RPM Automotive Group (ASX:RPM) Interest Coverage: 0 (At Loss) (As of Dec. 2025)


What is RPM Automotive Group Interest Coverage?

RPM Automotive Group ASX:RPM +7.14% Interest Coverage is 0 (At Loss) as of Dec. 2025. The stock has 7 warning signs investors should review. Among 1,066 Vehicles & Parts companies, RPM Automotive Group ranks worse than 94.65% 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. RPM Automotive Group's Operating Income for the six months ended in Dec. 2025 was A$-1.2 Mil. RPM Automotive Group's Interest Expense for the six months ended in Dec. 2025 was A$-1.1 Mil. did not have earnings to cover the interest expense. The higher the ratio, the stronger the company's financial strength is.

Warning Sign:

Ben Graham prefers companies' interest coverage to be at least 5. RPM Automotive Group Ltds earnings cannot cover its interest expense. If the situation continues, the company may have to issue more debt.

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

ASX:RPM' s Interest Coverage Range Over the Past 10 Years
Min: 0.86   Med: 3.56   Max: No Debt
Current: 0.86

ASX:RPM's Interest Coverage is ranked worse than
94.65% of 1066 companies
in the Vehicles & Parts industry
Industry Median: 8.295 vs ASX:RPM: 0.86

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

RPM Automotive Group  (ASX:RPM) 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 .

RPM Automotive Group Interest Coverage Related Terms

RPM Automotive Group Interest Coverage Historical Data

* Premium members only.

The historical data trend for RPM Automotive 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.

RPM Automotive Group Interest Coverage Chart

RPM Automotive 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 1.14 3.70 1.79 3.41 2.27

RPM Automotive 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 3.98 2.96 2.48 2.13 0.00

ASX:RPM vs ORLY, AZO, BWA: Interest Coverage Comparison

For the Auto Parts subindustry, RPM Automotive 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.

RPM Automotive Group Interest Coverage vs Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, RPM Automotive Group's Interest Coverage distribution charts can be found below:

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


RPM Automotive 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.

RPM Automotive 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, RPM Automotive Group's Interest Expense was A$-2.9 Mil. Its Operating Income was A$6.5 Mil. And its Long-Term Debt & Capital Lease Obligation was A$26.6 Mil.

Interest Coverage=-1* Operating Income (A: Jun. 2025 )/Interest Expense (A: Jun. 2025 )
=-1*6.523/-2.876
=2.27

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

Here, for the six months ended in Dec. 2025, RPM Automotive Group's Interest Expense was A$-1.1 Mil. Its Operating Income was A$-1.2 Mil. And its Long-Term Debt & Capital Lease Obligation was A$24.4 Mil.

RPM Automotive Group did not have earnings to cover the 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.

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 0 (At Loss) mean?
RPM Automotive Group (ASX:RPM) has a Interest Coverage of 0 (At Loss) as of Dec. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on RPM Automotive Group and its competitors. Over the past decade, RPM Automotive Group's Interest Coverage has ranged from 0.86 to 10,000.00. According to the industry distribution chart, RPM Automotive Group ranks #1009 out of 1066 companies in the Vehicles & Parts industry, placing it in the top 94.7%.
Is RPM Automotive Group's Interest Coverage too high?
RPM Automotive Group's current Interest Coverage is 0 (At Loss). Over the past 10 years, this metric has ranged from a low of 0.86 to a high of 10,000.00. Based on the distribution chart, RPM Automotive Group ranks #1009 out of 1066 companies in the Vehicles & Parts industry, which is in the bottom quartile relative to peers.
How does RPM Automotive Group's Interest Coverage compare to ORLY and AZO?
According to the Vehicles & Parts industry distribution chart, RPM Automotive Group ranks #1009 out of 1066 companies for Interest Coverage. This places RPM Automotive Group in the lower half of its industry. The industry median Interest Coverage is 8.30. Historically, RPM Automotive Group's own Interest Coverage has ranged from 0.86 to 10,000.00 over the past decade. 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 Vehicles & Parts company?
The median Interest Coverage among Vehicles & Parts companies is 8.30, based on 1,066 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. 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 RPM Automotive Group and its competitors. For the Vehicles & Parts industry, the median Interest Coverage is 8.30 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. RPM Automotive Group's current Interest Coverage is 0 (At Loss). However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is RPM Automotive Group stock overvalued right now?
Based on GuruFocus' analysis, RPM Automotive Group (ASX:RPM) is currently considered Possible Value Trap. The stock's GF Value™ is A$0.05, compared to a current price of A$0.02 — trading 70% below its estimated fair value. The current Interest Coverage is 0 (At Loss). 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 RPM Automotive Group (ASX:RPM), the current Interest Coverage is 0 (At Loss) 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.

RPM Automotive Group Business Description

Address 1-7 Ausco Place, Dandenong South, Melbourne, VIC, AUS, 3175
RPM Automotive Group Ltd is an Australian-based automotive group. The company's segment includes Motorsport, Repairs and Roadside, Wheels and Tyres, and Accessories. It generates maximum revenue from the Wheels and Tyres segment. The group businesses are involved in importing, wholesaling, and retailing tyres, mechanical repairs, motorsport apparel and safety equipment, niche manufacturing, and roadside assistance service for the transport industry. It owns brands, such as RPM Racewear, Carline, Genie, Air Anywhere, Formula Off-Road, and RPM Autoparts.