Aroa Biosurgery (ASX:ARX) Interest Coverage: 11.15 (As of Mar. 2026)


ASX:ARX Aroa Biosurgery Ltd ASX:ARX
62 GF Score
Price A$0.59
GF Value A$0.80
Valuation Modestly Undervalued
! 2 Warning Signs
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What is Aroa Biosurgery Interest Coverage?

Aroa Biosurgery ASX:ARX +0.85% 62 Interest Coverage is 11.15 as of Mar. 2026. GuruFocus rates ASX:ARX with a GF Score™ of 62/100 and a GF Value™ of A$0.80 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 468 Medical Devices & Instruments companies, Aroa Biosurgery ranks worse than 213675% on this metric.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income by its Interest Expense. Aroa Biosurgery's Operating Income for the six months ended in Mar. 2026 was A$3.32 Mil. Aroa Biosurgery's Interest Expense for the six months ended in Mar. 2026 was A$-0.30 Mil. Aroa Biosurgery's interest coverage for the quarter that ended in Mar. 2026 was 11.15. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Aroa Biosurgery's Interest Coverage or its related term are showing as below:


ASX:ARX's Interest Coverage is not ranked *
in the Medical Devices & Instruments industry.
Industry Median: 15.71
* Ranked among companies with meaningful Interest Coverage only.

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.


Aroa Biosurgery  (ASX:ARX) Interest Coverage Explanation

Ben Graham requires that a company has a minimum interest coverage of 5 with the companies he invested. If the interest coverage is less than 2, the company is burdened by debt. Any business slow or recession may drag the company into a situation where it cannot pay the interest on its debt.

Interest Coverage is an important factor when GuruFocus ranks a company's overage Financial Strength .


Aroa Biosurgery Interest Coverage Related Terms


Aroa Biosurgery Interest Coverage Historical Data

* Premium members only.

The historical data trend for Aroa Biosurgery's Interest Coverage 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.

Note: For Interest Coverage, "No debt" indicates no long-term debt. An indication of "No Debt" does not necessarily mean that the company has no long-term debt obligations; it could be due to missing data in the quarterly or annual report. Use caution when interpreting this information.

Aroa Biosurgery Interest Coverage Chart

Aroa Biosurgery Annual Data
Trend Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Interest Coverage
Get a 7-Day Free Trial 0.00 0.00 0.00 0.00 0.00

Aroa Biosurgery Semi-Annual Data
Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25 Mar26
Interest Coverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.00 0.00 0.00 0.00 11.15

ASX:ARX vs ABT, SYK, MDT: Interest Coverage Comparison

For the Medical Devices subindustry, Aroa Biosurgery's Interest Coverage, along with its competitors' market caps and Interest Coverage 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.


Aroa Biosurgery Interest Coverage vs Medical Devices & Instruments Industry

For the Medical Devices & Instruments industry and Healthcare sector, Aroa Biosurgery's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Aroa Biosurgery's Interest Coverage falls into.


ASX:ARX
62GF Score
Aroa Biosurgery Ltd ASX:ARX
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
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Aroa Biosurgery Interest Coverage Calculation

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

If Interest Expense is negative and Operating Income is positive, then

Interest Coverage=-1* Operating Income /Interest Expense

Else if Interest Expense is negative and Operating Income is negative, then

The company did not have earnings to cover the interest expense.

Else if Interest Expense is 0 and Long-Term Debt & Capital Lease Obligation is 0, then

The company had no debt (1).


Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Aroa Biosurgery's Interest Coverage for the fiscal year that ended in Mar. 2026 is calculated as

Here, for the fiscal year that ended in Mar. 2026, Aroa Biosurgery's Interest Expense was A$-1.15 Mil. Its Operating Income was A$-0.52 Mil. And its Long-Term Debt & Capital Lease Obligation was A$4.08 Mil.

Aroa Biosurgery did not have earnings to cover the interest expense.

Aroa Biosurgery's Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Here, for the six months ended in Mar. 2026, Aroa Biosurgery's Interest Expense was A$-0.30 Mil. Its Operating Income was A$3.32 Mil. And its Long-Term Debt & Capital Lease Obligation was A$4.08 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*3.324/-0.298
=11.15

* 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.

