Accent Group (ASX:AX1) Interest Coverage: 3.36 (As of Dec. 2025) — 75% Below Median


ASX:AX1 Accent Group Ltd ASX:AX1
78 GF Score
Price A$0.70
GF Value A$1.97
Valuation Possible Value Trap
! 7 Warning Signs
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What is Accent Group Interest Coverage?

Accent Group ASX:AX1 78 Interest Coverage is 3.36 as of Dec. 2025, which is 75% below its 10-year median of 13.69. GuruFocus rates ASX:AX1 with a GF Score™ of 78/100 and a GF Value™ of A$1.97 (Possible Value Trap). The stock has 7 warning signs investors should review. Among 826 Retail - Cyclical companies, Accent Group ranks worse than 56.54% 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. Accent Group's Operating Income for the six months ended in Dec. 2025 was A$55 Mil. Accent Group's Interest Expense for the six months ended in Dec. 2025 was A$-16 Mil. Accent Group's interest coverage for the quarter that ended in Dec. 2025 was 3.36. The higher the ratio, the stronger the company's financial strength is.

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

ASX:AX1' s Interest Coverage Range Over the Past 10 Years
Min: 6.12   Med: 13.69   Max: 39.59
Current: 6.13


ASX:AX1's Interest Coverage is ranked worse than
56.54% of 826 companies
in the Retail - Cyclical industry
Industry Median: 7.85 vs ASX:AX1: 6.13

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


Accent Group  (ASX:AX1) 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 .


Accent Group Interest Coverage Related Terms


Accent Group Interest Coverage Historical Data

* Premium members only.

The historical data trend for Accent Group'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.

Accent Group Interest Coverage Chart

Accent Group Annual Data
Trend Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24 Jun25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 39.59 16.12 19.81 11.25 8.84

Accent Group Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
Interest Coverage 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 5.16 0.00 5.25 0.00 3.36

ASX:AX1 vs TJX, ROST, BURL: Interest Coverage Comparison

For the Apparel Retail subindustry, Accent Group'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.


Accent Group Interest Coverage vs Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Accent Group's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Accent Group's Interest Coverage falls into.


ASX:AX1
78GF Score
Accent Group Ltd ASX:AX1
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Accent Group 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.

Accent Group's Interest Coverage for the fiscal year that ended in Jun. 2025 is calculated as

Here, for the fiscal year that ended in Jun. 2025, Accent Group's Interest Expense was A$-12 Mil. Its Operating Income was A$104 Mil. And its Long-Term Debt & Capital Lease Obligation was A$404 Mil.

Interest Coverage=-1* Operating Income (A: Jun. 2025 )/Interest Expense (A: Jun. 2025 )
=-1*103.602/-11.719
=8.84

Accent Group's Interest Coverage for the quarter that ended in Dec. 2025 is calculated as

Here, for the six months ended in Dec. 2025, Accent Group's Interest Expense was A$-16 Mil. Its Operating Income was A$55 Mil. And its Long-Term Debt & Capital Lease Obligation was A$461 Mil.

Interest Coverage=-1* Operating Income (Q: Dec. 2025 )/Interest Expense (Q: Dec. 2025 )
=-1*54.533/-16.209
=3.36

* 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 3.36 mean?
Accent Group (ASX:AX1) has a Interest Coverage of 3.36 as of Dec. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Accent Group and its competitors. This is 75% below median its historical median of 13.69. Over the past decade, Accent Group's Interest Coverage has ranged from 6.12 to 39.59. According to the industry distribution chart, Accent Group ranks #467 out of 826 companies in the Retail - Cyclical industry, placing it in the top 56.5%.
Is Accent Group's Interest Coverage too high?
Accent Group's current Interest Coverage of 3.36 is 75% below median its 10-year median of 13.69. Over the past 10 years, this metric has ranged from a low of 6.12 to a high of 39.59. The Retail - Cyclical industry median Interest Coverage is 7.85. Accent Group's value of 3.36 is 57.2% below this industry median. Based on the distribution chart, Accent Group ranks #467 out of 826 companies in the Retail - Cyclical industry, which is below the industry midpoint. Overall, Accent Group has a GF Score™ of 78/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Accent Group's Interest Coverage compare to TJX and ROST?
According to the Retail - Cyclical industry distribution chart, Accent Group ranks #467 out of 826 companies for Interest Coverage. This places Accent Group in the lower half of its industry. The industry median Interest Coverage is 7.85. Accent Group's value of 3.36 is 57.2% below this benchmark. Historically, Accent Group's own Interest Coverage has ranged from 6.12 to 39.59 over the past decade. While the company's 10-year median is 13.69 vs. the industry median of 7.85, Accent Group has consistently been below the industry average. 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 Retail - Cyclical company?
The median Interest Coverage among Retail - Cyclical companies is 7.85, based on 826 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. Accent Group's current Interest Coverage of 3.36 is 57.2% 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 Accent Group and its competitors. For the Retail - Cyclical industry, the median Interest Coverage is 7.85 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Accent Group's current Interest Coverage is 3.36, which is 75% below median its own 10-year median of 13.69. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Accent Group stock overvalued right now?
Based on GuruFocus' analysis, Accent Group (ASX:AX1) is currently considered Possible Value Trap. The stock's GF Value™ is A$1.97, compared to a current price of A$0.70 — trading 64.5% below its estimated fair value. The current Interest Coverage is 3.36, which is 75% below median its 10-year median of 13.69 and 57.2% below the Retail - Cyclical industry median of 7.85. Accent Group's overall GF Score™ is 78/100 with 7 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 Accent Group (ASX:AX1), the current Interest Coverage is 3.36 as of Dec. 2025. 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 Accent Group (ASX:AX1) Overvalued in 2026?

Based on GuruFocus' analysis, Accent Group stock appears to be undervalued. The current stock price of A$0.70 is trading 64.5% below its estimated GF Value™ of A$1.97. GuruFocus considers Accent Group to be Possible Value Trap.

Key valuation signals for ASX:AX1:

  • Interest Coverage: 3.36 (75% below median its 10-year median of 13.69)
  • GF Value™: A$1.97 vs. price of A$0.70 (64.5% below fair value)
  • GF Score™: 78/100 with 7 warning signs
  • Industry Position: 57.2% below the Retail - Cyclical median (#467 of 826)

No single metric tells the full story. See the ASX:AX1 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Accent Group Business Description

Address 2/64 Balmain Street, Richmond, Melbourne, VIC, AUS, 3121
Accent Group is a retailer and wholesaler of footwear and apparel. It is the exclusive distributor of range of global brands, including Skechers, Vans, and Doctor Martens in Australia and New Zealand. Accent operates both monobranded stores and multibrand banners, such as Platypus, Hype DC, and The Athlete's Foot. With a network of more than 800 physical stores and 30 websites, Accent is the largest footwear retailer in Australia.
78GF Score

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

A$0.70
Price
A$1.97
GF Value