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. Johns Lyng Group's
Operating Income
for the
six
months ended in Jun. 2025 was A$50 Mil. Johns Lyng Group's Interest Expense for the
six
months ended in Jun. 2025 was A$-6 Mil.
Johns Lyng Group's interest coverage for the quarter that ended in Jun. 2025 was 7.81.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Johns Lyng Group's Interest Coverage or its related term are showing as below:
ASX:JLG'
s Interest Coverage Range Over the Past 10 Years
Min: 7.54 Med: 29.62 Max: 40.69
Current: 7.54
ASX:JLG's Interest Coverage is not ranked
in the Construction industry.
Industry Median: 7.865
vs ASX:JLG: 7.54
Johns Lyng Group (ASX:JLG) 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 .
Johns Lyng Group Interest Coverage Related Terms
Johns Lyng Group Interest Coverage Historical Data
* Premium members only.
The historical data trend for Johns Lyng 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.
ASX:JLG vs PWR, FIX, EME: Interest Coverage Comparison
For the Engineering & Construction subindustry, Johns Lyng 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.
Johns Lyng Group Interest Coverage vs Construction Industry
For the Construction industry and Industrials sector, Johns Lyng Group's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Johns Lyng Group's Interest Coverage falls into.
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:
* 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.
Johns Lyng Group (ASX:JLG) has a Interest Coverage of 7.81 as of Jun. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Johns Lyng Group and its competitors. This is 74% below median its historical median of 29.62. Over the past decade, Johns Lyng Group's Interest Coverage has ranged from 7.54 to 40.69.
Is Johns Lyng Group's Interest Coverage too high?
Johns Lyng Group's current Interest Coverage of 7.81 is 74% below median its 10-year median of 29.62. Over the past 10 years, this metric has ranged from a low of 7.54 to a high of 40.69. The Construction industry median Interest Coverage is 7.87. Johns Lyng Group's value of 7.81 is 0.7% below this industry median. Overall, Johns Lyng Group has a GF Score™ of 13/100, reflecting its overall financial health beyond just this single metric.
How does Johns Lyng Group's Interest Coverage compare to PWR and FIX?
Johns Lyng Group's Interest Coverage of 7.81 can be compared against companies in the Construction industry. The industry median Interest Coverage is 7.87. Johns Lyng Group's value of 7.81 is 0.7% below this benchmark. Historically, Johns Lyng Group's own Interest Coverage has ranged from 7.54 to 40.69 over the past decade. While the company's 10-year median is 29.62 vs. the industry median of 7.87, Johns Lyng 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 Construction company?
The median Interest Coverage among Construction companies is 7.87, based on 1,354 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. Johns Lyng Group's current Interest Coverage of 7.81 is 0.7% 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 Johns Lyng Group and its competitors. For the Construction industry, the median Interest Coverage is 7.87 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Johns Lyng Group's current Interest Coverage is 7.81, which is 74% below median its own 10-year median of 29.62. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Johns Lyng Group stock overvalued right now?
Johns Lyng Group (ASX:JLG) has a current Interest Coverage of 7.81. The stock's GF Value™ is A$5.47, compared to a current price of A$3.99 — trading 27.1% below its estimated fair value. The current Interest Coverage is 7.81, which is 74% below median its 10-year median of 29.62 and 0.7% below the Construction industry median of 7.87. Johns Lyng Group's overall GF Score™ is 13/100 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 Johns Lyng Group (ASX:JLG), the current Interest Coverage is 7.81 as of Jun. 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 Johns Lyng Group (ASX:JLG) Overvalued in 2026?
Based on GuruFocus' analysis, Johns Lyng Group stock appears to be undervalued.
The current stock price of A$3.99 is trading 27.1% below its estimated GF Value™ of A$5.47.
Key valuation signals for ASX:JLG:
Interest Coverage: 7.81 (74% below median its 10-year median of 29.62)
GF Value™: A$5.47 vs. price of A$3.99 (27.1% below fair value)
Industry Position: 0.7% below the Construction median
No single metric tells the full story. See the ASX:JLG stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Johns Lyng Group carries out commercial and residential rebuilding and restoration for the insurance industry. It co-ordinates construction work for general building insurance claims and catastrophic events throughout Australia, the US, and New Zealand. Its subsidiary companies support its main operations. These include residential and commercial facility managers, heating, ventilation, and cooling, carpet drying, and shopfitting, among others.
13GF Score
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Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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