Kanpur Plastipacks (BOM:507779) Interest Coverage : 0.73 (As of Mar. 2024)

View and export this data going back to 1991. Start your Free Trial

What is Kanpur Plastipacks Interest Coverage?

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. Kanpur Plastipacks's Operating Income for the three months ended in Mar. 2024 was ₹46 Mil. Kanpur Plastipacks's Interest Expense for the three months ended in Mar. 2024 was ₹-63 Mil. Kanpur Plastipacks's interest coverage for the quarter that ended in Mar. 2024 was 0.73. 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. Kanpur Plastipacks 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 Kanpur Plastipacks's Interest Coverage or its related term are showing as below:

BOM:507779' s Interest Coverage Range Over the Past 10 Years
Min: 0.41 Med: 3.49 Max: 6.51
Current: 0.41

BOM:507779's Interest Coverage is ranked worse than
96.75% of 308 companies
in the Packaging & Containers industry
Industry Median: 6.925 vs BOM:507779: 0.41

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

Kanpur Plastipacks Interest Coverage Historical Data

The historical data trend for Kanpur Plastipacks'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.

* Premium members only.

Kanpur Plastipacks Interest Coverage Chart

Kanpur Plastipacks Annual Data

Trend

Mar15

Mar16

Mar17

Mar18

Mar19

Mar20

Mar21

Mar22

Mar23

Mar24

Interest Coverage

Get a 7-Day Free Trial

1.48

6.51

3.22

0.81

0.41

Kanpur Plastipacks Quarterly Data
	Jun19	Sep19	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23	Mar24
Interest Coverage	Get a 7-Day Free Trial															2.70	1.32	1.28	-	0.73

Competitive Comparison of Kanpur Plastipacks's Interest Coverage

For the Packaging & Containers subindustry, Kanpur Plastipacks'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.

Kanpur Plastipacks's Interest Coverage Distribution in the Packaging & Containers Industry

For the Packaging & Containers industry and Consumer Cyclical sector, Kanpur Plastipacks's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Kanpur Plastipacks's Interest Coverage falls into.

Kanpur Plastipacks 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.

Kanpur Plastipacks's Interest Coverage for the fiscal year that ended in Mar. 2024 is calculated as

Here, for the fiscal year that ended in Mar. 2024, Kanpur Plastipacks's Interest Expense was ₹-168 Mil. Its Operating Income was ₹69 Mil. And its Long-Term Debt & Capital Lease Obligation was ₹845 Mil.

Interest Coverage	=	-1	*	Operating Income (A: Mar. 2024 )	/	Interest Expense (A: Mar. 2024 )
	=	-1	*	68.844	/	-168.148
	=	0.41

Kanpur Plastipacks's Interest Coverage for the quarter that ended in Mar. 2024 is calculated as

Here, for the three months ended in Mar. 2024, Kanpur Plastipacks's Interest Expense was ₹-63 Mil. Its Operating Income was ₹46 Mil. And its Long-Term Debt & Capital Lease Obligation was ₹845 Mil.

Interest Coverage	=	-1	*	Operating Income (Q: Mar. 2024 )	/	Interest Expense (Q: Mar. 2024 )
	=	-1	*	45.985	/	-63.087
	=	0.73

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

Kanpur Plastipacks (BOM:507779) 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 .

Kanpur Plastipacks Interest Coverage Related Terms

Thank you for viewing the detailed overview of Kanpur Plastipacks's Interest Coverage provided by GuruFocus.com. Please click on the following links to see related term pages.

Kanpur Plastipacks (BOM:507779) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Packaging & Containers » Kanpur Plastipacks Ltd (BOM:507779) » Definitions » Interest Coverage

Comparable Companies

Traded in Other Exchanges

KANPRPLA:India

Address

D-19-20, Panki Industrial Area, P.O. Udyog Nagar, Kanpur, UP, IND, 208 022

Website

https://www.kanplas.com

Kanpur Plastipacks Ltd is engaged in the business of manufacturing HDPE/PP Woven Sacks, PP Box Bags, Flexible Intermediate Bulk Containers (FIBC's), Fabrics and High Tenacity PP Multi Filament Yam (MFY). Its primary segments include Plastic Division, Consignment Stockiest, and Solar Power Division. The company generates the majority of its revenue from the Plastic Division segment. The Plastic Division segment is engaged in the domestic and export sale of manufactured and traded plastic products. The Solar power division is engaged in the generation and supply of power. The same is consumed by the company in its manufacturing operations.

Kanpur Plastipacks (BOM:507779) Headlines

No Headlines