Deepak Chemtex (BOM:544036) Interest Coverage: 45.55 (As of Mar. 2026) — 32% Below Median


BOM:544036 Deepak Chemtex Ltd BOM:544036
52 GF Score
Price ₹75.61
! 4 Warning Signs
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What is Deepak Chemtex Interest Coverage?

Deepak Chemtex BOM:544036 -0.53% 52 Interest Coverage is 45.55 as of Mar. 2026, which is 32% below its 10-year median of 66.66. GuruFocus rates BOM:544036 with a GF Score™ of 52/100. The stock has 4 warning signs investors should review. Among 1,232 Chemicals companies, Deepak Chemtex ranks better than 80.93% 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. Deepak Chemtex's Operating Income for the six months ended in Mar. 2026 was ₹39.2 Mil. Deepak Chemtex's Interest Expense for the six months ended in Mar. 2026 was ₹-0.9 Mil. Deepak Chemtex's interest coverage for the quarter that ended in Mar. 2026 was 45.55. The higher the ratio, the stronger the company's financial strength is.

Good Sign:

Ben Graham prefers companies' interest coverage to be at least 5. Deepak Chemtex Ltd has enough cash to cover all of its debt. Its financial situation is stable.

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

BOM:544036' s Interest Coverage Range Over the Past 10 Years
Min: 50.76   Med: 66.66   Max: 157.63
Current: 64.83


BOM:544036's Interest Coverage is ranked better than
80.93% of 1232 companies
in the Chemicals industry
Industry Median: 10.18 vs BOM:544036: 64.83

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


Deepak Chemtex  (BOM:544036) 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 .


Deepak Chemtex Interest Coverage Related Terms


Deepak Chemtex Interest Coverage Historical Data

* Premium members only.

The historical data trend for Deepak Chemtex'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.

Deepak Chemtex Interest Coverage Chart

Deepak Chemtex Annual Data
Trend Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Interest Coverage
Get a 7-Day Free Trial 68.49 157.63 54.30 136.12 64.83

Deepak Chemtex Semi-Annual Data
Mar21 Mar22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25 Mar26
Interest Coverage Get a 7-Day Free Trial Premium Member Only 34.18 92.60 238.89 98.84 45.55

BOM:544036 vs LIN, SHW, ECL: Interest Coverage Comparison

For the Specialty Chemicals subindustry, Deepak Chemtex'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.


Deepak Chemtex Interest Coverage vs Chemicals Industry

For the Chemicals industry and Basic Materials sector, Deepak Chemtex's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Deepak Chemtex's Interest Coverage falls into.


BOM:544036
52GF Score
Deepak Chemtex Ltd BOM:544036
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
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Deepak Chemtex 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.

Deepak Chemtex'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, Deepak Chemtex's Interest Expense was ₹-1.3 Mil. Its Operating Income was ₹87.5 Mil. And its Long-Term Debt & Capital Lease Obligation was ₹4.9 Mil.

Interest Coverage=-1* Operating Income (A: Mar. 2026 )/Interest Expense (A: Mar. 2026 )
=-1*87.457/-1.349
=64.83

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

Here, for the six months ended in Mar. 2026, Deepak Chemtex's Interest Expense was ₹-0.9 Mil. Its Operating Income was ₹39.2 Mil. And its Long-Term Debt & Capital Lease Obligation was ₹4.9 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*39.221/-0.861
=45.55

* 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 45.55 mean?
Deepak Chemtex (BOM:544036) has a Interest Coverage of 45.55 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Deepak Chemtex and its competitors. This is 32% below median its historical median of 66.66. Over the past decade, Deepak Chemtex's Interest Coverage has ranged from 50.76 to 157.63. According to the industry distribution chart, Deepak Chemtex ranks #235 out of 1232 companies in the Chemicals industry, placing it in the top 19.1%.
Is Deepak Chemtex's Interest Coverage too high?
Deepak Chemtex's current Interest Coverage of 45.55 is 32% below median its 10-year median of 66.66. Over the past 10 years, this metric has ranged from a low of 50.76 to a high of 157.63. The Chemicals industry median Interest Coverage is 10.18. Deepak Chemtex's value of 45.55 is 347.4% above this industry median. Based on the distribution chart, Deepak Chemtex ranks #235 out of 1232 companies in the Chemicals industry, which is in the top quartile — a strong position relative to peers. Overall, Deepak Chemtex has a GF Score™ of 52/100, reflecting its overall financial health beyond just this single metric.
How does Deepak Chemtex's Interest Coverage compare to LIN and SHW?
According to the Chemicals industry distribution chart, Deepak Chemtex ranks #235 out of 1232 companies for Interest Coverage. This places Deepak Chemtex in the top 19% of its industry — outperforming the majority of peers. The industry median Interest Coverage is 10.18. Deepak Chemtex's value of 45.55 is 347.4% above this benchmark. Historically, Deepak Chemtex's own Interest Coverage has ranged from 50.76 to 157.63 over the past decade. While the company's 10-year median is 66.66 vs. the industry median of 10.18, Deepak Chemtex has consistently been above 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 Chemicals company?
The median Interest Coverage among Chemicals companies is 10.18, based on 1,232 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. Deepak Chemtex's current Interest Coverage of 45.55 is 347.4% above 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 Deepak Chemtex and its competitors. For the Chemicals industry, the median Interest Coverage is 10.18 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Deepak Chemtex's current Interest Coverage is 45.55, which is 32% below median its own 10-year median of 66.66. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Deepak Chemtex stock overvalued right now?
Deepak Chemtex (BOM:544036) has a current Interest Coverage of 45.55. The current Interest Coverage is 45.55, which is 32% below median its 10-year median of 66.66 and 347.4% above the Chemicals industry median of 10.18. Deepak Chemtex's overall GF Score™ is 52/100 with 4 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 Deepak Chemtex (BOM:544036), the current Interest Coverage is 45.55 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.

Deepak Chemtex Business Description

Address No. 8/7, Avenue Road, Nungambakkam, Chennai, TN, IND, 600034
Deepak Chemtex Ltd is engaged in manufacturing colorants finding applications in Food, Drug, Cosmetics, Cleaning compounds, Agriculture, and other industries. Colorants are formulations of chemical intermediates, pigments, or dyes and additives used to add color to various consumables. It also manufactures salt-free dyes used in the inkjet industry, pond dyes used in ponds, lakes, swimming pools, etc, and other colorants used in car wash products, portable sanitation cleaners, detergent & soap, fuel, oil & lubricants, smoke, seed treatment, crop protection, fertilizer indicators, floral dyes, etc.
52GF Score

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