stock has 6 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. REACT Group's annualized positive value of Interest Expense for the quarter that ended in Mar. 2026 was £0.31 Mil. REACT Group's average total debt for the quarter that ended in Mar. 2026 was £3.89 Mil. Therefore, REACT Group's annualized Effective Interest Rate on Debt % for the quarter that ended in Mar. 2026 was 7.92%.


REACT Group  (LSE:REAT) Effective Interest Rate on Debt % Explanation

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


REACT Group Effective Interest Rate on Debt % Related Terms


REACT Group Effective Interest Rate on Debt % Historical Data

* Premium members only.

The historical data trend for REACT Group'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.

REACT Group Effective Interest Rate on Debt % Chart

REACT Group Annual Data
Trend Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23 Sep24 Sep25
Effective Interest Rate on Debt %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.94 8.97 16.48 12.08 19.23

REACT Group Semi-Annual Data
Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25 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 14.12 13.17 7.89 16.40 7.92

LSE:REAT vs CTAS, CPRT, ULS: Effective Interest Rate on Debt % Comparison

For the Specialty Business Services subindustry, REACT Group'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.


REACT Group Effective Interest Rate on Debt % vs Business Services Industry

For the Business Services industry and Industrials sector, REACT Group's Effective Interest Rate on Debt % distribution charts can be found below:

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


LSE:REAT
44GF Score
REACT Group PLC LSE:REAT
Effective Interest Rate on Debt % is just one metric. See GF Score™, valuation, warning signs, and more.
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REACT Group Effective Interest Rate on Debt % Calculation

REACT Group's annualized Effective Interest Rate on Debt % for the fiscal year that ended in Sep. 2025 is calculated as

Effective Interest Rate on Debt %
=-1  *  Interest Expense/( (Total Debt  (A: Sep. 2024 )+Total Debt  (A: Sep. 2025 ))/ count )
=-1  *  -0.473/( (0.784+4.136)/ 2 )
=-1  *  -0.473/2.46
=19.23 %

where

Total Debt  (A: Sep. 2024 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=0.501 + 0.283
=0.784

Total Debt  (A: Sep. 2025 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=2.553 + 1.583
=4.136

REACT Group'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: Sep. 2025 )+Total Debt  (Q: Mar. 2026 ))/ count )
=-1  *  -0.308/( (4.136+3.637)/ 2 )
=-1  *  -0.308/3.8865
=7.92 %

where

Total Debt  (Q: Sep. 2025 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=2.553 + 1.583
=4.136

Total Debt  (Q: Mar. 2026 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=2.035 + 1.602
=3.637

* 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 (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 7.92% mean?
REACT Group (LSE:REAT) has a Effective Interest Rate on Debt % of 7.92% as of Mar. 2026. Effective interest rate on debt is the rate a company actually pays on its debt. View historical data on REACT Group and its competitors.
Is REACT Group's Effective Interest Rate on Debt % too high?
REACT Group's current Effective Interest Rate on Debt % is 7.92%. Overall, REACT Group has a GF Score™ of 44/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does REACT Group's Effective Interest Rate on Debt % compare to CTAS and CPRT?
REACT Group's Effective Interest Rate on Debt % of 7.92% can be compared against companies in the Business Services 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 Business Services company?
A good Effective Interest Rate on Debt % depends on the Business Services 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 REACT Group and its competitors. REACT Group's current Effective Interest Rate on Debt % is 7.92%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is REACT Group stock overvalued right now?
Based on GuruFocus' analysis, REACT Group (LSE:REAT) is currently considered Significantly Undervalued. The stock's GF Value™ is £0.82, compared to a current price of £0.43 — trading 48.2% below its estimated fair value. The current Effective Interest Rate on Debt % is 7.92%. REACT Group's overall GF Score™ is 44/100 with 6 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 REACT Group (LSE:REAT), the current Effective Interest Rate on Debt % is 7.92% 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 REACT Group (LSE:REAT) Overvalued in 2026?

Based on GuruFocus' analysis, REACT Group stock appears to be undervalued. The current stock price of £0.43 is trading 48.2% below its estimated GF Value™ of £0.82. GuruFocus considers REACT Group to be Significantly Undervalued.

Key valuation signals for LSE:REAT:

  • Effective Interest Rate on Debt %: 7.92%
  • GF Value™: £0.82 vs. price of £0.43 (48.2% below fair value)
  • GF Score™: 44/100 with 6 warning signs

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


REACT Group Business Description

Address Holly House, Shady Lane, Birmingham, GBR, B44 9ER
REACT Group PLC is engaged in providing cleaning, decontamination, hygiene services, drainage and plumbing including both contracted commercial cleaning and specialist emergency decontamination work. Its objective is to maintain and/or rapidly return its customer's property to safe, clean, operational use and do this through regular specialist cleaning and/or emergency response to potentially harmful incidents. The business operates through three divisions; commercial windows & cladding, hygiene & maintenance, and, emergency & decontamination. It has three operating segments; Contract Maintenance, Contract Reactive, and Ad Hoc work, out of which a majority of the revenue is generated from the contract maintenance segment.
44GF Score

Get the complete analysis for LSE:REAT

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

£0.43
Price
£0.82
GF Value