Frontage Holdings (HKSE:01521) Interest Coverage: 3.24 (As of Dec. 2025) — 68% Below Median

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HKSE:01521 Frontage Holdings Corp HKSE:01521
84 GF Score
Price HK$1.15
GF Value HK$1.55
Valuation Modestly Undervalued
! 8 Warning Signs
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What is Frontage Holdings Interest Coverage?

Frontage Holdings HKSE:01521 +1.77% 84 Interest Coverage is 3.24 as of Dec. 2025, which is 68% below its 10-year median of 9.99. GuruFocus rates HKSE:01521 with a GF Score™ of 84/100 and a GF Value™ of HK$1.55 (Modestly Undervalued). The stock has 8 warning signs investors should review. Among 376 Biotechnology companies, Frontage Holdings ranks worse than 90.43% 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. Frontage Holdings's Operating Income for the six months ended in Dec. 2025 was HK$84 Mil. Frontage Holdings's Interest Expense for the six months ended in Dec. 2025 was HK$-26 Mil. Frontage Holdings's interest coverage for the quarter that ended in Dec. 2025 was 3.24. The higher the ratio, the stronger the company's financial strength is.

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

HKSE:01521' s Interest Coverage Range Over the Past 10 Years
Min: 0.98   Med: 9.99   Max: 63.28
Current: 2.59


HKSE:01521's Interest Coverage is ranked worse than
90.43% of 376 companies
in the Biotechnology industry
Industry Median: 106.135 vs HKSE:01521: 2.59

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


Frontage Holdings  (HKSE:01521) 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 .


Frontage Holdings Interest Coverage Related Terms


Frontage Holdings Interest Coverage Historical Data

* Premium members only.

The historical data trend for Frontage Holdings'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.

Frontage Holdings Interest Coverage Chart

Frontage Holdings Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 11.05 8.93 2.89 0.98 2.60

Frontage Holdings Semi-Annual Data
Dec16 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 2.82 0.76 1.15 2.08 3.24

HKSE:01521 vs VRTX, REGN, RVMD: Interest Coverage Comparison

For the Biotechnology subindustry, Frontage Holdings'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.


Frontage Holdings Interest Coverage vs Biotechnology Industry

For the Biotechnology industry and Healthcare sector, Frontage Holdings's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Frontage Holdings's Interest Coverage falls into.


HKSE:01521
84GF Score
Frontage Holdings Corp HKSE:01521
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Frontage Holdings 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.

Frontage Holdings'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, Frontage Holdings's Interest Expense was HK$-59 Mil. Its Operating Income was HK$153 Mil. And its Long-Term Debt & Capital Lease Obligation was HK$557 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*152.62/-58.768
=2.60

Frontage Holdings's Interest Coverage for the quarter that ended in Dec. 2025 is calculated as

Here, for the six months ended in Dec. 2025, Frontage Holdings's Interest Expense was HK$-26 Mil. Its Operating Income was HK$84 Mil. And its Long-Term Debt & Capital Lease Obligation was HK$557 Mil.

Interest Coverage=-1* Operating Income (Q: Dec. 2025 )/Interest Expense (Q: Dec. 2025 )
=-1*84.243/-25.972
=3.24

* 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 3.24 mean?
Frontage Holdings (HKSE:01521) has a Interest Coverage of 3.24 as of Dec. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Frontage Holdings and its competitors. This is 68% below median its historical median of 9.99. Over the past decade, Frontage Holdings' Interest Coverage has ranged from 0.98 to 63.28. According to the industry distribution chart, Frontage Holdings ranks #340 out of 376 companies in the Biotechnology industry, placing it in the top 90.4%.
Is Frontage Holdings' Interest Coverage too high?
Frontage Holdings' current Interest Coverage of 3.24 is 68% below median its 10-year median of 9.99. Over the past 10 years, this metric has ranged from a low of 0.98 to a high of 63.28. The Biotechnology industry median Interest Coverage is 106.14. Frontage Holdings' value of 3.24 is 96.9% below this industry median. Based on the distribution chart, Frontage Holdings ranks #340 out of 376 companies in the Biotechnology industry, which is in the bottom quartile relative to peers. Overall, Frontage Holdings has a GF Score™ of 84/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Frontage Holdings' Interest Coverage compare to VRTX and REGN?
According to the Biotechnology industry distribution chart, Frontage Holdings ranks #340 out of 376 companies for Interest Coverage. This places Frontage Holdings in the lower half of its industry. The industry median Interest Coverage is 106.14. Frontage Holdings' value of 3.24 is 96.9% below this benchmark. Historically, Frontage Holdings' own Interest Coverage has ranged from 0.98 to 63.28 over the past decade. While the company's 10-year median is 9.99 vs. the industry median of 106.14, Frontage Holdings 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 Biotechnology company?
The median Interest Coverage among Biotechnology companies is 106.14, based on 376 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. Frontage Holdings's current Interest Coverage of 3.24 is 96.9% 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 Frontage Holdings and its competitors. For the Biotechnology industry, the median Interest Coverage is 106.14 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Frontage Holdings's current Interest Coverage is 3.24, which is 68% below median its own 10-year median of 9.99. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Frontage Holdings stock overvalued right now?
Based on GuruFocus' analysis, Frontage Holdings (HKSE:01521) is currently considered Modestly Undervalued. The stock's GF Value™ is HK$1.55, compared to a current price of HK$1.15 — trading 25.8% below its estimated fair value. The current Interest Coverage is 3.24, which is 68% below median its 10-year median of 9.99 and 96.9% below the Biotechnology industry median of 106.14. Frontage Holdings' overall GF Score™ is 84/100 with 8 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 Frontage Holdings (HKSE:01521), the current Interest Coverage is 3.24 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 Frontage Holdings (HKSE:01521) Overvalued in 2026?

Based on GuruFocus' analysis, Frontage Holdings stock appears to be undervalued. The current stock price of HK$1.15 is trading 25.8% below its estimated GF Value™ of HK$1.55. GuruFocus considers Frontage Holdings to be Modestly Undervalued.

Key valuation signals for HKSE:01521:

  • Interest Coverage: 3.24 (68% below median its 10-year median of 9.99)
  • GF Value™: HK$1.55 vs. price of HK$1.15 (25.8% below fair value)
  • GF Score™: 84/100 with 8 warning signs
  • Industry Position: 96.9% below the Biotechnology median (#340 of 376)

No single metric tells the full story. See the HKSE:01521 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Frontage Holdings Business Description

Other Exchanges FGHQF:USA
Address 700 Pennsylvania Drive, Exton, PA, USA, 19341
Frontage Holdings Corp provides laboratory and related services to pharmaceutical and agrochemical companies. Its segments include North America and Europe segment, including drug discovery, drug development, pharmaceutical product development and laboratory testing in the USA, Canada and Europe; and PRC segment, including drug discovery, drug development, pharmaceutical product development and laboratory testing in the PRC. It derives majority of the revenue from North America and Europe segment. Geographically majority of the revenue is derived from USA and Canada.
84GF Score

Get the complete analysis for HKSE:01521

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

HK$1.15
Price
HK$1.55
GF Value