Gulf Resources (FRA:R29) Interest Coverage: 0 (At Loss) (As of Sep. 2025)

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

FRA:R29 Gulf Resources Inc FRA:R29
57 GF Score
Price €4.16
GF Value €7.99
! 3 Warning Signs
View Full Analysis

What is Gulf Resources Interest Coverage?

Gulf Resources FRA:R29 57 Interest Coverage is 0 (At Loss) as of Sep. 2025. GuruFocus rates FRA:R29 with a GF Score™ of 57/100 and a GF Value™ of €7.99. The stock has 3 warning signs investors should review. Among 1,233 Chemicals companies, Gulf Resources ranks worse than 81102.92% 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. Gulf Resources's Operating Income for the three months ended in Sep. 2025 was €-2.79 Mil. Gulf Resources's Interest Expense for the three months ended in Sep. 2025 was €-0.02 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 Gulf Resources's Interest Coverage or its related term are showing as below:


FRA:R29's Interest Coverage is not ranked *
in the Chemicals industry.
Industry Median: 10.21
* Ranked among companies with meaningful Interest Coverage only.

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


Gulf Resources  (FRA:R29) 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 .


Gulf Resources Interest Coverage Related Terms


Gulf Resources Interest Coverage Historical Data

* Premium members only.

The historical data trend for Gulf Resources'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.

Gulf Resources Interest Coverage Chart

Gulf Resources Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.00 38.12 136.48 0.00 0.00

Gulf Resources Quarterly Data
Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25
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 0.00 0.00 0.00 0.00 0.00

FRA:R29 vs ORGN, DOW: Interest Coverage Comparison

For the Chemicals subindustry, Gulf Resources'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.


Gulf Resources Interest Coverage vs Chemicals Industry

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

* The bar in red indicates where Gulf Resources's Interest Coverage falls into.


FRA:R29
57GF Score
Gulf Resources Inc FRA:R29
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Gulf Resources 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.

Gulf Resources's Interest Coverage for the fiscal year that ended in Dec. 2024 is calculated as

Here, for the fiscal year that ended in Dec. 2024, Gulf Resources's Interest Expense was €-0.09 Mil. Its Operating Income was €-20.33 Mil. And its Long-Term Debt & Capital Lease Obligation was €7.66 Mil.

Gulf Resources did not have earnings to cover the interest expense.

Gulf Resources's Interest Coverage for the quarter that ended in Sep. 2025 is calculated as

Here, for the three months ended in Sep. 2025, Gulf Resources's Interest Expense was €-0.02 Mil. Its Operating Income was €-2.79 Mil. And its Long-Term Debt & Capital Lease Obligation was €6.25 Mil.

Gulf Resources 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.

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 0 (At Loss) mean?
Gulf Resources (FRA:R29) has a Interest Coverage of 0 (At Loss) as of Sep. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Gulf Resources and its competitors. According to the industry distribution chart, Gulf Resources ranks #999999 out of 1233 companies in the Chemicals industry.
Is Gulf Resources' Interest Coverage too high?
Gulf Resources' current Interest Coverage is 0 (At Loss). Based on the distribution chart, Gulf Resources ranks #999999 out of 1233 companies in the Chemicals industry, which is in the bottom quartile relative to peers. Overall, Gulf Resources has a GF Score™ of 57/100, reflecting its overall financial health beyond just this single metric.
How does Gulf Resources' Interest Coverage compare to ORGN and DOW?
According to the Chemicals industry distribution chart, Gulf Resources ranks #999999 out of 1233 companies for Interest Coverage. This places Gulf Resources in the lower half of its industry. The industry median Interest Coverage is 10.21. 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 10.21, based on 1,233 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 Gulf Resources and its competitors. For the Chemicals industry, the median Interest Coverage is 10.21 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Gulf Resources'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 Gulf Resources stock overvalued right now?
Gulf Resources (FRA:R29) has a current Interest Coverage of 0 (At Loss). The stock's GF Value™ is €7.99, compared to a current price of €4.16 — trading 47.9% below its estimated fair value. The current Interest Coverage is 0 (At Loss). Gulf Resources' overall GF Score™ is 57/100 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 Gulf Resources (FRA:R29), the current Interest Coverage is 0 (At Loss) as of Sep. 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 Gulf Resources (FRA:R29) Overvalued in 2026?

Based on GuruFocus' analysis, Gulf Resources stock appears to be undervalued. The current stock price of €4.16 is trading 47.9% below its estimated GF Value™ of €7.99.

Key valuation signals for FRA:R29:

  • Interest Coverage: 0 (At Loss)
  • GF Value™: €7.99 vs. price of €4.16 (47.9% below fair value)
  • GF Score™: 57/100 with 3 warning signs

No single metric tells the full story. See the FRA:R29 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Gulf Resources Business Description

Other Exchanges GURE:USA
Address Level 11, Vegetable Building, Industrial Park of the East Shouguang City, Shandong, Shouguang, CHN, 262700
Gulf Resources Inc is a holding company engaged in the manufacture and trade of bromine and crude salt, and natural gas; manufactures and sells chemical products used in oil and gas field exploration, oil and gas distribution, oil field drilling, wastewater processing, papermaking chemical agents and inorganic chemicals, and manufactures and sells materials for human and animal antibiotics. It operates in four segments: Bromine, Crude Salt, Chemical Products and Natural Gas. It derives maximum revenue from the Bromine segment which is commonly used in brominated flame retardants, fumigants, water purification compounds, dyes, medicines and disinfectants.
57GF Score

Get the complete analysis for FRA:R29

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

€4.16
Price
€7.99
GF Value