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Marico Bangladesh (DHA:MARICO) Interest Coverage : 98.29 (As of Mar. 2025)


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What is Marico Bangladesh 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. Marico Bangladesh's Operating Income for the three months ended in Mar. 2025 was BDT1,477 Mil. Marico Bangladesh's Interest Expense for the three months ended in Mar. 2025 was BDT-15 Mil. Marico Bangladesh's interest coverage for the quarter that ended in Mar. 2025 was 98.29. 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. Marico Bangladesh Ltd has enough cash to cover all of its debt. Its financial situation is stable.

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

DHA:MARICO' s Interest Coverage Range Over the Past 10 Years
Min: 34.89   Med: 225.2   Max: 1948.5
Current: 71.48


DHA:MARICO's Interest Coverage is ranked better than
80.81% of 1475 companies
in the Consumer Packaged Goods industry
Industry Median: 8.44 vs DHA:MARICO: 71.48

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


Marico Bangladesh Interest Coverage Historical Data

The historical data trend for Marico Bangladesh'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.

* Premium members only.

Marico Bangladesh Interest Coverage Chart

Marico Bangladesh 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 272.63 257.01 190.23 34.89 70.82

Marico Bangladesh 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 34.12 30.97 N/A 102.33 98.29

Competitive Comparison of Marico Bangladesh's Interest Coverage

For the Household & Personal Products subindustry, Marico Bangladesh'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.


Marico Bangladesh's Interest Coverage Distribution in the Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Marico Bangladesh's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Marico Bangladesh's Interest Coverage falls into.


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Marico Bangladesh 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.

Marico Bangladesh'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, Marico Bangladesh's Interest Expense was BDT-94 Mil. Its Operating Income was BDT6,672 Mil. And its Long-Term Debt & Capital Lease Obligation was BDT116 Mil.

Interest Coverage=-1* Operating Income (A: Mar. 2025 )/Interest Expense (A: Mar. 2025 )
=-1*6671.824/-94.214
=70.82

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

Here, for the three months ended in Mar. 2025, Marico Bangladesh's Interest Expense was BDT-15 Mil. Its Operating Income was BDT1,477 Mil. And its Long-Term Debt & Capital Lease Obligation was BDT116 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2025 )/Interest Expense (Q: Mar. 2025 )
=-1*1476.656/-15.023
=98.29

* 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.


Marico Bangladesh  (DHA:MARICO) 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 .


Marico Bangladesh Interest Coverage Related Terms

Thank you for viewing the detailed overview of Marico Bangladesh's Interest Coverage provided by GuruFocus.com. Please click on the following links to see related term pages.


Marico Bangladesh Business Description

Traded in Other Exchanges
N/A
Address
Gulshan Avenue, The Glass House, Level-06, Plot. 02, Block. SE (B), Dhaka, BGD, 1212
Marico Bangladesh Ltd is engaged in the manufacturing and marketing of various fast-moving consumer goods in Bangladesh. The company provides products like Hair dye, Baby care, Male grooming, Skincare, and Hair serum products, among others. Its product portfolio includes well-known brands like Parachute, Parachute Advansed, Just For Baby, Nihar, Parachute SkinPure, Parachute Naturale, Saffola Active, HairCode, and Livon. The company generates its revenue from products like Parachute coconut oil, value-added hair oil, color products, and others, with the majority of revenue coming from Parachute coconut oil.

Marico Bangladesh Headlines

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