Kimou Environmental Holding (HKSE:06805) Interest Coverage: 2.68 (As of Dec. 2025) — 43% Above Median

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HKSE:06805 Kimou Environmental Holding Ltd HKSE:06805
72 GF Score
Price HK$3.12
GF Value HK$1.71
Valuation Significantly Overvalued
! 9 Warning Signs
View Full Analysis

What is Kimou Environmental Holding Interest Coverage?

Kimou Environmental Holding HKSE:06805 72 Interest Coverage is 2.68 as of Dec. 2025, which is 43% above its 10-year median of 1.87. GuruFocus rates HKSE:06805 with a GF Score™ of 72/100 and a GF Value™ of HK$1.71 (Significantly Overvalued). The stock has 9 warning signs investors should review. Among 161 Waste Management companies, Kimou Environmental Holding ranks worse than 77.64% 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. Kimou Environmental Holding's Operating Income for the six months ended in Dec. 2025 was HK$185 Mil. Kimou Environmental Holding's Interest Expense for the six months ended in Dec. 2025 was HK$-69 Mil. Kimou Environmental Holding's interest coverage for the quarter that ended in Dec. 2025 was 2.68. The higher the ratio, the stronger the company's financial strength is.

Warning Sign:

Ben Graham prefers companies' interest coverage to be at least 5. Kimou Environmental Holding Ltd interest coverage is 2.63, which is low.

The historical rank and industry rank for Kimou Environmental Holding's Interest Coverage or its related term are showing as below:

HKSE:06805' s Interest Coverage Range Over the Past 10 Years
Min: 1.06   Med: 1.87   Max: 3.33
Current: 2.63


HKSE:06805's Interest Coverage is ranked worse than
77.64% of 161 companies
in the Waste Management industry
Industry Median: 5.87 vs HKSE:06805: 2.63

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


Kimou Environmental Holding  (HKSE:06805) 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 .


Kimou Environmental Holding Interest Coverage Related Terms


Kimou Environmental Holding Interest Coverage Historical Data

* Premium members only.

The historical data trend for Kimou Environmental Holding'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.

Kimou Environmental Holding Interest Coverage Chart

Kimou Environmental Holding 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 1.86 2.53 1.87 2.15 2.63

Kimou Environmental Holding 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 1.87 1.75 2.56 2.57 2.68

HKSE:06805 vs WM, RSG, WCN: Interest Coverage Comparison

For the Waste Management subindustry, Kimou Environmental Holding'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.


Kimou Environmental Holding Interest Coverage vs Waste Management Industry

For the Waste Management industry and Industrials sector, Kimou Environmental Holding's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Kimou Environmental Holding's Interest Coverage falls into.


HKSE:06805
72GF Score
Kimou Environmental Holding Ltd HKSE:06805
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Kimou Environmental Holding 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.

Kimou Environmental Holding'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, Kimou Environmental Holding's Interest Expense was HK$-131 Mil. Its Operating Income was HK$344 Mil. And its Long-Term Debt & Capital Lease Obligation was HK$2,908 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*343.585/-130.68
=2.63

Kimou Environmental Holding's Interest Coverage for the quarter that ended in Dec. 2025 is calculated as

Here, for the six months ended in Dec. 2025, Kimou Environmental Holding's Interest Expense was HK$-69 Mil. Its Operating Income was HK$185 Mil. And its Long-Term Debt & Capital Lease Obligation was HK$2,908 Mil.

