Mehul Colours (BOM:544472) Interest Coverage: 191.04 (As of Mar. 2026) — 115% Above Median

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BOM:544472 Mehul Colours Ltd BOM:544472
21 GF Score
Price ₹50.75
! 4 Warning Signs
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What is Mehul Colours Interest Coverage?

Mehul Colours BOM:544472 -4.25% 21 Interest Coverage is 191.04 as of Mar. 2026, which is 115% above its 10-year median of 89.01. GuruFocus rates BOM:544472 with a GF Score™ of 21/100. The stock has 4 warning signs investors should review. Among 1,244 Chemicals companies, Mehul Colours ranks better than 91.24% 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. Mehul Colours's Operating Income for the six months ended in Mar. 2026 was ₹15.7 Mil. Mehul Colours's Interest Expense for the six months ended in Mar. 2026 was ₹-0.1 Mil. Mehul Colours's interest coverage for the quarter that ended in Mar. 2026 was 191.04. 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. Mehul Colours Ltd has enough cash to cover all of its debt. Its financial situation is stable.

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

BOM:544472' s Interest Coverage Range Over the Past 10 Years
Min: 45.58   Med: 89.01   Max: 292.53
Current: 292.53


BOM:544472's Interest Coverage is ranked better than
91.24% of 1244 companies
in the Chemicals industry
Industry Median: 10.355 vs BOM:544472: 292.53

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


Mehul Colours  (BOM:544472) 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 .


Mehul Colours Interest Coverage Related Terms


Mehul Colours Interest Coverage Historical Data

* Premium members only.

The historical data trend for Mehul Colours'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.

Mehul Colours Interest Coverage Chart

Mehul Colours Annual Data
Trend Mar22 Mar23 Mar24 Mar25 Mar26
Interest Coverage
45.58 89.01 80.80 226.36 292.52

Mehul Colours Semi-Annual Data
Mar22 Mar23 Mar24 Sep24 Mar25 Sep25 Mar26
Interest Coverage Get a 7-Day Free Trial No Debt 184.14 278.02 367.51 191.04

BOM:544472 vs LIN, SHW, ECL: Interest Coverage Comparison

For the Specialty Chemicals subindustry, Mehul Colours'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.


Mehul Colours Interest Coverage vs Chemicals Industry

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

* The bar in red indicates where Mehul Colours's Interest Coverage falls into.


BOM:544472
21GF Score
Mehul Colours Ltd BOM:544472
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
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Mehul Colours 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.

Mehul Colours'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, Mehul Colours's Interest Expense was ₹-0.2 Mil. Its Operating Income was ₹56.5 Mil. And its Long-Term Debt & Capital Lease Obligation was ₹6.6 Mil.

Interest Coverage=-1* Operating Income (A: Mar. 2026 )/Interest Expense (A: Mar. 2026 )
=-1*56.457/-0.193
=292.52

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

Here, for the six months ended in Mar. 2026, Mehul Colours's Interest Expense was ₹-0.1 Mil. Its Operating Income was ₹15.7 Mil. And its Long-Term Debt & Capital Lease Obligation was ₹6.6 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*15.665/-0.082
=191.04

* 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 191.04 mean?
Mehul Colours (BOM:544472) has a Interest Coverage of 191.04 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Mehul Colours and its competitors. This is 115% above median its historical median of 89.01. Over the past decade, Mehul Colours' Interest Coverage has ranged from 45.58 to 292.53. According to the industry distribution chart, Mehul Colours ranks #109 out of 1244 companies in the Chemicals industry, placing it in the top 8.8%.
Is Mehul Colours' Interest Coverage too high?
Mehul Colours' current Interest Coverage of 191.04 is 115% above median its 10-year median of 89.01. Over the past 10 years, this metric has ranged from a low of 45.58 to a high of 292.53. The Chemicals industry median Interest Coverage is 10.36. Mehul Colours' value of 191.04 is 1744.9% above this industry median. Based on the distribution chart, Mehul Colours ranks #109 out of 1244 companies in the Chemicals industry, which is in the top quartile — a strong position relative to peers. Overall, Mehul Colours has a GF Score™ of 21/100, reflecting its overall financial health beyond just this single metric.
How does Mehul Colours' Interest Coverage compare to LIN and SHW?
According to the Chemicals industry distribution chart, Mehul Colours ranks #109 out of 1244 companies for Interest Coverage. This places Mehul Colours in the top 9% of its industry — outperforming the majority of peers. The industry median Interest Coverage is 10.36. Mehul Colours' value of 191.04 is 1744.9% above this benchmark. Historically, Mehul Colours' own Interest Coverage has ranged from 45.58 to 292.53 over the past decade. While the company's 10-year median is 89.01 vs. the industry median of 10.36, Mehul Colours 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 10.36, based on 1,244 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. Mehul Colours's current Interest Coverage of 191.04 is 1744.9% 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 Mehul Colours and its competitors. For the Chemicals industry, the median Interest Coverage is 10.36 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Mehul Colours's current Interest Coverage is 191.04, which is 115% above median its own 10-year median of 89.01. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Mehul Colours stock overvalued right now?
Mehul Colours (BOM:544472) has a current Interest Coverage of 191.04. The current Interest Coverage is 191.04, which is 115% above median its 10-year median of 89.01 and 1744.9% above the Chemicals industry median of 10.36. Mehul Colours' overall GF Score™ is 21/100 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 Mehul Colours (BOM:544472), the current Interest Coverage is 191.04 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.

Mehul Colours Business Description

Address Link Road, Chincholi Bunder Road, Unit No - A 305,306, Kemp Plaza, Mind Space, Near Evershine Mall, Malad West, Mumbai, MH, IND, 400064
Mehul Colours Ltd is engaged in the manufacturing of masterbatches, which are used in the plastics industry to impart colour and enhance the functional properties of plastic products. Masterbatches are concentrated mixtures of pigments and additives that are uniformly dispersed in polymer carriers, facilitating the effective integration of colour and performance-enhancing properties into plastic products. In addition to manufacturing masterbatches, it is also engaged in the sale of pigments, which are blended by the company to create customized pigment solutions tailored to specific industry and customer requirements.
21GF Score

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