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Universal Autofoundry (BOM:539314) Interest Coverage : 4.73 (As of Mar. 2025)


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What is Universal Autofoundry 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. Universal Autofoundry's Operating Income for the three months ended in Mar. 2025 was ₹39 Mil. Universal Autofoundry's Interest Expense for the three months ended in Mar. 2025 was ₹-8 Mil. Universal Autofoundry's interest coverage for the quarter that ended in Mar. 2025 was 4.73. The higher the ratio, the stronger the company's financial strength is.

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

BOM:539314' s Interest Coverage Range Over the Past 10 Years
Min: 1.52   Med: 3.87   Max: 10.53
Current: 1.83


BOM:539314's Interest Coverage is ranked worse than
82.73% of 1042 companies
in the Vehicles & Parts industry
Industry Median: 8.055 vs BOM:539314: 1.83

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


Universal Autofoundry Interest Coverage Historical Data

The historical data trend for Universal Autofoundry'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.

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Universal Autofoundry Interest Coverage Chart

Universal Autofoundry Annual Data
Trend Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.52 - 4.66 3.37 1.83

Universal Autofoundry Quarterly Data
Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
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 4.55 3.03 2.15 - 4.73

Competitive Comparison of Universal Autofoundry's Interest Coverage

For the Auto Parts subindustry, Universal Autofoundry'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.


Universal Autofoundry's Interest Coverage Distribution in the Vehicles & Parts Industry

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

* The bar in red indicates where Universal Autofoundry's Interest Coverage falls into.


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Universal Autofoundry 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.

Universal Autofoundry's Interest Coverage for the fiscal year that ended in Mar. 2025 is calculated as

Here, for the fiscal year that ended in Mar. 2025, Universal Autofoundry's Interest Expense was ₹-33 Mil. Its Operating Income was ₹60 Mil. And its Long-Term Debt & Capital Lease Obligation was ₹155 Mil.

Interest Coverage=-1* Operating Income (A: Mar. 2025 )/Interest Expense (A: Mar. 2025 )
=-1*60.47/-33.069
=1.83

Universal Autofoundry's Interest Coverage for the quarter that ended in Mar. 2025 is calculated as

Here, for the three months ended in Mar. 2025, Universal Autofoundry's Interest Expense was ₹-8 Mil. Its Operating Income was ₹39 Mil. And its Long-Term Debt & Capital Lease Obligation was ₹155 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2025 )/Interest Expense (Q: Mar. 2025 )
=-1*39.042/-8.259
=4.73

* 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.


Universal Autofoundry  (BOM:539314) 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 .


Universal Autofoundry Interest Coverage Related Terms

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


Universal Autofoundry Business Description

Traded in Other Exchanges
N/A
Address
B-307, Road Number 16, V.K.I. Area, Jaipur, RJ, IND, 302013
Universal Autofoundry Ltd is engaged in the manufacturing of iron castings. The company manufactures castings components in grey iron and ductile iron, for the automotive sector. It supplies castings in machined, and as cast condition with surface treatment as per requirements. In addition, it also offers products to various industries such as commercial vehicles, tractors, passenger cars, earthmovers, and construction. Its other products comprise suspension brackets, differential housing, hubs, brake drum, flywheels, adjuster nuts, pulleys, and dampers which has application in the commercial vehicle and engineering industry.

Universal Autofoundry Headlines

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