Desco Infratech (BOM:544387) Interest Coverage: 15.90 (As of Mar. 2026) — 45% Above Median

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BOM:544387 Desco Infratech Ltd BOM:544387
18 GF Score
Price ₹176.35
! 3 Warning Signs
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What is Desco Infratech Interest Coverage?

Desco Infratech BOM:544387 -0.56% 18 Interest Coverage is 15.90 as of Mar. 2026, which is 45% above its 10-year median of 10.99. GuruFocus rates BOM:544387 with a GF Score™ of 18/100. The stock has 3 warning signs investors should review. Among 1,364 Construction companies, Desco Infratech ranks better than 63.05% 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. Desco Infratech's Operating Income for the six months ended in Mar. 2026 was ₹146 Mil. Desco Infratech's Interest Expense for the six months ended in Mar. 2026 was ₹-9 Mil. Desco Infratech's interest coverage for the quarter that ended in Mar. 2026 was 15.90. The higher the ratio, the stronger the company's financial strength is.

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

BOM:544387' s Interest Coverage Range Over the Past 10 Years
Min: 5.51   Med: 10.99   Max: 15.97
Current: 15.13


BOM:544387's Interest Coverage is ranked better than
63.05% of 1364 companies
in the Construction industry
Industry Median: 7.9 vs BOM:544387: 15.13

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


Desco Infratech  (BOM:544387) 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 .


Desco Infratech Interest Coverage Related Terms


Desco Infratech Interest Coverage Historical Data

* Premium members only.

The historical data trend for Desco Infratech'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.

Desco Infratech Interest Coverage Chart

Desco Infratech Annual Data
Trend Mar22 Mar23 Mar24 Mar25 Mar26
Interest Coverage
5.51 8.15 15.97 10.99 15.13

Desco Infratech Semi-Annual Data
Mar22 Mar23 Mar24 Sep24 Mar25 Sep25 Mar26
Interest Coverage Get a 7-Day Free Trial N/A 10.49 11.30 13.97 15.90

BOM:544387 vs PWR, FIX, EME: Interest Coverage Comparison

For the Engineering & Construction subindustry, Desco Infratech'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.


Desco Infratech Interest Coverage vs Construction Industry

For the Construction industry and Industrials sector, Desco Infratech's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Desco Infratech's Interest Coverage falls into.


BOM:544387
18GF Score
Desco Infratech Ltd BOM:544387
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
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Desco Infratech 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.

Desco Infratech'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, Desco Infratech's Interest Expense was ₹-15 Mil. Its Operating Income was ₹232 Mil. And its Long-Term Debt & Capital Lease Obligation was ₹33 Mil.

Interest Coverage=-1* Operating Income (A: Mar. 2026 )/Interest Expense (A: Mar. 2026 )
=-1*232.255/-15.353
=15.13

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

Here, for the six months ended in Mar. 2026, Desco Infratech's Interest Expense was ₹-9 Mil. Its Operating Income was ₹146 Mil. And its Long-Term Debt & Capital Lease Obligation was ₹33 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*146.481/-9.213
=15.90

* 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 15.90 mean?
Desco Infratech (BOM:544387) has a Interest Coverage of 15.90 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Desco Infratech and its competitors. This is 45% above median its historical median of 10.99. Over the past decade, Desco Infratech's Interest Coverage has ranged from 5.51 to 15.97. According to the industry distribution chart, Desco Infratech ranks #504 out of 1364 companies in the Construction industry, placing it in the top 37%.
Is Desco Infratech's Interest Coverage too high?
Desco Infratech's current Interest Coverage of 15.90 is 45% above median its 10-year median of 10.99. Over the past 10 years, this metric has ranged from a low of 5.51 to a high of 15.97. The Construction industry median Interest Coverage is 7.90. Desco Infratech's value of 15.90 is 101.3% above this industry median. Based on the distribution chart, Desco Infratech ranks #504 out of 1364 companies in the Construction industry, which is above the industry midpoint. Overall, Desco Infratech has a GF Score™ of 18/100, reflecting its overall financial health beyond just this single metric.
How does Desco Infratech's Interest Coverage compare to PWR and FIX?
According to the Construction industry distribution chart, Desco Infratech ranks #504 out of 1364 companies for Interest Coverage. This puts Desco Infratech in the upper half of its industry. The industry median Interest Coverage is 7.90. Desco Infratech's value of 15.90 is 101.3% above this benchmark. Historically, Desco Infratech's own Interest Coverage has ranged from 5.51 to 15.97 over the past decade. While the company's 10-year median is 10.99 vs. the industry median of 7.90, Desco Infratech 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 Construction company?
The median Interest Coverage among Construction companies is 7.90, based on 1,364 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. Desco Infratech's current Interest Coverage of 15.90 is 101.3% 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 Desco Infratech and its competitors. For the Construction industry, the median Interest Coverage is 7.90 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Desco Infratech's current Interest Coverage is 15.90, which is 45% above median its own 10-year median of 10.99. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Desco Infratech stock overvalued right now?
Desco Infratech (BOM:544387) has a current Interest Coverage of 15.90. The current Interest Coverage is 15.90, which is 45% above median its 10-year median of 10.99 and 101.3% above the Construction industry median of 7.90. Desco Infratech's overall GF Score™ is 18/100 with 3 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 Desco Infratech (BOM:544387), the current Interest Coverage is 15.90 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.

Desco Infratech Business Description

Address Dumas Road, A-703, Swastik Universal, Next to Valentine Cinema, Umra, Surat, GJ, IND, 395007
Desco Infratech Ltd is engaged in providing infrastructure and maintenance services to city gas distribution divisions in India. The company engages in activities such as pipeline laying, installation, testing, erection and commissioning for Piped Natural Gas (PNG) utilized by both domestic and commercial users. Its Operation and Maintenance services (O&M Services) encompass both underground and above-ground gas pipeline work for carbon steel and MDPE pipelines. As part of its O&M Services, the company conducts lock pressure and leak detection tests on MDPE pipelines to identify leaks and prevent natural gas losses and potential accidents resulting from these leaks.
18GF Score

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

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