Chothani Foods (BOM:540681) Interest Coverage: 0.72 (As of Mar. 2026) — 72% Below Median

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BOM:540681 Chothani Foods Ltd BOM:540681
55 GF Score
Price ₹8.30
GF Value ₹16.43
Valuation Possible Value Trap
! 6 Warning Signs
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What is Chothani Foods Interest Coverage?

Chothani Foods BOM:540681 55 Interest Coverage is 0.72 as of Mar. 2026, which is 72% below its 10-year median of 2.59. GuruFocus rates BOM:540681 with a GF Score™ of 55/100 and a GF Value™ of ₹16.43 (Possible Value Trap). The stock has 6 warning signs investors should review. Among 1,512 Consumer Packaged Goods companies, Chothani Foods ranks worse than 86.77% 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. Chothani Foods's Operating Income for the six months ended in Mar. 2026 was ₹0.78 Mil. Chothani Foods's Interest Expense for the six months ended in Mar. 2026 was ₹-1.07 Mil. Chothani Foods's interest coverage for the quarter that ended in Mar. 2026 was 0.72. The higher the ratio, the stronger the company's financial strength is.

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

BOM:540681' s Interest Coverage Range Over the Past 10 Years
Min: 1.58   Med: 2.59   Max: 4.83
Current: 1.58


BOM:540681's Interest Coverage is ranked worse than
86.77% of 1512 companies
in the Consumer Packaged Goods industry
Industry Median: 8.6 vs BOM:540681: 1.58

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


Chothani Foods  (BOM:540681) 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 .


Chothani Foods Interest Coverage Related Terms


Chothani Foods Interest Coverage Historical Data

* Premium members only.

The historical data trend for Chothani Foods'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.

Chothani Foods Interest Coverage Chart

Chothani Foods 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 2.40 2.22 2.55 1.88 1.58

Chothani Foods Semi-Annual Data
Mar16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25 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 2.82 2.05 1.72 2.33 0.72

BOM:540681 vs KHC, GIS: Interest Coverage Comparison

For the Packaged Foods subindustry, Chothani Foods'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.


Chothani Foods Interest Coverage vs Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Chothani Foods's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Chothani Foods's Interest Coverage falls into.


BOM:540681
55GF Score
Chothani Foods Ltd BOM:540681
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Chothani Foods 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.

Chothani Foods'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, Chothani Foods's Interest Expense was ₹-2.28 Mil. Its Operating Income was ₹3.60 Mil. And its Long-Term Debt & Capital Lease Obligation was ₹4.54 Mil.

Interest Coverage=-1* Operating Income (A: Mar. 2026 )/Interest Expense (A: Mar. 2026 )
=-1*3.597/-2.282
=1.58

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

Here, for the six months ended in Mar. 2026, Chothani Foods's Interest Expense was ₹-1.07 Mil. Its Operating Income was ₹0.78 Mil. And its Long-Term Debt & Capital Lease Obligation was ₹4.54 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*0.775/-1.071
=0.72

* 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 0.72 mean?
Chothani Foods (BOM:540681) has a Interest Coverage of 0.72 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Chothani Foods and its competitors. This is 72% below median its historical median of 2.59. Over the past decade, Chothani Foods' Interest Coverage has ranged from 1.58 to 4.83. According to the industry distribution chart, Chothani Foods ranks #1312 out of 1512 companies in the Consumer Packaged Goods industry, placing it in the top 86.8%.
Is Chothani Foods' Interest Coverage too high?
Chothani Foods' current Interest Coverage of 0.72 is 72% below median its 10-year median of 2.59. Over the past 10 years, this metric has ranged from a low of 1.58 to a high of 4.83. The Consumer Packaged Goods industry median Interest Coverage is 8.60. Chothani Foods' value of 0.72 is 91.6% below this industry median. Based on the distribution chart, Chothani Foods ranks #1312 out of 1512 companies in the Consumer Packaged Goods industry, which is in the bottom quartile relative to peers. Overall, Chothani Foods has a GF Score™ of 55/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Chothani Foods' Interest Coverage compare to KHC and GIS?
According to the Consumer Packaged Goods industry distribution chart, Chothani Foods ranks #1312 out of 1512 companies for Interest Coverage. This places Chothani Foods in the lower half of its industry. The industry median Interest Coverage is 8.60. Chothani Foods' value of 0.72 is 91.6% below this benchmark. Historically, Chothani Foods' own Interest Coverage has ranged from 1.58 to 4.83 over the past decade. While the company's 10-year median is 2.59 vs. the industry median of 8.60, Chothani Foods 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 Consumer Packaged Goods company?
The median Interest Coverage among Consumer Packaged Goods companies is 8.60, based on 1,512 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. Chothani Foods's current Interest Coverage of 0.72 is 91.6% 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 Chothani Foods and its competitors. For the Consumer Packaged Goods industry, the median Interest Coverage is 8.60 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Chothani Foods's current Interest Coverage is 0.72, which is 72% below median its own 10-year median of 2.59. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Chothani Foods stock overvalued right now?
Based on GuruFocus' analysis, Chothani Foods (BOM:540681) is currently considered Possible Value Trap. The stock's GF Value™ is ₹16.43, compared to a current price of ₹8.30 — trading 49.5% below its estimated fair value. The current Interest Coverage is 0.72, which is 72% below median its 10-year median of 2.59 and 91.6% below the Consumer Packaged Goods industry median of 8.60. Chothani Foods' overall GF Score™ is 55/100 with 6 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 Chothani Foods (BOM:540681), the current Interest Coverage is 0.72 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 Chothani Foods (BOM:540681) Overvalued in 2026?

Based on GuruFocus' analysis, Chothani Foods stock appears to be undervalued. The current stock price of ₹8.30 is trading 49.5% below its estimated GF Value™ of ₹16.43. GuruFocus considers Chothani Foods to be Possible Value Trap.

Key valuation signals for BOM:540681:

  • Interest Coverage: 0.72 (72% below median its 10-year median of 2.59)
  • GF Value™: ₹16.43 vs. price of ₹8.30 (49.5% below fair value)
  • GF Score™: 55/100 with 6 warning signs
  • Industry Position: 91.6% below the Consumer Packaged Goods median (#1312 of 1512)

No single metric tells the full story. See the BOM:540681 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Chothani Foods Business Description

Address Office No. 408, B Wing, Dhamji Shamji Corporate Square, Laxmi Nagar, Ghatkopar East, Mumbai, MH, IND, 400075
Chothani Foods Ltd is engaged in manufacturing and supplying different types of spices. The company has two brands APPU MASALA and GAYATRI MASALA. With more than 30 types of Spices and Masalas like Pav Bhaji Masala, Chaat Masala, Tea Masala, Garam Masala, Sambhar Masala, Punjabi Chole Masala, Biryani and Pulav Masala, Kitchen King Masala and various Powders like Red Chilli Powder, Jeera Powder, White Pepper Powder, Turmeric Powder, etc.
55GF Score

Get the complete analysis for BOM:540681

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

₹8.30
Price
₹16.43
GF Value