Aluworks (XGHA:ALW) Effective Interest Rate on Debt %: 21.56% (As of Dec. 2020)

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What is Aluworks Effective Interest Rate on Debt %?

Aluworks XGHA:ALW Effective Interest Rate on Debt % is 21.56% as of Dec. 2020.

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. Aluworks's annualized positive value of Interest Expense for the quarter that ended in Dec. 2020 was GHS24.76 Mil. Aluworks's average total debt for the quarter that ended in Dec. 2020 was GHS114.83 Mil. Therefore, Aluworks's annualized Effective Interest Rate on Debt % for the quarter that ended in Dec. 2020 was 21.56%.

Aluworks  (XGHA:ALW) Effective Interest Rate on Debt % Explanation

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

Aluworks Effective Interest Rate on Debt % Related Terms

Aluworks Effective Interest Rate on Debt % Historical Data

* Premium members only.

The historical data trend for Aluworks'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.

Aluworks Effective Interest Rate on Debt % Chart

Aluworks Annual Data
Trend Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20
Effective Interest Rate on Debt %
Get a 7-Day Free Trial 27.56 24.35 20.73 22.60 21.56

Aluworks Semi-Annual Data
Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20
Effective Interest Rate on Debt % Get a 7-Day Free Trial 27.56 24.35 20.73 22.60 21.56

XGHA:ALW vs AA: Effective Interest Rate on Debt % Comparison

For the Aluminum subindustry, Aluworks'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.

Aluworks Effective Interest Rate on Debt % vs Metals & Mining Industry

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

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


Aluworks Effective Interest Rate on Debt % Calculation

Aluworks's annualized Effective Interest Rate on Debt % for the fiscal year that ended in Dec. 2020 is calculated as

Effective Interest Rate on Debt %
=-1  *  Interest Expense/( (Total Debt  (A: Dec. 2019 )+Total Debt  (A: Dec. 2020 ))/ count )
=-1  *  -24.758/( (102.614+127.053)/ 2 )
=-1  *  -24.758/114.8335
=21.56 %

where

Total Debt  (A: Dec. 2019 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=0 + 102.614
=102.614

Total Debt  (A: Dec. 2020 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=0 + 127.053
=127.053

Aluworks's annualized Effective Interest Rate on Debt % for the quarter that ended in Dec. 2020 is calculated as

Effective Interest Rate on Debt %
=-1  *  Interest Expense/( (Total Debt  (Q: Dec. 2019 )+Total Debt  (Q: Dec. 2020 ))/ count )
=-1  *  -24.758/( (102.614+127.053)/ 2 )
=-1  *  -24.758/114.8335
=21.56 %

where

Total Debt  (Q: Dec. 2019 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=0 + 102.614
=102.614

Total Debt  (Q: Dec. 2020 )
=Long-Term Debt & Capital Lease Obligation + Short-Term Debt & Capital Lease Obligation
=0 + 127.053
=127.053

* 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 one times the annual (Dec. 2020) 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 21.56% mean?
Aluworks (XGHA:ALW) has a Effective Interest Rate on Debt % of 21.56% as of Dec. 2020. Effective interest rate on debt is the rate a company actually pays on its debt. View historical data on Aluworks and its competitors.
Is Aluworks' Effective Interest Rate on Debt % too high?
Aluworks' current Effective Interest Rate on Debt % is 21.56%.
How does Aluworks' Effective Interest Rate on Debt % compare to AA?
Aluworks' Effective Interest Rate on Debt % of 21.56% 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 Aluworks and its competitors. Aluworks's current Effective Interest Rate on Debt % is 21.56%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Aluworks stock overvalued right now?
Aluworks (XGHA:ALW) has a current Effective Interest Rate on Debt % of 21.56%. The current Effective Interest Rate on Debt % is 21.56%. 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 Aluworks (XGHA:ALW), the current Effective Interest Rate on Debt % is 21.56% as of Dec. 2020. 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.

Aluworks Business Description

Address Plot No. 63/1, Heavy Industrial Area, P. O. Box CO 914, Greater Accra, Tema, GHA
Aluworks Ltd is engaged in continuous casting and cold rolling of aluminum products. The company manufactures aluminum coils, circles, corrugated sheets, and flat sheets. It acts as a supplier of aluminum coils, discs, flat sheets and sheet-in-coil as raw materials for many small and medium-scale factories manufacturing aluminum household cooking utensils, corrugated roofing sheets, and general fabrication. The company generates the majority of its revenue from Ghana.