China New Higher Education Group (HKSE:02001) Interest Coverage: 9.43 (As of Feb. 2026) — 105% Above Median

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HKSE:02001 China New Higher Education Group Ltd HKSE:02001
82 GF Score
Price HK$0.58
GF Value HK$1.63
Valuation Possible Value Trap
! 4 Warning Signs
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What is China New Higher Education Group Interest Coverage?

China New Higher Education Group HKSE:02001 -1.69% 82 Interest Coverage is 9.43 as of Feb. 2026, which is 105% above its 10-year median of 4.61. GuruFocus rates HKSE:02001 with a GF Score™ of 82/100 and a GF Value™ of HK$1.63 (Possible Value Trap). The stock has 4 warning signs investors should review. Among 194 Education companies, China New Higher Education Group ranks worse than 64.43% 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. China New Higher Education Group's Operating Income for the six months ended in Feb. 2026 was HK$538 Mil. China New Higher Education Group's Interest Expense for the six months ended in Feb. 2026 was HK$-57 Mil. China New Higher Education Group's interest coverage for the quarter that ended in Feb. 2026 was 9.43. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for China New Higher Education Group's Interest Coverage or its related term are showing as below:

HKSE:02001' s Interest Coverage Range Over the Past 10 Years
Min: 2.87   Med: 4.61   Max: 7.44
Current: 7.44


HKSE:02001's Interest Coverage is ranked worse than
64.43% of 194 companies
in the Education industry
Industry Median: 13.1 vs HKSE:02001: 7.44

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


China New Higher Education Group  (HKSE:02001) 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 .


China New Higher Education Group Interest Coverage Related Terms


China New Higher Education Group Interest Coverage Historical Data

* Premium members only.

The historical data trend for China New Higher Education Group'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.

China New Higher Education Group Interest Coverage Chart

China New Higher Education Group Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Aug21 Aug22 Aug23 Aug24 Aug25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 4.09 5.69 4.85 5.89 6.79

China New Higher Education Group Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Feb21 Aug21 Feb22 Aug22 Feb23 Aug23 Feb24 Aug24 Feb25 Aug25 Feb26
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 7.73 4.32 7.93 5.60 9.43

HKSE:02001 vs EDU, TAL, LAUR: Interest Coverage Comparison

For the Education & Training Services subindustry, China New Higher Education Group'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.


China New Higher Education Group Interest Coverage vs Education Industry

For the Education industry and Consumer Defensive sector, China New Higher Education Group's Interest Coverage distribution charts can be found below:

* The bar in red indicates where China New Higher Education Group's Interest Coverage falls into.


HKSE:02001
82GF Score
China New Higher Education Group Ltd HKSE:02001
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

China New Higher Education Group 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.

China New Higher Education Group's Interest Coverage for the fiscal year that ended in Aug. 2025 is calculated as

Here, for the fiscal year that ended in Aug. 2025, China New Higher Education Group's Interest Expense was HK$-126 Mil. Its Operating Income was HK$858 Mil. And its Long-Term Debt & Capital Lease Obligation was HK$1,949 Mil.

Interest Coverage=-1* Operating Income (A: Aug. 2025 )/Interest Expense (A: Aug. 2025 )
=-1*858.413/-126.333
=6.79

China New Higher Education Group's Interest Coverage for the quarter that ended in Feb. 2026 is calculated as

Here, for the six months ended in Feb. 2026, China New Higher Education Group's Interest Expense was HK$-57 Mil. Its Operating Income was HK$538 Mil. And its Long-Term Debt & Capital Lease Obligation was HK$1,816 Mil.

Interest Coverage=-1* Operating Income (Q: Feb. 2026 )/Interest Expense (Q: Feb. 2026 )
=-1*537.896/-57.066
=9.43

* 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 9.43 mean?
China New Higher Education Group (HKSE:02001) has a Interest Coverage of 9.43 as of Feb. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on China New Higher Education Group and its competitors. This is 105% above median its historical median of 4.61. Over the past decade, China New Higher Education Group's Interest Coverage has ranged from 2.87 to 7.44. According to the industry distribution chart, China New Higher Education Group ranks #125 out of 194 companies in the Education industry, placing it in the top 64.4%.
Is China New Higher Education Group's Interest Coverage too high?
China New Higher Education Group's current Interest Coverage of 9.43 is 105% above median its 10-year median of 4.61. Over the past 10 years, this metric has ranged from a low of 2.87 to a high of 7.44. The Education industry median Interest Coverage is 13.10. China New Higher Education Group's value of 9.43 is 28% below this industry median. Based on the distribution chart, China New Higher Education Group ranks #125 out of 194 companies in the Education industry, which is below the industry midpoint. Overall, China New Higher Education Group has a GF Score™ of 82/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does China New Higher Education Group's Interest Coverage compare to EDU and TAL?
According to the Education industry distribution chart, China New Higher Education Group ranks #125 out of 194 companies for Interest Coverage. This places China New Higher Education Group in the lower half of its industry. The industry median Interest Coverage is 13.10. China New Higher Education Group's value of 9.43 is 28% below this benchmark. Historically, China New Higher Education Group's own Interest Coverage has ranged from 2.87 to 7.44 over the past decade. While the company's 10-year median is 4.61 vs. the industry median of 13.10, China New Higher Education Group 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 an Education company?
The median Interest Coverage among Education companies is 13.10, based on 194 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. China New Higher Education Group's current Interest Coverage of 9.43 is 28% 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 China New Higher Education Group and its competitors. For the Education industry, the median Interest Coverage is 13.10 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. China New Higher Education Group's current Interest Coverage is 9.43, which is 105% above median its own 10-year median of 4.61. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is China New Higher Education Group stock overvalued right now?
Based on GuruFocus' analysis, China New Higher Education Group (HKSE:02001) is currently considered Possible Value Trap. The stock's GF Value™ is HK$1.63, compared to a current price of HK$0.58 — trading 64.4% below its estimated fair value. The current Interest Coverage is 9.43, which is 105% above median its 10-year median of 4.61 and 28% below the Education industry median of 13.10. China New Higher Education Group's overall GF Score™ is 82/100 with 4 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 China New Higher Education Group (HKSE:02001), the current Interest Coverage is 9.43 as of Feb. 2026. 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 China New Higher Education Group (HKSE:02001) Overvalued in 2026?

Based on GuruFocus' analysis, China New Higher Education Group stock appears to be undervalued. The current stock price of HK$0.58 is trading 64.4% below its estimated GF Value™ of HK$1.63. GuruFocus considers China New Higher Education Group to be Possible Value Trap.

Key valuation signals for HKSE:02001:

  • Interest Coverage: 9.43 (105% above median its 10-year median of 4.61)
  • GF Value™: HK$1.63 vs. price of HK$0.58 (64.4% below fair value)
  • GF Score™: 82/100 with 4 warning signs
  • Industry Position: 28% below the Education median (#125 of 194)

No single metric tells the full story. See the HKSE:02001 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


China New Higher Education Group Business Description

Other Exchanges 8CN:Germany
Address 5A Shuguang Xili Street, 20th floor, Tower F, Phoenix Place, Chaoyang District, Beijing, CHN
China New Higher Education Group Ltd is engaged in the operations of Yunnan School, Guizhou School, Central China School, Northeast School, Luoyang School, Guangxi Schools, Gansu School and Zhengzhou School. The Group provides education services in the PRC and operates within one geographical location, as all revenues were generated in the PRC.
82GF Score

Get the complete analysis for HKSE:02001

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

HK$0.58
Price
HK$1.63
GF Value