Active Clothing Co (BOM:541144) Interest Coverage: 1.94 (As of Mar. 2026) — 21% Above Median

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BOM:541144 Active Clothing Co Ltd BOM:541144
84 GF Score
Price ₹115.85
GF Value ₹146.19
Valuation Modestly Undervalued
! 6 Warning Signs
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What is Active Clothing Co Interest Coverage?

Active Clothing Co BOM:541144 +1.53% 84 Interest Coverage is 1.94 as of Mar. 2026, which is 21% above its 10-year median of 1.60. GuruFocus rates BOM:541144 with a GF Score™ of 84/100 and a GF Value™ of ₹146.19 (Modestly Undervalued). The stock has 6 warning signs investors should review. Among 742 Manufacturing - Apparel & Accessories companies, Active Clothing Co ranks worse than 73.05% 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. Active Clothing Co's Operating Income for the three months ended in Mar. 2026 was ₹36 Mil. Active Clothing Co's Interest Expense for the three months ended in Mar. 2026 was ₹-18 Mil. Active Clothing Co's interest coverage for the quarter that ended in Mar. 2026 was 1.94. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Active Clothing Co's Interest Coverage or its related term are showing as below:

BOM:541144' s Interest Coverage Range Over the Past 10 Years
Min: 0.98   Med: 1.6   Max: 1.99
Current: 1.99


BOM:541144's Interest Coverage is ranked worse than
73.05% of 742 companies
in the Manufacturing - Apparel & Accessories industry
Industry Median: 5.3 vs BOM:541144: 1.99

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


Active Clothing Co  (BOM:541144) 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 .


Active Clothing Co Interest Coverage Related Terms


Active Clothing Co Interest Coverage Historical Data

* Premium members only.

The historical data trend for Active Clothing Co'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.

Active Clothing Co Interest Coverage Chart

Active Clothing Co 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 1.12 1.57 1.75 1.80 1.99

Active Clothing Co Quarterly Data
Mar21 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 1.37 1.88 2.12 2.02 1.94

BOM:541144 vs RL, LEVI, VFC: Interest Coverage Comparison

For the Apparel Manufacturing subindustry, Active Clothing Co'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.


Active Clothing Co Interest Coverage vs Manufacturing - Apparel & Accessories Industry

For the Manufacturing - Apparel & Accessories industry and Consumer Cyclical sector, Active Clothing Co's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Active Clothing Co's Interest Coverage falls into.


BOM:541144
84GF Score
Active Clothing Co Ltd BOM:541144
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Active Clothing Co 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.

Active Clothing Co'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, Active Clothing Co's Interest Expense was ₹-103 Mil. Its Operating Income was ₹205 Mil. And its Long-Term Debt & Capital Lease Obligation was ₹332 Mil.

Interest Coverage=-1* Operating Income (A: Mar. 2026 )/Interest Expense (A: Mar. 2026 )
=-1*204.632/-102.825
=1.99

Active Clothing Co's Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Here, for the three months ended in Mar. 2026, Active Clothing Co's Interest Expense was ₹-18 Mil. Its Operating Income was ₹36 Mil. And its Long-Term Debt & Capital Lease Obligation was ₹332 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*35.504/-18.26
=1.94

* 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.

Frequently Asked Questions Learn more about Interest Coverage →
What does a Interest Coverage of 1.94 mean?
Active Clothing Co (BOM:541144) has a Interest Coverage of 1.94 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Active Clothing Co and its competitors. This is 21% above median its historical median of 1.60. Over the past decade, Active Clothing Co's Interest Coverage has ranged from 0.98 to 1.99. According to the industry distribution chart, Active Clothing Co ranks #542 out of 742 companies in the Manufacturing - Apparel & Accessories industry, placing it in the top 73%.
Is Active Clothing Co's Interest Coverage too high?
Active Clothing Co's current Interest Coverage of 1.94 is 21% above median its 10-year median of 1.60. Over the past 10 years, this metric has ranged from a low of 0.98 to a high of 1.99. The Manufacturing - Apparel & Accessories industry median Interest Coverage is 5.30. Active Clothing Co's value of 1.94 is 63.4% below this industry median. Based on the distribution chart, Active Clothing Co ranks #542 out of 742 companies in the Manufacturing - Apparel & Accessories industry, which is below the industry midpoint. Overall, Active Clothing Co has a GF Score™ of 84/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Active Clothing Co's Interest Coverage compare to RL and LEVI?
According to the Manufacturing - Apparel & Accessories industry distribution chart, Active Clothing Co ranks #542 out of 742 companies for Interest Coverage. This places Active Clothing Co in the lower half of its industry. The industry median Interest Coverage is 5.30. Active Clothing Co's value of 1.94 is 63.4% below this benchmark. Historically, Active Clothing Co's own Interest Coverage has ranged from 0.98 to 1.99 over the past decade. While the company's 10-year median is 1.60 vs. the industry median of 5.30, Active Clothing Co 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 Manufacturing - Apparel & Accessories company?
The median Interest Coverage among Manufacturing - Apparel & Accessories companies is 5.30, based on 742 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. Active Clothing Co's current Interest Coverage of 1.94 is 63.4% 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 Active Clothing Co and its competitors. For the Manufacturing - Apparel & Accessories industry, the median Interest Coverage is 5.30 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Active Clothing Co's current Interest Coverage is 1.94, which is 21% above median its own 10-year median of 1.60. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Active Clothing Co stock overvalued right now?
Based on GuruFocus' analysis, Active Clothing Co (BOM:541144) is currently considered Modestly Undervalued. The stock's GF Value™ is ₹146.19, compared to a current price of ₹115.85 — trading 20.8% below its estimated fair value. The current Interest Coverage is 1.94, which is 21% above median its 10-year median of 1.60 and 63.4% below the Manufacturing - Apparel & Accessories industry median of 5.30. Active Clothing Co's overall GF Score™ is 84/100 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 Active Clothing Co (BOM:541144), the current Interest Coverage is 1.94 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 Active Clothing Co (BOM:541144) Overvalued in 2026?

Based on GuruFocus' analysis, Active Clothing Co stock appears to be undervalued. The current stock price of ₹115.85 is trading 20.8% below its estimated GF Value™ of ₹146.19. GuruFocus considers Active Clothing Co to be Modestly Undervalued.

Key valuation signals for BOM:541144:

  • Interest Coverage: 1.94 (21% above median its 10-year median of 1.60)
  • GF Value™: ₹146.19 vs. price of ₹115.85 (20.8% below fair value)
  • GF Score™: 84/100 with 6 warning signs
  • Industry Position: 63.4% below the Manufacturing - Apparel & Accessories median (#542 of 742)

No single metric tells the full story. See the BOM:541144 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Active Clothing Co Business Description

Address Industrial Area, Phase-VIII B, Plot No. E-225, Focal Point, Mohali, PB, IND, 160055
Active Clothing Co Ltd is an integrated apparel manufacturer, designing and producing ready-made garments for markets globally. It specializes in various types of garments across various categories such as flat knit sweaters, outerwear jackets, circular knit t-shirts, sweatshirts and joggers, and shoe uppers. The company's product range includes apparel for men, women, kids, and babies. It manufactures products for various brands such as Monoprix, Pepe Jeans, Celio, Pacsun, Next, Reebok, and others.
84GF Score

Get the complete analysis for BOM:541144

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

₹115.85
Price
₹146.19
GF Value