Interest Coverage=-1* Operating Income (Q: Dec. 2025 )/Interest Expense (Q: Dec. 2025 )
=-1*184.805/-68.85
=2.68

* 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 2.68 mean?
Kimou Environmental Holding (HKSE:06805) has a Interest Coverage of 2.68 as of Dec. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Kimou Environmental Holding and its competitors. This is 43% above median its historical median of 1.87. Over the past decade, Kimou Environmental Holding's Interest Coverage has ranged from 1.06 to 3.33. According to the industry distribution chart, Kimou Environmental Holding ranks #125 out of 161 companies in the Waste Management industry, placing it in the top 77.6%.
Is Kimou Environmental Holding's Interest Coverage too high?
Kimou Environmental Holding's current Interest Coverage of 2.68 is 43% above median its 10-year median of 1.87. Over the past 10 years, this metric has ranged from a low of 1.06 to a high of 3.33. The Waste Management industry median Interest Coverage is 5.87. Kimou Environmental Holding's value of 2.68 is 54.3% below this industry median. Based on the distribution chart, Kimou Environmental Holding ranks #125 out of 161 companies in the Waste Management industry, which is in the bottom quartile relative to peers. Overall, Kimou Environmental Holding has a GF Score™ of 72/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Kimou Environmental Holding's Interest Coverage compare to WM and RSG?
According to the Waste Management industry distribution chart, Kimou Environmental Holding ranks #125 out of 161 companies for Interest Coverage. This places Kimou Environmental Holding in the lower half of its industry. The industry median Interest Coverage is 5.87. Kimou Environmental Holding's value of 2.68 is 54.3% below this benchmark. Historically, Kimou Environmental Holding's own Interest Coverage has ranged from 1.06 to 3.33 over the past decade. While the company's 10-year median is 1.87 vs. the industry median of 5.87, Kimou Environmental Holding 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 Waste Management company?
The median Interest Coverage among Waste Management companies is 5.87, based on 161 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. Kimou Environmental Holding's current Interest Coverage of 2.68 is 54.3% 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 Kimou Environmental Holding and its competitors. For the Waste Management industry, the median Interest Coverage is 5.87 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kimou Environmental Holding's current Interest Coverage is 2.68, which is 43% above median its own 10-year median of 1.87. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kimou Environmental Holding stock overvalued right now?
Based on GuruFocus' analysis, Kimou Environmental Holding (HKSE:06805) is currently considered Significantly Overvalued. The stock's GF Value™ is HK$1.71, compared to a current price of HK$3.12 — trading 82.5% above its estimated fair value. The current Interest Coverage is 2.68, which is 43% above median its 10-year median of 1.87 and 54.3% below the Waste Management industry median of 5.87. Kimou Environmental Holding's overall GF Score™ is 72/100 with 9 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 Kimou Environmental Holding (HKSE:06805), the current Interest Coverage is 2.68 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 Kimou Environmental Holding (HKSE:06805) Overvalued in 2026?

Based on GuruFocus' analysis, Kimou Environmental Holding stock appears to be overvalued. The current stock price of HK$3.12 is trading 82.5% above its estimated GF Value™ of HK$1.71. GuruFocus considers Kimou Environmental Holding to be Significantly Overvalued.

Key valuation signals for HKSE:06805:

  • Interest Coverage: 2.68 (43% above median its 10-year median of 1.87)
  • GF Value™: HK$1.71 vs. price of HK$3.12 (82.5% above fair value)
  • GF Score™: 72/100 with 9 warning signs
  • Industry Position: 54.3% below the Waste Management median (#125 of 161)

No single metric tells the full story. See the HKSE:06805 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Kimou Environmental Holding Business Description

Address Longhua Road, Longxi Street, Boluo County, Guangdong Province, Huizhou, CHN
Kimou Environmental Holding Ltd mainly involves the provision of factory premises and centralized wastewater treatment services. The company's operating segment includes Rental and facilities usage; Wastewater treatment and utilities; and Sales of goods and ancillary business. The company generates maximum revenue from the Sales of goods and ancillary business segment. Rental and facilities usage segment conducts industrial park property development and management business; Wastewater treatment and utilities segment operates electroplating wastewater treatment plants and provides services of utilities; and Sales of goods and ancillary business segment includes sales of chemicals and others. Geographically, it derives revenue from China.
72GF Score

Get the complete analysis for HKSE:06805

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

HK$3.12
Price
HK$1.71
GF Value