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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. Recon Technology's
Operating Income
for the
six
months ended in Dec. 2025 was €-1.51 Mil. Recon Technology's Interest Expense for the
six
months ended in Dec. 2025 was €-0.06 Mil.
did not have earnings to cover the interest expense.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Recon Technology's Interest Coverage or its related term are showing as below:
FRA:HRC's Interest Coverage is not ranked *
in the Oil & Gas industry.
Industry Median: 6.07 * Ranked among companies with meaningful Interest Coverage only.
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 .
Recon Technology Interest Coverage Related Terms
Recon Technology Interest Coverage Historical Data
* Premium members only.
The historical data trend for Recon Technology'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.
FRA:HRC vs KLNG, KLXE, GWTI: Interest Coverage Comparison
For the Oil & Gas Equipment & Services subindustry, Recon Technology'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.
Recon Technology Interest Coverage vs Oil & Gas Industry
For the Oil & Gas industry and Energy sector, Recon Technology's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Recon Technology's Interest Coverage falls into.
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:
Recon Technology did not have earnings to cover the interest expense.
* 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.
What does a Interest Coverage of 0 (At Loss) mean?
Recon Technology (FRA:HRC) has a Interest Coverage of 0 (At Loss) as of Dec. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Recon Technology and its competitors. According to the industry distribution chart, Recon Technology ranks #999999 out of 731 companies in the Oil & Gas industry.
Is Recon Technology's Interest Coverage too high?
Recon Technology's current Interest Coverage is 0 (At Loss). Based on the distribution chart, Recon Technology ranks #999999 out of 731 companies in the Oil & Gas industry, which is in the bottom quartile relative to peers. Overall, Recon Technology has a GF Score™ of 47/100, reflecting its overall financial health beyond just this single metric.
How does Recon Technology's Interest Coverage compare to KLNG and KLXE?
According to the Oil & Gas industry distribution chart, Recon Technology ranks #999999 out of 731 companies for Interest Coverage. This places Recon Technology in the lower half of its industry. The industry median Interest Coverage is 6.07. 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 an Oil & Gas company?
The median Interest Coverage among Oil & Gas companies is 6.07, based on 731 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. 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 Recon Technology and its competitors. For the Oil & Gas industry, the median Interest Coverage is 6.07 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Recon Technology's current Interest Coverage is 0 (At Loss). However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Recon Technology stock overvalued right now?
Recon Technology (FRA:HRC) has a current Interest Coverage of 0 (At Loss). The stock's GF Value™ is €8.42, compared to a current price of €1.59 — trading 81.1% below its estimated fair value. The current Interest Coverage is 0 (At Loss). Recon Technology's overall GF Score™ is 47/100 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 Recon Technology (FRA:HRC), the current Interest Coverage is 0 (At Loss) as of Dec. 2025. 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 Recon Technology (FRA:HRC) Overvalued in 2026?
Based on GuruFocus' analysis, Recon Technology stock appears to be undervalued.
The current stock price of €1.59 is trading 81.1% below its estimated GF Value™ of €8.42.
Key valuation signals for FRA:HRC:
Interest Coverage: 0 (At Loss)
GF Value™: €8.42 vs. price of €1.59 (81.1% below fair value)
No single metric tells the full story. See the FRA:HRC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Recon Technology Ltd provides automation systems, industrial equipment, and support services tailored for the oil and gas industry in China. The company's business spans key segments such as automation products and software, equipment and accessories, oilfield environmental protection, and platform outsourcing services. It generates the majority of its revenue by providing integrated automation services to Chinese petroleum companies at oilfields. Its key products and services include pumping unit controllers, natural gas flow computer systems, wireless dynamometers and wireless pressure gauges, and an oilfield monitor and data acquisition system. The company's operations are centered on servicing upstream clients throughout China, with some broader industrial automation solutions.
47GF Score
Get the complete analysis for FRA:HRC
Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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