NTC Industries (BOM:526723) Interest Coverage: 4.37 (As of Mar. 2026) — 43% Above Median

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BOM:526723 NTC Industries Ltd BOM:526723
70 GF Score
Price ₹147.15
GF Value ₹256.97
Valuation Possible Value Trap
! 7 Warning Signs
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What is NTC Industries Interest Coverage?

NTC Industries BOM:526723 -0.61% 70 Interest Coverage is 4.37 as of Mar. 2026, which is 43% above its 10-year median of 3.06. GuruFocus rates BOM:526723 with a GF Score™ of 70/100 and a GF Value™ of ₹256.97 (Possible Value Trap). The stock has 7 warning signs investors should review. Among 35 Tobacco Products companies, NTC Industries ranks worse than 85.71% 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. NTC Industries's Operating Income for the three months ended in Mar. 2026 was ₹65.5 Mil. NTC Industries's Interest Expense for the three months ended in Mar. 2026 was ₹-15.0 Mil. NTC Industries's interest coverage for the quarter that ended in Mar. 2026 was 4.37. The higher the ratio, the stronger the company's financial strength is.

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

BOM:526723' s Interest Coverage Range Over the Past 10 Years
Min: 1.46   Med: 3.06   Max: 29.1
Current: 3.06


BOM:526723's Interest Coverage is ranked worse than
85.71% of 35 companies
in the Tobacco Products industry
Industry Median: 10.9 vs BOM:526723: 3.06

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


NTC Industries  (BOM:526723) 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 .


NTC Industries Interest Coverage Related Terms


NTC Industries Interest Coverage Historical Data

* Premium members only.

The historical data trend for NTC Industries'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.

NTC Industries Interest Coverage Chart

NTC Industries Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 29.10 14.64 13.76 2.12 3.06

NTC Industries Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
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 3.03 3.04 2.50 2.43 4.37

BOM:526723 vs PM, MO, TPB: Interest Coverage Comparison

For the Tobacco subindustry, NTC Industries'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.


NTC Industries Interest Coverage vs Tobacco Products Industry

For the Tobacco Products industry and Consumer Defensive sector, NTC Industries's Interest Coverage distribution charts can be found below:

* The bar in red indicates where NTC Industries's Interest Coverage falls into.


BOM:526723
70GF Score
NTC Industries Ltd BOM:526723
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

NTC Industries 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.

NTC Industries'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, NTC Industries's Interest Expense was ₹-65.0 Mil. Its Operating Income was ₹198.7 Mil. And its Long-Term Debt & Capital Lease Obligation was ₹697.3 Mil.

Interest Coverage=-1* Operating Income (A: Mar. 2026 )/Interest Expense (A: Mar. 2026 )
=-1*198.711/-64.956
=3.06

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

Here, for the three months ended in Mar. 2026, NTC Industries's Interest Expense was ₹-15.0 Mil. Its Operating Income was ₹65.5 Mil. And its Long-Term Debt & Capital Lease Obligation was ₹697.3 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*65.461/-14.996
=4.37

* 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 4.37 mean?
NTC Industries (BOM:526723) has a Interest Coverage of 4.37 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on NTC Industries and its competitors. This is 43% above median its historical median of 3.06. Over the past decade, NTC Industries' Interest Coverage has ranged from 1.46 to 29.10. According to the industry distribution chart, NTC Industries ranks #30 out of 35 companies in the Tobacco Products industry, placing it in the top 85.7%.
Is NTC Industries' Interest Coverage too high?
NTC Industries' current Interest Coverage of 4.37 is 43% above median its 10-year median of 3.06. Over the past 10 years, this metric has ranged from a low of 1.46 to a high of 29.10. The Tobacco Products industry median Interest Coverage is 10.90. NTC Industries' value of 4.37 is 59.9% below this industry median. Based on the distribution chart, NTC Industries ranks #30 out of 35 companies in the Tobacco Products industry, which is in the bottom quartile relative to peers. Overall, NTC Industries has a GF Score™ of 70/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does NTC Industries' Interest Coverage compare to PM and MO?
According to the Tobacco Products industry distribution chart, NTC Industries ranks #30 out of 35 companies for Interest Coverage. This places NTC Industries in the lower half of its industry. The industry median Interest Coverage is 10.90. NTC Industries' value of 4.37 is 59.9% below this benchmark. Historically, NTC Industries' own Interest Coverage has ranged from 1.46 to 29.10 over the past decade. While the company's 10-year median is 3.06 vs. the industry median of 10.90, NTC Industries 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 Tobacco Products company?
The median Interest Coverage among Tobacco Products companies is 10.90, based on 35 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. NTC Industries's current Interest Coverage of 4.37 is 59.9% 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 NTC Industries and its competitors. For the Tobacco Products industry, the median Interest Coverage is 10.90 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. NTC Industries's current Interest Coverage is 4.37, which is 43% above median its own 10-year median of 3.06. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is NTC Industries stock overvalued right now?
Based on GuruFocus' analysis, NTC Industries (BOM:526723) is currently considered Possible Value Trap. The stock's GF Value™ is ₹256.97, compared to a current price of ₹147.15 — trading 42.7% below its estimated fair value. The current Interest Coverage is 4.37, which is 43% above median its 10-year median of 3.06 and 59.9% below the Tobacco Products industry median of 10.90. NTC Industries' overall GF Score™ is 70/100 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 NTC Industries (BOM:526723), the current Interest Coverage is 4.37 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 NTC Industries (BOM:526723) Overvalued in 2026?

Based on GuruFocus' analysis, NTC Industries stock appears to be undervalued. The current stock price of ₹147.15 is trading 42.7% below its estimated GF Value™ of ₹256.97. GuruFocus considers NTC Industries to be Possible Value Trap.

Key valuation signals for BOM:526723:

  • Interest Coverage: 4.37 (43% above median its 10-year median of 3.06)
  • GF Value™: ₹256.97 vs. price of ₹147.15 (42.7% below fair value)
  • GF Score™: 70/100 with 7 warning signs
  • Industry Position: 59.9% below the Tobacco Products median (#30 of 35)

No single metric tells the full story. See the BOM:526723 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


NTC Industries Business Description

Address 149, B.T. Road, P.O. Kamarhati, Kolkata, WB, IND, 700058
NTC Industries Ltd engages in the manufacture of cigarettes and tobacco products. It offers filters, mentholated cigarettes, smoking mixtures, and pipe tobacco. Its products are marketed under the following brands: Royal king Golden king-size, DOS NTC, Elpatron, MayPole, and Jaipur. The company has a presence in southern America, African, and Middle Eastern countries. The company generates revenue from rental income, the sale of cylinder, and FMCG - Cigarettes, where the majority is being generated from the sale of Cigarettes. Geographically the company generates the majority of its revenue from India.
70GF Score

Get the complete analysis for BOM:526723

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

₹147.15
Price
₹256.97
GF Value