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Mahindra Logistics (BOM:540768) Interest Coverage : 0.94 (As of Mar. 2025)


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What is Mahindra Logistics 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. Mahindra Logistics's Operating Income for the three months ended in Mar. 2025 was ₹193 Mil. Mahindra Logistics's Interest Expense for the three months ended in Mar. 2025 was ₹-206 Mil. Mahindra Logistics's interest coverage for the quarter that ended in Mar. 2025 was 0.94. The higher the ratio, the stronger the company's financial strength is.

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

BOM:540768' s Interest Coverage Range Over the Past 10 Years
Min: 0.29   Med: 3.67   Max: 37.59
Current: 0.71


BOM:540768's Interest Coverage is ranked worse than
95.94% of 838 companies
in the Transportation industry
Industry Median: 6.05 vs BOM:540768: 0.71

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


Mahindra Logistics Interest Coverage Historical Data

The historical data trend for Mahindra Logistics'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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Mahindra Logistics Interest Coverage Chart

Mahindra Logistics 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 2.42 1.63 1.53 0.29 0.71

Mahindra Logistics Quarterly Data
Jun20 Sep20 Dec20 Mar21 Jun21 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 0.31 0.58 0.65 0.67 0.94

Competitive Comparison of Mahindra Logistics's Interest Coverage

For the Integrated Freight & Logistics subindustry, Mahindra Logistics'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.


Mahindra Logistics's Interest Coverage Distribution in the Transportation Industry

For the Transportation industry and Industrials sector, Mahindra Logistics's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Mahindra Logistics's Interest Coverage falls into.


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Mahindra Logistics 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.

Mahindra Logistics'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, Mahindra Logistics's Interest Expense was ₹-812 Mil. Its Operating Income was ₹577 Mil. And its Long-Term Debt & Capital Lease Obligation was ₹7,180 Mil.

Interest Coverage=-1* Operating Income (A: Mar. 2025 )/Interest Expense (A: Mar. 2025 )
=-1*577.3/-812.1
=0.71

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

Here, for the three months ended in Mar. 2025, Mahindra Logistics's Interest Expense was ₹-206 Mil. Its Operating Income was ₹193 Mil. And its Long-Term Debt & Capital Lease Obligation was ₹7,180 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2025 )/Interest Expense (Q: Mar. 2025 )
=-1*193.1/-205.5
=0.94

* 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.


Mahindra Logistics  (BOM:540768) 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 .


Mahindra Logistics Interest Coverage Related Terms

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Mahindra Logistics Business Description

Traded in Other Exchanges
Address
Jogeshwari Vikhroli Link Road, 10th & 11th Floor, Arena Space, Near Majas Bus Depot, Jogeshwari (East), Mumbai, MH, IND, 400060
Mahindra Logistics Ltd is a domestic third-party logistics service provider. It operates in two business segments including Supply Chain Management Business, and Enterprise Mobility Service. The Supply chain management offers customized and end-to-end goods logistics solutions and services including transportation and distribution, warehousing, in-factory logistics, and value-added services. Enterprise Mobility Service provides technology-enabled and customized solutions for the daily pick-up and drop requirements of enterprises. The company derives the majority of its revenue from the Supply chain management segment.

Mahindra Logistics Headlines

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