West African Resources (FRA:W25) Interest Coverage: 20.33 (As of Dec. 2025) — 72% Below Median


FRA:W25 West African Resources Ltd FRA:W25
97 GF Score
Price €1.64
GF Value €1.95
Valuation Modestly Undervalued
! 3 Warning Signs
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What is West African Resources Interest Coverage?

West African Resources FRA:W25 -3.01% 97 Interest Coverage is 20.33 as of Dec. 2025, which is 72% below its 10-year median of 71.99. GuruFocus rates FRA:W25 with a GF Score™ of 97/100 and a GF Value™ of €1.95 (Modestly Undervalued). The stock has 3 warning signs investors should review. Among 1,318 Metals & Mining companies, West African Resources ranks worse than 71.32% 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. West African Resources's Operating Income for the six months ended in Dec. 2025 was €323.3 Mil. West African Resources's Interest Expense for the six months ended in Dec. 2025 was €-15.9 Mil. West African Resources's interest coverage for the quarter that ended in Dec. 2025 was 20.33. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for West African Resources's Interest Coverage or its related term are showing as below:

FRA:W25' s Interest Coverage Range Over the Past 10 Years
Min: 5.83   Med: 71.99   Max: 132.21
Current: 27.01


FRA:W25's Interest Coverage is ranked worse than
71.32% of 1318 companies
in the Metals & Mining industry
Industry Median: No Debt vs FRA:W25: 27.01

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


West African Resources  (FRA:W25) 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 .


West African Resources Interest Coverage Related Terms


West African Resources Interest Coverage Historical Data

* Premium members only.

The historical data trend for West African 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.

West African Resources Interest Coverage Chart

West African Resources Annual Data
Trend Jun16 Jun17 Jun18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 6.59 121.63 132.26 116.93 27.01

West African Resources Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
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 162.03 20.98 0.00 121.68 20.33

FRA:W25 vs NEM, AU: Interest Coverage Comparison

For the Gold subindustry, West African 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.


West African Resources Interest Coverage vs Metals & Mining Industry

For the Metals & Mining industry and Basic Materials sector, West African Resources's Interest Coverage distribution charts can be found below:

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


FRA:W25
97GF Score
West African Resources Ltd FRA:W25
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

West African 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.

West African Resources's Interest Coverage for the fiscal year that ended in Dec. 2025 is calculated as

Here, for the fiscal year that ended in Dec. 2025, West African Resources's Interest Expense was €-17.0 Mil. Its Operating Income was €459.8 Mil. And its Long-Term Debt & Capital Lease Obligation was €194.7 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*459.798/-17.023
=27.01

West African Resources's Interest Coverage for the quarter that ended in Dec. 2025 is calculated as

Here, for the six months ended in Dec. 2025, West African Resources's Interest Expense was €-15.9 Mil. Its Operating Income was €323.3 Mil. And its Long-Term Debt & Capital Lease Obligation was €194.7 Mil.

Interest Coverage=-1* Operating Income (Q: Dec. 2025 )/Interest Expense (Q: Dec. 2025 )
=-1*323.281/-15.901
=20.33

* 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 20.33 mean?
West African Resources (FRA:W25) has a Interest Coverage of 20.33 as of Dec. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on West African Resources and its competitors. This is 72% below median its historical median of 71.99. Over the past decade, West African Resources' Interest Coverage has ranged from 5.83 to 132.21. According to the industry distribution chart, West African Resources ranks #940 out of 1318 companies in the Metals & Mining industry, placing it in the top 71.3%.
Is West African Resources' Interest Coverage too high?
West African Resources' current Interest Coverage of 20.33 is 72% below median its 10-year median of 71.99. Over the past 10 years, this metric has ranged from a low of 5.83 to a high of 132.21. The Metals & Mining industry median Interest Coverage is 10,000.00. West African Resources' value of 20.33 is 99.8% below this industry median. Based on the distribution chart, West African Resources ranks #940 out of 1318 companies in the Metals & Mining industry, which is below the industry midpoint. Overall, West African Resources has a GF Score™ of 97/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does West African Resources' Interest Coverage compare to NEM and AU?
According to the Metals & Mining industry distribution chart, West African Resources ranks #940 out of 1318 companies for Interest Coverage. This places West African Resources in the lower half of its industry. The industry median Interest Coverage is 10,000.00. West African Resources' value of 20.33 is 99.8% below this benchmark. Historically, West African Resources' own Interest Coverage has ranged from 5.83 to 132.21 over the past decade. While the company's 10-year median is 71.99 vs. the industry median of 10,000.00, West African Resources has consistently been below 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 Metals & Mining company?
The median Interest Coverage among Metals & Mining companies is 10,000.00, based on 1,318 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. West African Resources's current Interest Coverage of 20.33 is 99.8% below 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 West African Resources and its competitors. For the Metals & Mining industry, the median Interest Coverage is 10,000.00 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. West African Resources's current Interest Coverage is 20.33, which is 72% below median its own 10-year median of 71.99. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is West African Resources stock overvalued right now?
Based on GuruFocus' analysis, West African Resources (FRA:W25) is currently considered Modestly Undervalued. The stock's GF Value™ is €1.95, compared to a current price of €1.64 — trading 15.8% below its estimated fair value. The current Interest Coverage is 20.33, which is 72% below median its 10-year median of 71.99 and 99.8% below the Metals & Mining industry median of 10,000.00. West African Resources' overall GF Score™ is 97/100 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 West African Resources (FRA:W25), the current Interest Coverage is 20.33 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 West African Resources (FRA:W25) Overvalued in 2026?

Based on GuruFocus' analysis, West African Resources stock appears to be undervalued. The current stock price of €1.64 is trading 15.8% below its estimated GF Value™ of €1.95. GuruFocus considers West African Resources to be Modestly Undervalued.

Key valuation signals for FRA:W25:

  • Interest Coverage: 20.33 (72% below median its 10-year median of 71.99)
  • GF Value™: €1.95 vs. price of €1.64 (15.8% below fair value)
  • GF Score™: 97/100 with 3 warning signs
  • Industry Position: 99.8% below the Metals & Mining median (#940 of 1318)

No single metric tells the full story. See the FRA:W25 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


West African Resources Business Description

Address 1 Alvan Street, Level 1, Subiaco, WA, AUS, 6008
West African Resources Ltd is engaged in mineral exploration in Burkina Faso. It focuses on the development of the Sanbrado Gold Project. The Group's mineral portfolio also includes gold and copper-gold exploration permits in Burkina Faso. The operating segments of the Company that includes Mining Operations: comprise the Sanbrado Gold Project operation located in Burkina Faso. Construction and E&E segment comprises mines under construction andexploration and evaluation (E&E) projects in locations other than Sanbrado.
97GF Score

Get the complete analysis for FRA:W25

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

€1.64
Price
€1.95
GF Value