The higher the ratio, the stronger the company's Financial Strength is.

Frequently Asked Questions Learn more about Interest Coverage →
What does a Interest Coverage of 11.15 mean?
Aroa Biosurgery (ASX:ARX) has a Interest Coverage of 11.15 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Aroa Biosurgery and its competitors. According to the industry distribution chart, Aroa Biosurgery ranks #999999 out of 468 companies in the Medical Devices & Instruments industry.
Is Aroa Biosurgery's Interest Coverage too high?
Aroa Biosurgery's current Interest Coverage is 11.15. The Medical Devices & Instruments industry median Interest Coverage is 15.71. Aroa Biosurgery's value of 11.15 is 29% below this industry median. Based on the distribution chart, Aroa Biosurgery ranks #999999 out of 468 companies in the Medical Devices & Instruments industry, which is in the bottom quartile relative to peers. Overall, Aroa Biosurgery has a GF Score™ of 62/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Aroa Biosurgery's Interest Coverage compare to ABT and SYK?
According to the Medical Devices & Instruments industry distribution chart, Aroa Biosurgery ranks #999999 out of 468 companies for Interest Coverage. This places Aroa Biosurgery in the lower half of its industry. The industry median Interest Coverage is 15.71. Aroa Biosurgery's value of 11.15 is 29% below this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Interest Coverage for a Medical Devices & Instruments company?
The median Interest Coverage among Medical Devices & Instruments companies is 15.71, based on 468 companies in the industry. Companies in the top quartile (top 25%) have a Interest Coverage significantly above this median, while those in the bottom quartile fall well below. However, Interest Coverage should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Aroa Biosurgery's current Interest Coverage of 11.15 is 29% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Interest Coverage mean?
A high Interest Coverage can signal that a stock is expensive relative to its fundamentals. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Aroa Biosurgery and its competitors. For the Medical Devices & Instruments industry, the median Interest Coverage is 15.71 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Aroa Biosurgery's current Interest Coverage is 11.15. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Aroa Biosurgery stock overvalued right now?
Based on GuruFocus' analysis, Aroa Biosurgery (ASX:ARX) is currently considered Modestly Undervalued. The stock's GF Value™ is A$0.80, compared to a current price of A$0.59 — trading 26.3% below its estimated fair value. The current Interest Coverage is 11.15 and 29% below the Medical Devices & Instruments industry median of 15.71. Aroa Biosurgery's overall GF Score™ is 62/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Interest Coverage calculated?
Interest Coverage is calculated from a company's financial statements. For Aroa Biosurgery (ASX:ARX), the current Interest Coverage is 11.15 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 Aroa Biosurgery (ASX:ARX) Overvalued in 2026?

Based on GuruFocus' analysis, Aroa Biosurgery stock appears to be undervalued. The current stock price of A$0.59 is trading 26.3% below its estimated GF Value™ of A$0.80. GuruFocus considers Aroa Biosurgery to be Modestly Undervalued.

Key valuation signals for ASX:ARX:

  • Interest Coverage: 11.15
  • GF Value™: A$0.80 vs. price of A$0.59 (26.3% below fair value)
  • GF Score™: 62/100 with 2 warning signs
  • Industry Position: 29% below the Medical Devices & Instruments median (#999999 of 468)

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


Aroa Biosurgery Business Description

Other Exchanges AROAF:USA
Address 64 Richard Pearse Drive, Mangere, Airport Oaks, Auckland, NZL, 2022
Aroa Biosurgery Ltd is a soft tissue regeneration company that develops, manufactures, and sells medical devices for wound and soft tissue repair using its proprietary extracellular matrix (ECM) technology. It is focused on improving the rate and quality of healing in complex wounds and soft tissue reconstruction. The company is in the business of developing, manufacturing, and selling soft tissue repair products. The company's principal market is the United States, where it has five key products for sale targeting chronic wounds, hernia, plastics, reconstructive surgery, and trauma/limb salvage/tumor surgery.
62GF Score

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Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

A$0.59
Price
A$0.80
GF Value